The sale of the Rolex and Louis Vuitton bags by Mike Merchant is a misrepresentation because he is claiming to potential customers like Suzy and Samuel that the goods are real. Intentional misrepresentation which is also known as fraud is described when the party intends to induce another person to rely on this misrepresentation(Cheeseman). Mike could argue that he did not know that the Rolexes and Louis Vuitton bags were fake and that they were just seconds. Suzy had the belief that the handbag was real when she purchased it from Mike. This makes Mike liable to Suzy for misrepresentation because Suzy paid for the bag thinking it was real. Suzy could try and receive the money back for the bag purchased in court. She could argue that Mike did not make it completely clear that the bags he was selling were seconds, which are not of the same quality as the actual product but it is still authentic. Suzy could also argue that Mike was advertising the goods as real, authentic products. Mik
eās defense could be that Suzy unjustifiably believed that information given to her because her boyfriend bought a Rolex watch from Mike thinking that the product was fake. Why did Suzy think that products were real but her boyfriend did not? It could be argued that Suzy did not do enough research and did not do her due diligence when buying the product. In this case with Mike and Suzy, Mike will most likely win the case because he was advertising the products as seconds so it is reasonable to assume that the products are fake. We know how much Suzy paid for the fake bag, but how much is the price of a real Louis Vuitton bag? This answer to this question could be the difference between winning and losing the case. If in fact, the $999 price that Suzy paid is the same price an authentic bag is being sold for, then she should be awarded the amount back. If the price she paid was a discount, because it was advertised as a second, then Mike would most likely not owe her the money back.