HYPOTHETICAL: Sandy comes to your office and wants to sue Barry for fraud. Sandy alleges that Barry told her the used car she bought “had no mechanical problems and would increase in value because it was in such good shape.” A week after Sandy bought the car, the engine seized and she had to pay over $2,000 for repairs. The mechanic doing the repairs further informed Sandy that the car “wasn’t even worth $2,000.” Barry is not a car salesman and has no mechanical training but is selling the car on behalf of a friend.
- Choose a position either in favor of Sandy or in favor of Barry.
- Does Sandy have a cause of action for fraud against Barry?
- Are there any defenses Barry can rely on in such a lawsuit?
- How would your answer change if Barry was a used car salesman?