Misrepresentation is defined as giving false information about a property, either intentionally or unintentionally.

• A. True
• B. False
• C. Only intentional
• D. Only unintentional

Answer: (A)

Misrepresentation covers false statements about a property regardless of the speaker’s intent. In real estate, any false, material fact about the property that a buyer relies on when deciding to transact can give rise to liability, even if the statement was made without malice or by mistake. The important point is that the information is false and material, and it influences the decision to enter the contract. If someone knowingly lies, that’s fraud; if they simply err, it’s still misrepresentation in many jurisdictions, though the remedies and labels may differ. For example, claiming a roof is in good condition when there are known leaks fits misrepresentation because the statement is false and material and can influence the buyer’s decision. Those facts explain why the assertion is true.