Unilateral Mistake Flashcards
Centrovincial
The landlord failed to show that the tenant had actual or constructive knowledge of his mistake in presenting the rent and could thus not take advantage of Hartog.
Scriven v Hindley
D cannot take advantage of C’s mistake if that mistake has been induced by misleading conduct on D’s part, even if that misleading conduct is innocent.
Vickers/Champion Investments, modifying Hartog
Indicate it is sufficient that D ought reasonably to have known of C’s mistake over terms; actual knowledge not required.
Smith v Hughes
If D is aware of C’s mistake as to some quality of the subject matter, D is under no duty to disclose the truth even if the circumstances are such that a man of high honor or tender conscience would not be willing to take advantage of C’s ignorance.
Where the mistake is as to the existence of a contractual term concerning that quality, however, then D’s actual or constructive knowledge of that mistake as to terms prevents him from taking advantage of C’s mistake.
Lord Hoffmann, BCCI
“There is obviously room in the dealings of the market for taking advantage of the known ignorance of the other party.
Sale of Goods Act vs Smith v Hughes
Helps the buyer in a Smith v Hughes position establish a mistake as to terms by implying certain terms (e.g the product will correspond with description) into the contract.
Thake
The objective principle does not enable a person to rely unreasonably on the literal effect of comments made by the opponent - e.g. on an oral assurance which is “mere therapeutic comfort” - by claiming that such comments are an oral warranty.
