1. Mary goes to a used car dealership to buy a car. The used car salesperson tells Mary the car is in fantastic condition. For various reasons Mary has no confidence in what she is being told but it is more of a “gut feeling” than anything she can point to. Mary buys the car for $10,000 and drives it off the lot. One week later the car develops major problems and keeps stalling out and Mary can not drive it safely. She takes it to a car mechanic and is told it will cost $3,000. to fix. Does Mary have any recourse over the car dealership? Explain your answer fully exploring all issues.
Tina is friends with Tony and Ethel and one night they decide to start a new business. Tina likes Tony but is not sure of Ethel because she is a multi-millionaire and acts “snooty” and acts better than everyone else. If you were advising Tina about entering into a business with Tony and Ethel what would you advise? In the discussion talk about both partnership and limited partnerships. What if Ethel goes into the business relationship as a limited partner; does that change your advice? Would you advise Tina to enter as a partner or limited partner and why? I have left the type of business blank so if it helps your analysis feel free to make a business up. Explain your answer fully exploring all issues.