Voluntary Consent. A lack of voluntary consent (assent)
can be used as a defense to the contract's enforceability
. Consent may be lacking due to: Mistake. Fraudulent Misrepresentation.
What are four situations where voluntary consent may be lacking for a contract?
In what types of situations might voluntary consent to a contract's terms be lacking? Consent may be lacking
because of a mistake, fraudulent misrepresentation, undue influence, or duress
.
What happens when a contract enriches a fiduciary?
When a contract enriches the dominant party in a fiduciary relationship,
the court will often presume that the contract was made under undue influence.
Which of the following is a measure of compensatory damages?
In most states, when a seller of real estate breaches a contract and sells the land to someone else, the measure of compensatory damages is:
the difference between the market price and the contract price
.
When one party is mistaken as to a material fact it is called a bilateral mistake?
A unilateral mistake occurs when only one party is mistaken as to a material fact underlying the contract. Normally, the contract is enforceable even if one party made a mistake, unless an exception applies. A bilateral,
or mutual
, mistake occurs when both parties are mistaken about the same material fact.
Who is not eligible for contract?
Minor
is not eligible to enter into a contract. Minors are individuals who are under the age of 18. Minors are not considered to have legal capacity, meaning they do not have the ability to make contracts with other people. If a minor signs a contract, they have the ability to void the deal with certain exceptions.
What happens to a contract when voluntary consent assent may be lacking?
A lack of voluntary consent (assent) can be used
as a defense to the contract's enforceability
. … A mistake of fact occurs when the parties entered into a contract with different understandings of one or more material facts relating to the contract's performance. Only a mistake of fact makes a contract voidable.
What type of conduct generally will make a contract voidable?
A contract may be voidable on the grounds of
FRAUD
, mistake, MISREPRESENTATION, lack of capacity, duress, UNDUE INFLUENCE, or abuse of a fiduciary relationship. A contract that is based on one of these grounds is not automatically void but is voidable at the option of the party entitled to avoid it.
What remedy is available in the case of misrepresentation?
Depending on the nature of the case, remedies for fraudulent misrepresentation can include
rescission of the contract and damages
. Rescission of the contract is the most common remedy, since fraudulent misrepresentation renders it voidable (as opposed to simply “void”).
When one or more parties do not follow the agreed terms of a contract without having a legitimate reason?
A breach of contract
occurs when one party in a binding agreement fails to deliver according to the terms of the agreement. A breach of contract can happen in both a written and an oral contract.
What are the 2 types of compensatory damages?
There are two types of compensatory damages—
general and actual
. Actual damages are intended to provide funds to only replace what was lost. General compensatory damages awarded are more complex, as these compensatory damages do not represent a monetary expenditure.
What are the 3 types of damages?
There are 3 types of damages are:
economic, non-economic, and exemplary
.
Is emotional distress compensatory damages?
Emotional distress damages are a subset of what are commonly called “
compensatory damages
.”
What types of mistakes will allow rescission of a contract?
In contract law, rescission is an equitable remedy which allows a contractual party to cancel the contract. Parties may rescind if they are the victims of a vitiating factor, such as
misrepresentation, mistake, duress
, or undue influence.
What happens if there is a typo in a contract?
If all contracting parties agree that a mistake has been made, they may — but do not have to —
seek court intervention to reform their agreement
. Or, they can voluntarily reform the contract themselves.
Which of the following is true when there is a mutual mistake in a contract?
Which of the following is true when there is a mutual mistake in a contract?
When both parties to a contract are mistaken about either a current or a past material fact, only the offeror can rescind the contract.
