ADMS 2610 Lecture Notes - Punitive Damages, Rescission, Fiduciary
Document Summary
Essential elements such as offer, acceptance, intention, consideration, capacity may all exist but contract may still not be enforceable. Situations which may render a contract unenforceable: mistake, misrepresentation, undue influence, duress. Also determines who bears the brunt of a given loss. Mistake a state of affairs in which a party (or both parties) has formed an erroneous opinion as to the identity or existence of the subject matter, or of some other important term. Types of mistake: mistake of law. Exception: if statute provided for recovery: mistake of fact. Mistake as to the existence of the subject matter of the contract or the identity of a party. Mistake as to subject matter of contract: general rule, contract is void. Applies only to type of agreement being singed not to terms of the agreement: unilateral mistake. A mistake by one party to the agreement: mutual mistake.