BUS 393 Lecture Notes - Lecture 4: Meeting Of The Minds, Rescission, Signing Bonus

• School: Simon Fraser University
• Department: Business Administration
• Course: BUS 393
• Professor: Shafik Bhalloo

Document Summary

Must have a consensus (ad idem) for a contract to be valid and enforceable. When a mistake goes to the root of the contract and destroys consensus, it is void. I offer to sell you my 2001 bmw, and you mistakenly thought it was my. This mistake goes to the root of the contract, and it is void (not voidable). If there is no mistake, but simply a bad bargain struck by one party, court will not interfere. I sell my bmw 2009 worth ,000 for ,000. Can be made by one or both parties to an agreement. General rule there is no recourse ( ) for a person who makes a one-sided mistake. Buy a television by name-think it is 15,000 to 1 true contrast ratio, but turns out to be 3,000 to 1 ratio. If one party misleads another, it is able to rescind and involves misrepresentation.