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Marino Chpt17

Marino - Kubasek Dynamic Business Law Chapter 17

QuestionAnswer
Legal Assent Promise to buy or sell courts will require parties to obey
Mistake Erroneous beliefs regarding material facts of contract at time agreement made
Unilateral Mistake Mistake made by one contracting party; generally, contract still binding
Mutual (Bilateral) Mistake Mistake made by both parties; if mutual mistake of material (significant) fact, either party can rescind contract
Fraudulent Misrepresentation Intentional, untruthful assertion of material fact by contracting party; aggrieved party can rescind contract, and sue for damages
Negligent Misrepresentation Negligent, untruthful assertion of material fact by contracting party; aggrieved party can rescind contract, and sue for damages
Undue Influence Persuasive efforts of dominant party, who uses special relationship to interfere with other’s free choice of terms
Duress Occurs when one party threatens other with wrongful act unless assent given
Unconscionability Occurs when one party has so much relative bargaining power that he/she effectively dictates terms of contract, resulting in situation where dominated party, in essence, lacks free will
adhesion contract an Unconscionable contract and cannot be basis for avoiding contract
Created by: tinafici