Misrepresentation REVISION Flashcards
What is actionable misrepresentation?
this is a statement of material fact made prior to the contract by one party to the contract to the other which is false or misleading and which induce the other party to enter into contract
What 4 statements may not be treated as being statements of material fact?
opinion
mere sales talk
statements of future intention or conduct
statements of law
Which case is authority for the principle that a false statement of opinion is not a misrepresentation of fact?
Bissett v Wilkinson
What happened in the case of Bissett v Wilkinson which is authority for the principle that a false statement of opinion is not a misrepresentation of fact?
the claimant purchased two pieces of land from the defendant for the purpose of sheep farming
the defendant said he believed it would be suitable for 2,000 sheep
the claimant bought the land upon that belief though both parties knew that the defendant had not carried on sleeping farming on the land; and did not hold 2,000 sheep
Legal principle:
the court upheld the decision of the trial judge who considered that in ordinary circumstances, any statement made by an owner who has been occupying his own farm as to its carrying capacity would be regarded as a statement of fact, however in this case this statement was nothing more than an expression of his opinion on the subject
could not give rise to an actionable misrepresentation
the claimant purchased two pieces of land from the defendant for the purpose of sheep farming
the defendant said he believed it would be suitable for 2,000 sheep
the claimant bought the land upon that belief though both parties knew that the defendant had not carried on sleeping farming on the land; and did not hold 2,000 sheep
Legal principle:
the court upheld the decision of the trial judge who considered that in ordinary circumstances, any statement made by an owner who has been occupying his own farm as to its carrying capacity would be regarded as a statement of fact, however in this case this statement was nothing more than an expression of his opinion on the subject
could not give rise to an actionable misrepresentation
What case is this under which principle?
Bissett v Wilkinson which is authority for the principle that a false statement of opinion is not a misrepresentation of fact
When might an opinion be regarded as a statement of fact?
where the party making the statement has some special knowledge or skill which gives weight to their opinion, then their opinion may be treated as being an implied representation of fact
What case supports the principle that where the party making the statement has some special knowledge or skill which gives weight to their opinion, then their opinion may be treated as being an implied representation of fact
Smith v Land and House Property
In this case the defendant misrepresented that a tenant he knew was not reliable and most desirable and was found liable as a statement rather than opinion as he had sufficient knowledge, and as it was false it was established as a misrepresentation and rescinded the contract
What case is this under which principle?
Smith v Land and House Property under principle that where the party making the statement has some special knowledge or skill which gives weight to their opinion, then their opinion may be treated as being an implied representation of fact
What happened in the case of Smith v Land and House Property under principle that where the party making the statement has some special knowledge or skill which gives weight to their opinion, then their opinion may be treated as being an implied representation of fact
In this case the defendant misrepresented that a tenant he knew was not reliable and most desirable and was found liable as a statement rather than opinion as he had sufficient knowledge, and as it was false it was established as a misrepresentation and rescinded the contract
