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STANDARD OF PROOF Usually, negligent misrepresentation must be proved by a preponderance of the evidence, as with other negligence-based claims. Court Opinions.
An example of negligent misrepresentation would be a seller of a rental property in which the seller has never lived or spent any time, yet tells a buyer, ?the roof on this home doesn't leak,? when in actuality, the roof does leak. Not having lived there, the seller doesn't know the roof leaks.
288.395. Any person or entity perpetrating a fraud or misrepresentation under this chapter for which a penalty has not herein been specifically provided shall be guilty of a class A misdemeanor and, in addition, shall be liable to this state for a civil penalty not to exceed the value of the fraud.
Contract damages - if the statement is decided to have been a term of the contract, the person claiming misrepresentation may also have the right to claim damages for the loss suffered by what is effectively a breach of contract.
If the misrepresentation is discovered, the contract can be declared void. Depending on the situation, the adversely impacted party may seek damages. In this type of contract dispute, the party that is accused of making the misrepresentation is the defendant, and the party making the claim is the plaintiff.
Negligent misrepresentation arises when an individual unintentionally presents a false fact that induces the other party into entering into a contract.
[9] The motion judge also identified the correct legal test for negligent misrepresentation, which requires a plaintiff to show that (1) there is a ?special relationship? between the person making the statement and the person hearing it; (2) it is reasonable for the person hearing the statement to rely on it; (3) the ...
Negligent misrepresentation: a representation made carelessly and in breach of duty owed by Party A to Party B to take reasonable care that the representation is accurate.