Chapter 9 Flashcards
Equitable relief
a discretionary remedy first developed by the courts of equity to undo an injustice
Rescind
set aside; undo or revoke a contract and return the parties as nearly as possible to their original positions
Common mistake
both parties believe the same erroneous fact
Mutual Mistake
both parties are mistaken but believe something different from each other
Unilateral Mistake
one party is mistaken, and the other knows the truth
Set Aside
possible to their original positions
Rectification
correction of a written document to reflect accurately the contract made by the parties
Mistake of Existing Identity
Contract is void
Mistake of Fabricated identity
Contract is voidable
Non est factum
“it is not my doing”
Material
could reasonably be expected to influence or induce the decision of a party to enter into a contract
Expert Opinion
opinions given by a person who purports to have specialized knowledge of a subject
Indemnity
a money award given as a supplement to rescission for loss sustained in performing a contract
Compensation
Indemnity
Utmost good faith
a duty of disclosure owed when a special relationship of trust exists between the parties
Caveat emptor
let the buyer beware
Cooling-off period
a time during which a consumer may cancel (rescind) a contract without any reason; length of the time period is set in provincial legislation
Undue Influence
the domination of one party over the mind of another to such a degree as to deprive the weaker party of the will to make an independent decision
Guarantor
one who agrees to pay the debts of another person if that person defaults
Unconscionable Contract
contracts where there is unequal bargaining power between the parties, and the powerful party gets an extremely advantageous deal
Duress
actual or threatened violence or imprisonment as a means of coercing a party to enter into a contract
Coercion
improperly forced payment under protest
