Chapter 12 Reality of Assent
intentional misrepresentation
A false representation of a material fact made by a party who either knows or believes that the factual claim is false or knows that there is no basis for the assertion. Scienter is clear.
negligent misrepresentation
A false statement of material fact made by a person who thinks it is true but who would have known the truth about the fact had he or she used reasonable care to discover or reveal it.
mistake
An erroneous belief about the facts of a contract at the time the contract is concluded. When this occurs, legal assent is absent
fraudulent misrepresentation
a false representation of a material fact that is consciously false and is intended to mislead the other party
innocent misrepresentation
a false statement about a fact material to an agreement that the person who made the statement believed to be true
voidable
a term applied to a contract that one or both parties have the ability to either withdraw from or enforce
misrepresentation
an untruthful assertion by one of the parties about a material fact
duress
any unlawful act or threat exercised on a person whereby the person is forced to enter into an agreement or to perform some other act against his or her will
nondisclosure
failure to provide pertinent information about a projected contract
scienter
knowledge. As in, the person had or lacked BLANK.
concealment
the active hiding of the truth about a material fact
mutual mistake
the result of an error by both parties about a material fact, that is, one that is important in the context of a particular contract
unilateral mistake
the result of an error by one party about a material fact, that is, one that is important in the context of a particular contract
undue influence
the situation in which one person has taken advantage of his or her dominant position in a relationship to persuade the other person unduly to the extent that the dominant person's persuasive efforts have interfered with the other person's ability to make his or her own decision
rescind
to cancel a contract