Exam 11: Conduct Invalidating Assent

For a misrepresentation to be fraud in the inducement,it need not be material.

If untrue,which of the following would probably be considered a misrepresentation of a material fact?

A misrepresentation is material if:

To obtain relief for negligent or innocent misrepresentation,all the remaining elements of fraud must be present and the misrepresentation must be material.

A unilateral mistake of fact is typically grounds for avoiding a contract.

Contracts induced by threats of ____ are voidable,regardless of whether the coerced party has committed an unlawful act.

Eliza was an antique expert.She went to a party at Johanna's house and saw a magnificent Queen Anne table out on the back porch.She asked Johanna about it and was told it was in the way so they were going to store it in the barn.Eliza offered to buy it from her for $200.The next week,Johanna saw it in Eliza's store on sale for $3,000.Johanna:

Which of the following need NOT be proved in order to establish the defense of economic duress?

If a confidential relationship exists between parties to a contract,the law presumes that undue influence exists if it appears that the dominant party has gained at the other party's expense,but the presumption can be rebutted by evidence that it was not exercised.

Steven has a typed copy of a contract,which he would like to have Thomas sign.Thomas,who needs glasses to read typing,doesn't want to sign until he has read the document,but Steven convinces Thomas to sign it anyway,because it is a "standard" contract for this type of situation.Is the contract which Thomas signed binding upon him?

A fiduciary is a:

Ralph sold a motel to Steve by stating that he had paid $250,000 for it and that his net average annual profit from the business has been $40,000.In reality he paid $100,000 for the motel and has earned a net average annual profit of only $30,000.Steve made no attempt to verify the statements until after the transaction was completed.In this case:

Which of the following is NOT an element of fraud?

Generally,whether or not the parties deal at arm's length does not affect whether silence alone amounts to fraud.

A seller's promise to service a sewing machine free for the next 90 days when she has no intention of doing so is actionable as a false representation of a fact if the other elements of fraud are present.

A famous decision involving mistake as to the meaning of contract terms is Raffles v.Wichelhaus,a case involving two ships with the same name which were confused by the two parties to the contract.

If the act or threat would affect a person of average strength and intelligence,then and only then will the act constitute duress.

Jared threatens to hit Kingston on the head with a golf club unless Kingston signs a contract agreeing to pay Jared $900 for a wristwatch.If,because of the threat,Kingston signs the contract:

Define undue influence and name some of the relationships that would be affected.

Which of the following results in a void,rather than voidable,agreement?