Could: Contract Law: Misrepresentation In Law
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Contract Law: Misrepresentation In Law - with
Carleton Condominium Corporation No. Callow Inc. Present: Wagner C. Pursuant to clause 9 of the winter maintenance contract, Baycrest was entitled to terminate that agreement if Callow failed to give satisfactory service in accordance with its terms. In early , Baycrest decided to terminate the winter maintenance agreement but chose not to inform Callow of its decision at that time. Throughout the spring and summer of , Callow had discussions with Baycrest regarding a renewal of the winter maintenance agreement. Following those discussions, Callow thought that it was likely to get a two-year renewal of the winter maintenance contract and that Baycrest was satisfied with its services. During the summer of , Callow performed work above and beyond the summer maintenance contract at no charge, which it hoped would act as an incentive for Baycrest to renew the winter maintenance agreement. Baycrest informed Callow of its decision to terminate the winter maintenance agreement in September Contract Law: Misrepresentation In Law.Contract Law: Misrepresentation In Law Video
Contract Law - MisrepresentationUnderstand the two types of misrepresentation: fraudulent and nonfraudulent.
Document Meta Data
Distinguish between fraudulent misrepresentation in the execution and fraudulent misrepresentation in the inducement. Know the elements necessary to prove fraudulent and nonfraudulent misrepresentation.
Recognize the remedies for misrepresentation. General Description The two types of misrepresentation are fraudulent and nonfraudulent. Within the former are fraud in the execution and fraud in the inducement.
Within the latter are negligent misrepresentation and innocent misrepresentation. Misrepresentation is a statement of fact that is not consistent with the truth. If misrepresentation is intentional, it is fraudulent misrepresentation; if it is not intentional, it is nonfraudulent misrepresentation, which can be either negligent or innocent. In further taxonomy, courts distinguish between fraud in the execution and fraud in the inducement.
General Description
For example, Alphonse and Gaston decide to sign a written contract incorporating terms to which they have agreed. It is properly drawn up, and Gaston reads it and approves it. Before he can sign it, however, Alphonse shrewdly substitutes a different Misreprrsentation to which Gaston has not agreed.
Gaston signs the substitute version. There is no contract. There has been fraud in the execution.
Fraud in the inducement is more common. It involves some misrepresentation about the subject of the contract that induces assent. Alphonse tells Gaston that the car Gaston is buying from Alphonse has just been overhauled—which pleases Gaston—but it has not been. This renders the contract voidable. Misstatement of Fact Again, generally, any statement not in accord with the facts a fact is something amenable to testing as true is a misrepresentation.
Fraudulent Misrepresentation
Falsity does not depend on intent. A half-truth can amount to Misrepresentaation misrepresentation, as, for example, when the seller of a hotel says that the income is from both permanent and transient guests but fails to disclose that the bulk of the income is from single-night stopovers by seamen using the hotel as a brothel. Ikeda v.]
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