Question

al induces beth to enter into a contract for the purchase of a chef's burger restaurant. al knowingly misrepresents a number of material features about the r~~ant and t4e ~~iness, whe.n. ij~tll discov~rs the .... truth, she can rescind the contract on the basis of

Answer 1

Beth can rescind the contract based on fraudulent inducement if Al's misrepresentations were material and she relied on them to make the contract.

Step-by-step explanation:

When Beth discovers the misrepresentations made by Al regarding the chef's burger restaurant, she may have the right to rescind the contract on the basis of fraudulent inducement. This legal concept occurs when one party uses deception to convince another party to enter into a contract.

If the misrepresentations are material, meaning they have a significant influence on the party's decision to enter the contract, and Beth relied on those misrepresentations when agreeing to the contract, this reliance can be deemed as justifiable. In such a case, the wronged party, Beth, would generally be entitled to void the contract and may also be eligible for compensatory damages to recover any losses incurred due to the fraudulent activity.