Question

What was the result in Scott v. Mid-Carolina Homes, Inc., the case referenced in the textbook in which the defendant attempted to rescind a contract to sell a mobile home because its salesperson was acting under a mistake of fact when he gave the plaintiff the sales price?

Answer 1

E) The seller was not allowed to rescind the contract.

Step-by-step explanation:

In this case, Mary Scott was interested in purchasing a mobile home from Mid-Carolina Homes. They saw a mobile home that they liked and paid $2,913.71 in advance for it. Then next week the seller told them that they couldn't sell them the home because it was broken and instead sold it to another buyer for a higher amount. Even though they were not willing to sell the home to the Scotts, the company still cashed their check.

The Supreme Court of South Carolina ruled in favor of the Scotts and upheld the $10,000 awarded for breach of contract accompanied by a fraudulent act. But the court also reversed $4,800 in other damages related to unfair trade practices.