Misrep

Question 1

Statement of fact— wales v wadham

Answer 1

Wife separating from husband
No intention of remarrying

Entered into agreement— she would received 13000 from sale of home

Later remarried— former husband argued— misrep

Held — no misrep— statement honestly held at that time

Question 2

Must induce party into contract

Answer 2

Smith v chadwick

Misrep claim— dismissed

Because statement had no bearing on purchasers decision to buy shares

Must be REAL AND SUBSTANTIAL reason for entering into contract

Question 3

Silence as actual misrep

Gil v mcdowell

Spice girls ltd v Aprilia world service BV 2000

Answer 3

Gil v McDowell

Farmer- brought animal to market where- heifers and bullocks were being sold

Purchaser— bought animal — thinking it was either heifer or bullock

Sellers silence—- misrep

Purchasers entitled to believe he was buying heifer/ bullock

Spice girls ltd v Aprilia world service BV 2000

Contract — to allow memebers of group film commercial for aprilia

Company aware one member intended to leave

Did not inform Aprilia

Held— filming by group — representation to Aprilia

Act of filming = misrep by conduct and remaining silent

Question 4

Types of Mis rep

Answer 4

Innocent
Negligent
Fraudulent

Question 5

Unberrimae fides (contracts of utmost good faith)

Chariot inns ltd v assicurazioni SPa

Answer 5

Plaintiff — sought insurance for licensed premises

Insurance company — sought to avoid contract — basis

Plaintiff didn’t not disclose previous premises damaged by fire

Underwriter — admitted this info would not have affected his judgment.
— info was material

Sc- held— test of materiality— objective