KAMLO Swift Auto Sales, a privately owned auto dealer, offered to sell Myra a car for $35,000. Jett, the owner of the auto dealership, told Myra that the car was in good condition and had been driven only 10,000 miles, and had never been in an accident. In fact, Jett never actually checked with the previous owner of the car to verify that the mileage had not been changed or looked at the service record to determine if the car had been in any accidents. Jett simply made whatever representations he felt were necessary to get the car sold. Myra hired Braxton, a mechanic, to appraise the condition of the car. Braxton reported that the car probably had at least 20,000 miles on it and probably had been in several accidents. He stated further that, in his estimation, the car true value is roughly $20,000. In spite of this information, Myra still thought, after further talk with Jett, that the car would be a good buy for the price, so she purchased it. Later, when the car developed numerous mechanical problems, Myra brought a legal action against KAMLO on the basis of Jett's alleged fraudulent misrepresentation of the auto's condition.

Part I. How is a court likely to decide this legal dispute? (Explain using the IRAC method).

Part II. Assume that the Court finds KAMLO liable for Fraud. What remedies can Myra pursue against KAMLO?

Answer rating: 100% (QA)

Introduction In this legal scenario Myra has purchased a car from KAMLO Swift Auto Sales based on representations made by Jett the owner These represe... View the full answer