COB 218 Chapter Notes - Chapter 13: Anticipatory Repudiation, Video On Demand, Rescission
Document Summary
Only a mistake of fact makes a contract voidable. The mistake must involve some material fact- a fact that a reasonable person would consider important. A unilateral mistake is made by only one of the parties. A unilateral mistake does not give the mistaken party any right to relief from the contract. The general rule has at least two exceptions. A bilateral mistake is a mutual misunderstanding concerning basic assumption on which the contract was. When both parties are mistaken about the same material fact, the contract can be rescinded by either. A word or term in a contract may be subject to more than one reasonable interpretation. If the parties to the contract attach materially different meanings to the term, a court may allow the. Voluntary consent may be lacking because of a mistake, misrepresentation, undue influence or duress. Voluntary consent: the knowing and voluntary agreement to the terms of a contract . if voluntary consent.
