Contracts Ii

Front 1

Mistake

Back 1

a belief that is not in accord with the facts

Front 2

When mistake of both parties make a contract voidable (1)

Back 2

Where a mistake of both parties at the time a contract was made as to a basic assumption on which the contract was made has a material effect on the agreed exchange of performances, the contract is voidable by the adversely affected party unless he bears the risk of the mistake under the rule stated in section 154.

Front 3

When mistake of both parties make a contract voidable (2)

Back 3

In determining whether the mistake has a material effect on the agreed exchange of performances, account is taken of any relief by way of reformation, restitution, or otherwise.

Front 4

When mistake of one party makes contract voidable

Back 4

Where a mistake of one party at the time a contract was made as to a basis assumption on which he made the contract has a material effect on the agreed exchange of performances that is adverse to him, the contract is voidable by him if he does not bear the risk of the mistake under the rule stated in section 154

Front 5

When mistake of one party makes contract voidable

Back 5

(a) the effect of the mistake is such that enforcement of the contract would be unconscionable, or (b) the other party had reason to know the mistake or his fault caused the mistake.

Front 6

When a party bears the risk of a mistake

Back 6

a party bears the risk of a mistake when (a) the risk is allocated to him by agreement of the parties, or (b) he is aware, at the time the contract is made, that he has only limited knowledge as sufficient, or (c) the risk is allocated to him by the court on the ground that it is reasoanble in the circumstances to do so.

Front 7

When misrepresentations makes a contract voidable (1)

Back 7

(1) if a party's manifestation of assent is induced by either a fraudulent or a material misrepresentation by the other party upon which the receipient is justified in relying, the contract is voidable by the recipient.

Front 8

When misrepresentations makes a contract voidable (2)

Back 8

(2) If a party's manifestation of assent is induced by either a fraudulent or a material misrepresentation by one who is not a party to the transaction upon which the receipient is justified in relying, the contract is voidable by the recipient, unless the other party to the transaction in good faith and without reason to know of the misrepresentation either gives value or relies materially on the trasnaction.

Front 9

When duress by physical compulsion prevents formation of a contract

Back 9

if conduct that appears to be a manifestation of assent by a party who does not intend to engage in that conduct is physically compelled by duress, the conduct is not effective as a manifestation of assent.

Front 10

When undue influence makes a contract voidable (1)

Back 10

(1) Undue influence is unfair persuasion of a party who is under the domination of the person exercising the persuasion or who by virtue of the relation between them is justified in assuming that that person will not act in manner inconsistent with his welfare.

Front 11

When undue influence makes a contract voidable(2)

Back 11

If a party's manifestation of assent is induced by undue influence by the other party, the contract is voidable by the victim.

Front 12

When undue influence makes a contract voidable(3)

Back 12

If a party's manifestation assent is induced by one who is not a party to the transaction, the contract is voidable by the victim unless the other party to the transaction in good faith and without reason to know of the undue influence either gives value or relies materially on the transaction.