Fix-it auto Company contracts to sell a car to Garth for $3,500. Garth gives Fix-It a worthless check for the price. Garth assigns his right to the car to Herb. If Fix-It refuses to deliver the car to Herb and Herb sues, can Fix-It raise Garth’s fraud as a defense against delivery of the car to Herb? Explain why or why not.

Fix-it auto Company contracts to sell a car to Garth for $3,500. Garth gives Fix-It a worthless check for the price. Garth assigns his right to the car to Herb. If Fix-It refuses to deliver the car to Herb and Herb sues, can Fix-It raise Garth’s fraud as a defense against delivery of the car to Herb? Explain why or why not.

 

Solution

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