CONTRACT:
MISREPRESENTATION
Representation: A statement which induces entry into a contract, but which is
not part of the contract
Actionable misrepresentations:
“An unambiguous false statement of fact made to the claimant which
induces the claimant to enter into a contract with the statement-maker”
Poole
Contracts entered as a result of misrepresentation are voidable
Remedies:
o Rescission
o Damages in tort of under the Misrepresentation Act 1967
STEP 1: Is there a false statement?
STEP 2: Is it a statement of ‘fact’?
STEP 3: Does the statement, conduct or omission induce the other party to enter
into the contract?
STEP 4: Was the misrepresentation material to the decision to contract?
Elements of Misrepresentation
Unambiguous:
o Representation must clearly bear the meaning ascribed to it by the
statement-maker.
o Representor not liable if claimant places an unreasonable construction on
their words (McInerny v Lloyds)
Untrue Statement of fact:
MISREPRESENTATION
Representation: A statement which induces entry into a contract, but which is
not part of the contract
Actionable misrepresentations:
“An unambiguous false statement of fact made to the claimant which
induces the claimant to enter into a contract with the statement-maker”
Poole
Contracts entered as a result of misrepresentation are voidable
Remedies:
o Rescission
o Damages in tort of under the Misrepresentation Act 1967
STEP 1: Is there a false statement?
STEP 2: Is it a statement of ‘fact’?
STEP 3: Does the statement, conduct or omission induce the other party to enter
into the contract?
STEP 4: Was the misrepresentation material to the decision to contract?
Elements of Misrepresentation
Unambiguous:
o Representation must clearly bear the meaning ascribed to it by the
statement-maker.
o Representor not liable if claimant places an unreasonable construction on
their words (McInerny v Lloyds)
Untrue Statement of fact:
