LAW 122 Study Guide - Confidence Trick, Actual Size, Condition Subsequent
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Previous chapters: seen how a contract is formed; now we examine the legal effect of statements made/adopted by parties in connection with their contracts. Misrepresentation: what happens when statements are false? contractual terms: how are terms incorporated into a contract? standard form agreements: using plain language in contracts. 202) focus on statements made during the negotiation of a contract. Statements made before the contract: during negotiations. Statements that become part of the contract terms of contract. Distinguish between contractual terms and pre-contractual reps. Not every statement communicated during the negotiation is a contractual term. Pre-contractual representation = a statement made by words or conduct with the intention of contractual term = a provision in an agreement that creates a legally enforceable obligation inducing another party to enter into a contract. A statement of an existing fact (not an opinion) . May be actionable if it induced a contract that is false when made (as opposed to future performance)