Which of the following statements is(are) correct regarding the common law elements that must be proven to support a finding of constructive fraud against a CPA?
I.
The plaintiff has justifiably relied on the CPA's misrepresentation.
II.
The CPA has acted in a grossly negligent manner.
Neither I nor II.
II only.
I only.
Both I and II.
Choice "D" is correct. The elements of constructive fraud:
Misrepresentation of a material fact.
Defendant acts with gross negligence or recklessly.
Intent to induce plaintiff's reliance.
Actual and justifiable reliance by plaintiff.
Damages.
Actual fraud requires intent to deceive.
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