Multiple Choice
Hadi knew that he wanted to buy a car, but he also knew that he knew almost nothing about vehicles.His friend, Devon, in contrast, was an experienced mechanic.Devon agreed, in exchange for $250, to search the marketplace and obtain a suitable car for Hadi.Within a couple of days, Devon learned that Nadia was offering to sell two 2015 Honda Civics for a total price of $40 000.The blue Civic was in great shape and was absolutely perfect for Hadi.The yellow Civic, which Nadia called "a real lemon," required a complete engine replacement.Devon bought both cars, but after thinking about the situation for a night, kept the blue one for himself.The next day, Devon transferred the yellow car to Hadi in exchange for $20 000, which Devon said was Hadi's "fair share of the price." Hadi has now discovered the problem and wants to sue Devon.Which of the following statements is most likely to be TRUE?
A) Devon breached his duty of care because he failed to recognize the problem with the car.
B) Devon breached his duty of care because he failed to demand a lower price from Nadia.
C) Devon breached his fiduciary duty because his personal interests conflicted with Hadi's.
D) Devon will not be held liable because he paid a fair price to Nadia for the two cars.
E) Devon will not be held liable because he fulfilled his obligations as an agent when facilitated Hadi's purchase of the yellow car.
Correct Answer:

Verified
Correct Answer:
Verified
Q48: For many years, Street Sounds Inc, a
Q49: I-Jack Inc and Sys/Com Ltd are two
Q50: What are the purposes of the rules
Q51: Seldon owned several apartment buildings.Sheila is the
Q52: Jennifer is the president and chief executive
Q54: Nora has entered into a joint venture
Q55: Which of the following statements is TRUE
Q56: An agent can be liable for a
Q57: Anton has entered into a contract with
Q58: Carleton Computer Sales Inc carries on a