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Ch 09 Dynamic for Reflection

Ch 09 Dynamic for Reflection

Q Power-Sports wished to obtain Harley-Davidson's permission to purchase a motorcycle dealership. Power-Sports provided written and oral statements about its business model and, based upon these statements, Harley-Davidson approved the purchase. Later, Harley-Davidson learned that Power-Sports was operating in a manner inconsistent with its statements about its business model. Harley-Davidson sued for damages. Will Harley-Davidson be successful in its lawsuit against Power-Sports? Explain your answer.

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I think that this is a clear case of a fraud or misrepresentation in which Power-Sports is guilty of committing fraud with Harley-Davidson. Therefore, the elements of fraud as well as those of misrepresentation must be considered in this case and situation. First of all, it must be noted that in order to prove that this case is a case of fraud and not a case of misrepresentation, it must be proved that Power-Sports had falsely represented or completely misrepresented a material fact of the organization (Liuzzo & Bonnice, 2016).