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Marino - Kubasek Dynamic Business Law Chapter 17

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Question
Answer
Legal Assent   Promise to buy or sell courts will require parties to obey  
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Mistake   Erroneous beliefs regarding material facts of contract at time agreement made  
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Unilateral Mistake   Mistake made by one contracting party; generally, contract still binding  
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Mutual (Bilateral) Mistake   Mistake made by both parties; if mutual mistake of material (significant) fact, either party can rescind contract  
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Fraudulent Misrepresentation   Intentional, untruthful assertion of material fact by contracting party; aggrieved party can rescind contract, and sue for damages  
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Negligent Misrepresentation   Negligent, untruthful assertion of material fact by contracting party; aggrieved party can rescind contract, and sue for damages  
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Undue Influence   Persuasive efforts of dominant party, who uses special relationship to interfere with other’s free choice of terms  
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Duress   Occurs when one party threatens other with wrongful act unless assent given  
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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  
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adhesion contract   an Unconscionable contract and cannot be basis for avoiding contract  
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