Asked by marlon moonsammy on May 28, 2024
Verified
For a unilateral mistake to make a contract voidable,either (1)the nonmistaken party must have caused or had reason to know of the mistake or (2)enforcement of the contract must be unconscionable.
Unilateral Mistake
A situation where only one party to a contract is mistaken about the terms or subject-matter contained in that contract.
Voidable
A term describing a contract or agreement that can be legally declared invalid by one or more of the parties involved.
Unconscionable
Describes an agreement that is so unjust or overwhelmingly one-sided in favor of one party that it is deemed unenforceable under the law.
- Define and differentiate between unilateral and mutual mistakes and their impact on the contract's validity.
Verified Answer
DW
Dylan WalterMay 29, 2024
Final Answer :
True
Explanation :
A unilateral mistake can be reason for making a contract voidable provided it is proved that (1)the nonmistaken party caused or had reason to know of the mistake or (2)it would be unconscionable to enforce the contract.
Learning Objectives
- Define and differentiate between unilateral and mutual mistakes and their impact on the contract's validity.