PA Bar Practice Questions - Pennsylvania Bar Examination Exam

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A plaintiff sued a defendant for breach of contract and lost on the merits after a full trial. The plaintiff now files a second suit against the same defendant asserting fraud arising from the very same transaction, a theory the plaintiff could have raised in the first suit. The defendant raises claim preclusion. How should the court rule?

The second suit may proceed because fraud is a different theory The second suit is barred because it arises from the same transaction and could have been litigated The second suit is barred only if fraud was actually litigated in the first suit Claim preclusion never bars a claim asserting a different element of damages

Correct Answer:

The second suit is barred because it arises from the same transaction and could have been litigated

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