Vitiation Flashcards
(19 cards)
Raffles v Wichelhaus [1846]
Talking about 2 different ships.
Bilateral mistake= absence of agreement.
Vitiation I: Mistake
Smith v Hughes [1871]
Contract was not void for mistake because any reasonable onlooker would conclude the parties were in agreement about what was being sold.
Vitiation I: Mistake
Shogun Finance v Hudson [2003]
Mistaken identity. Rogue pretended to be Mr Patel. Contract was void because of the mistake. Paper based fraud- identity stolen.
Vitiation I: Mistake
Phillips v Brooks Ltd [1919]
Face to face negotiations. Rogue pretended to be Sir George Bullough. Contract was void as the claimant had intended to make a contract with the person in front of him.
Buying jewellery.
Vitiation II: Misrepresentation
Mallins v Freeman [1837]
Mistake in equity.
Defendant bid for and bought one lot at an auction, believed he was buying a totally different lot. Court rejected plead for specific performance.
Vitiation II: Misrepresentation
Gallie v Lee [1971]
Non est factum= ‘not my deed’.
Mrs Gallie sued on the grounds of mistake.
Had been tricked into signing the document, but held that the document was not fundamentally different to the one she thought she signed.
Vitiation II: Misrepresentation
Dimmock v Hallet [1867]
Landlord stated that the land was fertile and fully let. Tenants had served notice to quit.
Fully let= misrepresentation. Fertile= mere puff.
Vitiation II: Misrepresentation
Esso Petroleum Co Ltd v Mardon [1976]
Negligent representation made by Esso, special expertise in circumstances so needed to make sure representation was correct.
Vitiation II: Misrepresentation
Redgrave v Hurd [1881]
Hurd made an innocent misrepresentation regarding the accounts of the business.
Innocent misrepresentation as there was a genuine belief in the statement.
Vitiation II: Misrepresentation
Leaf v International Galleries [1950]
Bought painting, only realised it was a fake 5 years later. Too late to claim rescission.
Vitiation II: Misrepresentation
Long v Lloyd [1958]
Lorry had numerous defects, so Lloyd paid for them. The lorry then broke down again. It was held that the contract could not be voided as the plaintiffs had already affirmed the contract.
Vitiation II: Misrepresentation
Barton v Armstrong [1976]
Barton was coerced into an agreement to buy shares in company- Armstrong threatened to have him murdered.
Astley v Reynolds [1731]
Duress to goods. Refused to allow the plaintiff to redeem the plate unless £10 paid out of interest.
Williams v Roffey Bros [
Established by CoA that no threat had been made so there was no economic duress. Also Roffey’s bargaining position was not desperate. Implied threat though?
North Ocean Shipping Co v Hyundai Construction Co
Shipbuilders demanded an additional 10%. This was economic duress and so the contract was voidable.
Royal Bank of Scotland v Etridge (No.2) [2001]
Undue influence developed by courts of equity as a court of conscience.
8 appeals, wife’s home as security for husband’s indebtedness.
Pao On v Lau Yin Long [1980]
Unacceptable and acceptable commercial pressure.
Lloyds Bank v Bundy [1974]
Inequality of bargaining power doctrine argued by Lord Denning. Advocates the courts duty to intervene in such circumstances.
National Westminster Bank v Morgan [1985]
Need in modern law to erect a principle of inequality of bargaining power. The courts do not need to assume the burden of formulating further restrictions on contracts.