LAW 122 Lecture Notes - Lecture 10: Headache, W. M. Keck Observatory, Fiduciary

• School: Ryerson University
• Department: Law and Business
• Course: LAW 122
• Professor: Stan Benda

Document Summary

Misrepresentation a false statement of an existing fact that casue recipient to enter into a contract: a statement of an existing fact , that is false when made , may be actionable if it induced a contract. General rule: contract will not be enforced: we treat the contract as though it never existed; parties are relieved of all their obligations, usually accompanied by restitution : a giving back and a taking back. E. g. if bricks break, builder has to pay the person for the bricks. No misrepresentation: representee conducted own investigation (evidently, was not induced to enter the contract) Misrepresentation, but still no undoing the contract: affirmed the contract, not possible to undo the contract, third party rights involved, can only deal with it with a damages suit. Voiding a contract means avoiding: escaping the consequences of an otherwise enforceable contract. Duress problems with the circumstance around the creation of the contract: contract voidable at victim"s option.