Misrepresentation What Is It and How to Avoid It When Selling a Business
- Work with an experienced broker. ...
- Don't try to hide major flaws. ...
- Be as transparent as possible with the books. ...
- Have a lawyer look over your listings and agreements.
What is the remedy for misrepresentation?
The remedies for misrepresentation are rescission and/or damages. For fraudulent and negligent misrepresentation, the claimant may claim rescission and damages.
What do you need to prove for misrepresentation?
For a misrepresentation claim to succeed, the representation relied on must have been false. This is so whether the representor made the untrue statement innocently, carelessly or deliberately and fraudulently.
