(b) That's wrong. Clearly, A's statement that the horse has always been healthy is a statement of fact which induces C to buy the horse. However, in the circumstances, it is unlikely that what A said became a contractually binding promise. This means that A does not have an action for breach of contract. Because what A said is untrue, it is a misrepresentation. But A did not deliberately deceive C: at most, he made the statement negligently (without due care).

If a negligent misrepresentation has induced a person to enter into a transaction, it is voidable and can be set aside at the request of the party who was deceived. C could also bring an action in tort law for damages, based on A's negligent misrepresentation.