What are the elements of fraudulent misrepresentation?

British Columbia, Canada


The following excerpt is from Northland Bank (Liquidator of) v. Walters, 1997 CanLII 3018 (BC SC):

The case of Hoole v. Advani, [1996] B.C.J. No. 731 (B.C.S.C.) at para. 49 states: The elements of fraudulent misrepresentation to be proved are: (a)the representation must be made by the wrongdoer to the victim; (b)the representation must be of a fact which is false; (c)the wrongdoer must know the representations to be false at the time that he makes them or have made them recklessly without knowing whether they were true or false; (d)the victim must have been induced by the representations to enter into the contract and suffered detriment as a result of consequently altering his position; (e)the representation must be a statement of fact, rather than a promise or "a mere commendatory puff"; (f)the claimant need not rescind the contract upon discovering the false representation; he could elect to affirm the contract and sue for damages.

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