8.1 communication mistakes and mistakes of fact
two types of cases
one of both parties made a mistake in communicating
Smith v Hughes (1871)
parties successfully communicated intentions but under a common
mistake of fact
‘unilateral mistake’
A made a mistake about intentions or identity of B
‘mutual mistake’
both parties are mistaken about each others intentions
Effects of mistake
communication mistakes
courts could choose to do nothing
could bind them to what they appeared to say
common mistakes of fact
courts can elect to enforce all contract no matter what
8.2 communication mistakes
Nature of a mistake
person is mistake about agreement which it appears has been made
objective agreement should not be enforced because of the mistake
Mistake known to the other party
if A knows B made a mistake, courts won’t allow A to rely on objective
agreement
8. Mistake 1