Week 2 Discussion 1 a. Can the contract for sale be canceled because of fraud?

It depends on whether or not Stein ends up suffering a loss as a result. If he suffers a loss, the contract can be cancelled because of fraud. If he does not suffer a loss, the contract for sale cannot be canceled because of fraud. It can, however, be canceled for misrepresentation. Misrepresentation is the unintentional misstatement or nondisclosure of a material fact that results in inducing another to enter into an agreement to his or her loss. (Liuzzo, 2012) b.Was there a misstatement of material fact?

There was absolutely a misstatement of material fact. Stein specifically asked if Gortino had ever seen or even suspected termites and Gortino said no, when in fact, Gortino had...