Question

Toby, an Ohio real estate broker, misrepresented to Allen that Toby was licensed in Michigan under Michigan's statute regulating real estate brokers. Allen signed a standard form listing contract agreeing to pay Toby a 6% commission for selling Allen's home in Michigan. Toby sold Allen's home. Under the circumstances, Allen is:

A. not liable to Toby for any amount because of the rule of mirror image which needs to be fulfilled for creating a binding contract.

B. not liable to Toby for any amount because Toby violated the Michigan licensing requirements.

C. liable to Toby only for the value of services rendered under the quasi-contract theory.

D. liable to Toby for the full commission under the promissory estoppel theory.

Answer

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