Contract vs. Tort
When a person makes an innocent misstatement, no tort is committed. If that person later
discovers her error, she must inform the other party of the true situation as a message she can.
An innocent misrepresentation becomes fraudulent or negligent if the party responsible fails to
correct it when in a position to do so.
Material: could reasonably be expected to influence or induce the decision of a party to enter
into a contract
In a contract law, any material misrepresentations are innocent, negligent or fraudulent gives
rise to the right to rescind the contract.
If the maker of the misrepresentation also acted fraudulently or negligently, the court maker
and damages against the wrongdoer, or if the misrepresentations was an act of innocent
without negligence, a node damages will be awarded; the injured parties remedy is restricted to
the right to rescind the contract.
A misrepresentation that is incorporated into the offeror becomes a term of the contract, and
will give rise to a breach of c