BL 260 Chapter Notes - Chapter 15: Scienter, Real Estate Broker, Extortion
Document Summary
Reason: courts don"t ask about the adequacy of consideration. Ex: sell a watch for , later find out it is worth ,000. Normally enforceable (no way to know the other party didn"t read the contract thoroughly enough or if they"re lying to try to get out of the contract) Reason: other party had no way to know of mistake. *look at contract from the perspective of party that is trying to enforce contract. Other party knew or should have known there was a mistake of fact. Mistake was a substantial mathematical and error without gross negligence. Ex: you intent to sell your car for , but you type . You are probably bound by the contract once the other party accepts (mistake on the terms) Ex: you intend to sell your car for , but you type . Probably not bound, because the other party should have known there was a mistake.
