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Introduction To Law And Practice > Misrepresentation- Invalidating Factor > Flashcards

Misrepresentation- Invalidating Factor Flashcards

1
Q

Two types of invalidating factors

A

A void contract

A voidable contract

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2
Q

What is a void contract

A

A contract that never existed

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3
Q

What is a voidable contract

A

A contract that does exist and will continue to exist unless one party decides to rescind the contract

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4
Q

Case where contract was voidable by conduct

A

Car and universal finance v Caldwell

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5
Q

What is misrepresentation

A

An untrue statement of fact or law which is made by a contracting party to another intended to induce and does induce the other party into entering the contract

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6
Q

What case showed misrepresentation by conduct

A

Gordon v Selico

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7
Q

Name 3 matters which are not misrepresentation

A

Statement of opinion

Statement of intention

Extravagant advertisements

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8
Q

Statement of opinion case

A

Bissett v Wilkinson

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9
Q

Statements of opinion based on facts

A

Cheerilow ltd v Butler Creagh

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10
Q

Statement of intention example

A

Decorator intends to use type of brand but if brand not available will use next best thing

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11
Q

Extravagant advertisements example

A

Meer puffs

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12
Q

What is caveat emptor

A

Let the buyer beware

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13
Q

Caveat emperor example

A

Sykes v Taylor Rose

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14
Q

Which act amended the caveat emptor to say a retailer should not mislead a consumer

A

Consumer protection from unfair trading regulations 2008

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15
Q

Half truth case example

A

Nottingham patent Brick and time co v Butler

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16
Q

Statement is accurate when made but circumstances change case example

A

With v O’Flanagan

17
Q

Utmost good faith in disclosure of information example

A

In insurance the consumer must disclose all necessary information. If they don’t the contract is voidable

18
Q

What is the CI D R A 2012 S 2(2) and (3)

A

Consumer insurance disclosure and representations act 2012

(2) consumer must take care not to cause misrepresentation
(3) failure to comply with insurers to amend information is misrepresentation

19
Q

What is a fiduciary relationship

A

Where one party has complete trust in the other (a duty of disclosure)

20
Q

Duty to disclose case example

A

Hamilton v Allied Domecq

21
Q

Inducement examples do not amount to misrepresentation

A

Unaware of existence of false statements

Where representee checks the information given which is false

When representee knows it’s false

22
Q

Unaware of existence of false statement case example

A

Re Northumberland and Durham Banking Co

23
Q

Checked facts for himself case example

A

Atwood v Small

24
Q

Representee doesn’t check statement is true when they gave it case example

A

Redgrave v Hurd

Reasonable for the person receiving statement to rely upon it smith v Eric S Bush

25
Q

Types of misrepresentation

A

Fraudulent
Negligent
Innocent

26
Q

Act that covers misrepresentation

A

Misrepresentation Act 1967

27
Q

Fraudulent misrepresentation how it is determined and the case

A

Derry v Peek

1) knowing false statement is made
2) statement is made without belief or truth
3) statement is make with reckless carelessness

28
Q

How can a claimant prove fraudulent misrepresentation? (Case)

A

The claimant must only demonstrate he has been influenced by misrepresentation

Hayward v Zurich Insurance

29
Q

Remedies for fraudulent misrepresentation

A

Damages and it seem rescission

30
Q

Damages awarded for fraudulent misrepresentation in tort if deceit case

A

Smith and new court securities v scrimgeour vickers

31
Q

When can remedy of rescission be lost on fraudulent misrepresentation

A

Is contract had opportunity to rescind contract but didn’t

For innocent and negligently misrepresentation for lapse of time

If the parties cannot be restored to prior position

If innocent party had acquired rights to the subject matter

32
Q

What part of the MA 1967 is negligently misrepresentation claimed under

A

S 2 (1) MA 1976

33
Q

Negligently misrepresentation case example

A

Howard Marine and dredging co Ltd v A Ogden and Sons

34
Q

What is required to prove negligent misrepresentation

A

The person making the statement must prove he had reasonable grounds to believe the statement at the time it was made

35
Q

If statement giver can prove that the statement given at the time it was made was believed to be true what type is misrepresentation Is this

A

Innocent misrepresentation

36
Q

Which act states that a person will not be entitled to a remedy of misrepresentation if it can be recovered from their act

A

Part 4A consumer protection from unfair trading regulations 2008

37
Q

Remedies for negligent misrepresentation

A

Damages and or rescission

38
Q

Remedies available in innocent misrepresentation

A

Rescission or damages in lieu of rescission

Introduction To Law And Practice (8 decks)

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