Reference no: EM133479242

Scott was the owner of a house which included a large lake in its grounds. He advertised the house and lake for sale. Michael was interested in purchasing the house and lake and went to view it.

During the viewing, Michael asked Scott whether the lake was suitable for motorboat racing. Michael is a keen motorboat racer and is looking to purchase a property to hold motorboat races. Scott, who knew a lot about motorboat racing, replied: "You could probably hold races with up to 10 boats on that lake." As a result of Scott's assurance, Michael purchased the house and lake. When he moved in, Michael quickly found out that the lake was unsuitable for motorboat racing. Scott has now moved out of the country and Michael is trying to get out of the contract for sale of the house and lake.

Advise Michael as to whether there is an actionable misrepresentation and then, on the assumption that there is, advise on the available remedies.

Could you please start with identifying the first legal issue that flows from the facts and rules.

Apply the rules of law to answer the issue identified and incorportae the cases and rules.

Then apply the relevant law to the scenario.

Could you please identify what type of misrepresentation this is? for example, Fraudulent, negligent or innocent misrepresentation?