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Words: | Submitted: Mon Jun 19 2006
... years, to hire a car washing machine, subject to the contracts terms and conditions. The main reasons for Quadrangle hiring the machine was because of the oral statements that the Sales Manager made, he said that 'it could handle 12 cars per hour' and that 'it is the only car was that puts a permanent wax finish on cars'. The problem with these statements was that he did not look at the manufacturers documents; he obtained the information from a trade magazine. This would be classed as misrepresentation; this is where 'a false statement of fact has been made by one party to the other during negotiations which lead to the agreement and which induced the latter to enter into the contract'. This was not a statement of opinion, it was genuinely believed by the Sales Manager to be true. This is negligent misrepresentation under statute, under section 2(1)1 of ...
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