1. If a misrepresentation occurs, how may the contract be affected?
- It depends on what the parties decide to do
- Void contract (as if the contract never existed and no rights or obligations under the contract take effect) and voidable contract (contract still exists but can be "avoided" by the innocent party if he chooses and the contract can be rescinded)
- The contract automatically becomes void and is therefore at an end
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Other questions in this quiz
2. A misrepresentation occurs after the contract is agreed
3. What is a "misrepresentation"
- An untrue statement of fact intended to induce the other party into a contract
- When something has been presented incorrectly
4. What was established by the case of Pankhania -v- Hackney London Borough Council?
- A misrepresentation can only be made where the false statement is made in words
- A misrepresentation can be a false statement of law
- A misrepresentation can be a false statement of fact
5. Which case demonstrated the point that the 'statement' does not have to be in words, it can also be made by conduct?
- Smith -v- Land & House Property Corp
- Pankhania -v- Hackney London Borough Council
- Gordon -v- Selico
- Bissett -v- Wilkinson
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