LLB170 Lecture Notes - Lecture 11: Rescission, Undue Influence, Precontract
Document Summary
Vitiating factors: abuse of power: the common law position, abuse of power: the statutory position. Relief available if vitiating factor established: renders contract voidable (except mistake at common law which renders the contract void), damages available only in tort where a tort is established for either negligent or fraudulent misrepresentation. Precise restoration was not possible = rescission not possible at common law. However, in equity substantial restoration is enough, and allowances and take account of profits to restore parties to their original position. Is this enough to disentitle you from getting relief: court may refuse relief, but here it wasn"t expected that he keep running the business and incurring the loss. Pq: assess all remedies and how they would work, then give advice. Term damages for breach: look at the position if the misrepresentation were true, compared to actual position.
