Vitating factors - Misrepresentation Flashcards
What is misrepresentation?
A false statement of material fact made by a party to the contract which induces the other party to enter a contract
what are the 4 elements of misrepresentation?
- False statement
- materia fact
- made by party to the contract
- induces other party to enter a contract
prior to the misrepresentation act 1967, what was the law?
if a statement was proved not to be true - there was still no right to claim.
conduct satisfies the element of false statement as seen in which cases?
Gordon v selico / spice girls v aprilla
If a statement was true but when the contract was made became untrue, this must be corrected as seen in
With v o’flanagan
silence can amount to misrepresentation if it is a half truth as seen in
Dimmock v hallet
In the case where the contract is made based on trust, silence can amount to misrepresentation as seen in
Tate v williams
In the case of contracts made with ‘utmost good fiath’ all material facts must be disclosed or this could amount to misrepresentation as seen in
Lambert v co-operative insurance
What does it mean by the statement must have ‘material fact’?
it has to be true, cannot be based on opinion
what case is used under material fact?
Bisset v wilkinson
What happens if a party makes a statement of future intention and turns out that there was not any future intention?
This can amount to misrepresentation
What case established that making a false statement about future intentions amounts to misrepresentation?
Edgington v fitzmaurice
who can make a claim in a misrepresentation claim?
Only those who are partty to the contract
What does ‘induce the other party to enter the contract’ mean?
The statement led the toher party to make the decision to enter the contract
what happens if a party relies on the statement of a third party?
This would not amount to misrepresentation - can only be those party to the contract
