Misrepresentation

when is it fraudulent

when a statement is made knowing it to be false

when is it innocent

when a statement is made with reasonable ground to be true

law on statement of fact or opinion if statute is made by someone who knows situation

Smith V land and house, a statement made by a party who knows the truth may be treated as statement rather than opinion

law on statement by an expert

a party who is an expert is to take reasonable care and skill as statements made are likely to be construed as facts (essa Petroleum v Mardon bad sales forecast that made buyer sign tenancy agreement, essa was liable for not taking reasonable care and skill)

law on statement of future intentions

a statement of future intentions is not generally a statement of fact, unless the person making the statement had no intentions at the time of carrying them out (Edington V Fitzmaurice lent money from bank saying they needed it for improvement to building but used to pay of debt, they were liable

law on silence

failure to volunteer information does not usually amount to misreprenstation (sykes v Tylor rose muder in house but sellers did not know, so when they said no to anything the buyers had to know there were lawful)

what are the three types of misrepresentation

fraudulent, negligent, innocent

what are the exceptions to law on silence

half truths (Dimmock V hallet) and change in circumstances (With v Flanagan must tell when there is a change in income etc)

what must the innocent party show

knowledge of and reliance on misrepresentation

what must a claimant establish to bring a claim for misrepresentation

one party induced to enter the contract as a result of false statement of fact made to him

an example of misrepresentation made by conduct

spice girls v Aprilla (they wanted the band to advertise their scooters, but band knew one member wanted to leave, therefore it was misrepresentation

when is it negligent

statement made believing it to be true but not reasonable ground for that belief

what is a statement

traders puff or boast, a representation, a term of the contract

law on statement of fact or opinion

the statement must be a fact not mere opinion, likely to be an opinion if made person who is no better position to know truth than recipient (Bisset v Wilkinson said 2000 sheep could fit on land but land never used for sheep before therefore it was just his opinion no misrepresentation)

what happens if there is misreprenstation

there is a remedy if false and contract is voidable

law on statement of law

when there is misrepresentation of law (Pankhania vLondon (3 months notice on lease, this was not lawful