Contracts can make or break your business. That’s why a lot of time and effort needs to go into negotiating and carefully drafting business agreements that further your business’s interests. This is no easy feat, of course, as both sides often struggle to come to terms that are favorable or at least agreeable to all. Yet, even when you think that you’ve secured a favorable arrangement, you may later find that you’ve been duped. In these instances you’ll want to carefully consider legal action based on fraudulent misrepresentation.
What is fraudulent misrepresentation?
Contracts are based on transparency and honesty. Far too often, though, a party to a contractual agreement either misleads or flat out lies about material facts in order to secure an agreement. This is fraudulent misrepresentation. If you’ve been victimized by fraudulent misrepresentation, then you might want to consider taking legal action to recover any losses you’ve suffered.
Proving fraudulent misrepresentation
In order to succeed in proving fraudulent misrepresentation, though, you’ll have to present evidence that meets certain legal elements. Amongst them is, of course, that a representation was actually made and that representation was either false or made with a regardless disregard for its truthfulness. Another major aspect of these cases that you’ll have to show is detrimental reliance. In other words, you’ll want to be able to show that you only agreed to the contract because you thought that the false or misleading representation was true, and by relying on those misrepresentations you were financially harmed in some way.
Stand up for your rights under the law
For some reason, a lot of people are afraid to take legal action against those who have wronged them. In the business context, this can have a profound impact on your bottom line and your reputation. Therefore, you should stand strong in the face of wrongdoing and hold accountable those who sought to take advantage of you. If you’d like to learn more about how to do that, then now may be the time to reach out to an experienced business litigation firm.