[COMMERCE 4SD3] - Final Exam Guide - Ultimate 26 pages long Study Guide!

• School: McMaster University
• Department: Commerce
• Course: COMMERCE 4SD3
• Professor: Paul Stillman

Document Summary

Ch 8: ground upon which a contract may be impeached: mistake. Making a mistake in the sense of making a bad judgment does not legally justify avoiding one"s obligations under contract. Equitable relief: a discretionary remedy first developed by the courts of equity to undo an injustice. Two types of mistake: mistake about the terms, mistake about assumptions. Remedy not granted when one party is solely responsible for their own misfortunes. If the word used ought to have reasonable been understood by the other party, then the contract is binding on the second party. If it was reasonable for the second party to rely on the words and enter into the contract, it is binding on the first party. If clear first party made a mistake: courts consider behaviours of each party and the potential hardships of the parties, contracts become voidable. Rectification: correcting of a written document to reflect accurately the contract made by the parties.