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Lana71 [14]
3 years ago
12

Brian wants to buy a mare that he can breed to help develop a horse operation. Larson offers to sell Brian a horse that Larson b

elieves is healthy and should make a good broodmare when a little older. After two years, the horse still has not foaled. The veterinarian tells Brian that the horse is incapable of breeding. If Brian sues to rescind the contract with Larson, it isa. likely that a court will allow the rescission based on a unilateral mistake. b. unlikely that a court will allow rescission based on a mistake of fact. c. likely that a court will allow the rescission based on a mistake of fact. d. unlikely that a court will allow rescission, because Brian made a mistake about market value.
Business
1 answer:
aev [14]3 years ago
4 0

Answer:

The correct answer is C: likely that a court will allow the rescission based on a mistake of fact.

Explanation:

Brian was not aware of that fact that the horse is incapable of breeding at the point he buys it, but Larson assures Brian the horse is healthy. In this light, if Brian sues to cancel the contract with Larson, the court will allow it based on a mistake of fact. This way the court will reduce any civil liability or criminal culpability because Larson might not know that the horse cannot breed, although he is certain that the horse is healthy.

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Firm ML, a noncorporate taxpayer, exchanged residential rental property for 20 acres of investment land with a $200,000 FMV. ML
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