Marino - Kubasek Dynamic Business Law Chapter 17
Quiz yourself by thinking what should be in
each of the black spaces below before clicking
on it to display the answer.
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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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