What constitutes a fraudulent misrepresentation and a negligent misrepresentation?

British Columbia, Canada


The following excerpt is from Avery v. Darwiche, 2022 BCCRT 333 (CanLII):

17. A fraudulent misrepresentation occurs when a seller makes a representation of fact, the representation is false, the seller knew it was false or recklessly made it without knowing it was true or false, and the buyer is induced by the false representation to buy the item (see Ban v. Keleher, 2017 BCSC 1132 and Shaughnessy at paragraph 91). A negligent misrepresentation occurs when a seller fails to exercise reasonable care to ensure their representations are accurate and not misleading to the buyer.

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