Defenses to Enforceability

Question 1

mistake definition

Answer 1

factual error re: essential matter of contract that has materially effect on exchange

Question 2

mutual mistake of material fact

Answer 2

1. both parties have factual error re: essential matter with material effect
2. adversely affected party can rescind contract

Question 3

unilateral mistake

Answer 3

1. one party has factual error re: essential matter that has material effect
2. adversely party must not bear risk of mistake
3. exception: palpable unilateral mistake

Question 4

misrepresentation

Answer 4

1. innocent/negligent fact or omission

2. renders contract voidable if material + induced detrimental reliance

Question 5

fraud

Answer 5

1. intentional misrep/nondisclosure
2. on which offeree relies
3. damages

Question 6

procedural unconscionability

Answer 6

absence of meaningful choice in bargaining of contract

Question 7

substantive unconciosniablity

Answer 7

unreasonably harsh/oppressive terms that “shock the conscience of the court”