Question

Jacobi is visiting Sheila at her apartment while she is redecorating, and Sheila asks him if he would like tobuy her two sofas that she is replacing. Sheila tells Jacobi that the sofas are in great condition and are themost comfortable she has ever had. She acknowledges that some of the fabric on the sofas is slightly wornbut says that is their only issue. Jacobi buys the sofas on the spot, but once they are back at his house hefinds that one of them is infested with bed bugs. Jacobi has to throw out the infested sofa and pay a specialexterminator to come and get rid of the insects. Jacobi sues Sheila. Assume their jurisdiction follows themajority approach. How will the court rule?Sheila is not liable because Jacobi did not investigate her statements about the sofas.
Sheila is liable because Jacobi did investigate her statements about the sofas.

Answer 1

Answer:

If Sheila had a reasonable belief that she was telling the truth, Jacobi can rescind the contract, but he cannot collect damages.

Explanation

Sheila may truly not know about the sofas being infested with bed bugs. Jacobi can however cancel the deal they had but Sheila won’t be paying additional fees for damages.