Terms or Representations Flashcards

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1
Q

4 factors that a court will consider when deciding if a statement was a term or just a representation

A
  1. the importance attached to the statement
  2. special knowledge/ skill of a person who made the statement
  3. time lag between statement and final contract
  4. whether the control was put into writing (not just oral)
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2
Q
  1. The importance attached to the statement
A

if the statement was very important to the C when they were deciding whether to enter the contract, then the statement was probably a term of the contract

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3
Q

Couchmann v Hill

A

An auction catalogue stated that a cow was not pregnant. The auctioneer and farmer selling the animal confirmed this. In fact the cow was pregnant + died while calving.
The statement was clearly important to the purchase and was taken as a TERM rather than a representation

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4
Q
  1. The special knowledge/skill of the person who made the statement
A

if the person making the statement was very knowledgeable about the subject, the statement was probably a term

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5
Q

Oscar Chess v Williams

A

The private seller of a car believed it to be a 1948 model but it was actually much older and worth a lot less. Not knowledgeable in this area.
Not a term in this contract but a REPRESENTATION

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6
Q

Dick Bentley v Harold Smith motors

A

the car dealer stated that the car had done 20,000 miles when in fact it had done 100,000 miles - garage had expert knowledge
Even though that statement wasn’t written in the contract, it was taken to be a TERM of the contract rather than a mere representation

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7
Q

if a term is breached, the C can sue for…

A

Breach of Contract

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8
Q

The remedies are…

A

> repudiation (if term is a condition)
damages (if term is a warranty)

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9
Q

if a representation is breached, the C can only sue for…

A

misrepresentation

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10
Q
  1. The time lag between the statement and the final contract
A

if a contract is finalised a long time after a statement is made and the statement was not repeated, the statement is likely to be mere representation

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11
Q

Routledge v Mackay

A

date of manufacture was misstated by 12 years, the contract was made 7 days after this was stated
the court decided that the statement was a mere representation

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12
Q
  1. Whether the contract was put into writing (not just oral)
A

Not all contracts are written down, but if a contract is in writing, the court will presume everything the parties wanted was written down - everything else said was a representation

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