Remedies 2 Flashcards
innocent misrepresentation remedies
there is no right to damages for this vitiating factor. the normal remedy is recission, though sometimes the court may use their discretion to award damages instead, the claimants cannot both have remedies.
negligent misrepresentation remedies
claimants may be awarded recission and/ or damages. the way they are calculated depends on if its common law negligent misrep (tort) or statute (contract).
fraudulent misrepresentation remedies
recission and/or damages
Royscot Trust v Rogerson
facts: Royscot Trust lent money to Rogerson for property purchase, knowing Rogerson intended to use it illegally.
held/ principle: court ruled that a lender could not recover money lent to a borrower if the lender knew the borrower intended to use the money for an illegal purpose.
East v Maurer
facts: a patient, East, underwent a medical procedure without being informed of its potential risks by the doctor, Maurer.
held/ principle: court ruled that doctors must obtain informed consent from patients before medical procedures, highlighting the significance of disclosing risks.
claim in contract or tort? (with misrepresentation the claimant can either seek a remedy in contract law or tort law)
if there would have been a good bargain had the statement have been true, the claim would be best in contract.
claim in contract or tort? (with misrepresentation the claimant can either seek a remedy in contract law or tort law)
if there would have been a bad bargain they should try to sue for fraudulent or negligent misstatement.
Sindall v Cambridgeshire County Council
facts: contractor Sindall sued the council for breach of contract after the council prematurely terminated a road construction agreement.
held: court ruled in Sindall’s favor, stating the termination was wrongful and awarded damages for the breach of contract.
principle: Prematurely terminating a contract without valid reason constitutes a breach, entitling the other party to damages.
