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Contract - Vitiation

Vitiating Factors: Misrepresentation

QuestionAnswer
What is a misrepresentation? False statement of material fact that induces the other party to enter a contract
Fletcher v Krell Silence cannot be a misrepresentation - applied for governess and didn't mention divorce
With v O'Flanagan Duty to update previous statement if facts change
Dimmock v Hallet Half-truth - duty to explain more about tenants who were planning to leave
Tate v Williamson Financial advisor had a duty to say something due to relationship (purchased land from client)
Spice Girls Ltd v Aprilia You can misrepresent through your actions - all attending signing represented that none intended to leave
Bisset v Wilkinson Sheep farm: statement of opinion so not misrepresentation
Edgington v Fitzmaurice "Money will be used for building work" - incorrect statement of fact so misrepresentation
Attwood v Small False statement doesn't induce since buyer relies on surveyor
Redgrave v Hurd verbal statement different to accounts but could have checked - doesn't matter - still misrepresentation
Long v Lloyd Contract affirmed so could no longer rescind contract
Lambert v Co-op Insurance Duty to disclose all information to insurance company
What is Innocent Misrepresentation? False statement made honestly (always believed it to be true so no element of negligence)
What is the remedy for Innocent Misrepresentation? Recission or damages at court's discretion
Lewis v Averay Innocent misrepresentation: honestly believed car belonged to famous actor
What is Negligent Misrepresentation? False statement made by someone who believed it was true but had no reasonable grounds to believe it was true
What is the remedy for Negligent Misrepresentation? Damages and/or recission
Howard Marine v Ogden Negligent misrepresentation
What is Fraudulent Misrepresentation? False statement made by someone who knows it is untrue or is reckless as to whether or not it is true
What is the remedy for Fraudulent Misrepresentation? Damages and recission
Greenridge Luton One v Kempton Fraudulent Misrepresentation
Misrepresentation Act 1967 - outlines types of misrep
Misrepresentation Act section 2 Negligent misrep: burden of proof shifts to party making statement to show reasonable grounds for belief
Created by: Oscar.G
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