Asked by Katie Moules on May 09, 2024
Verified
Distinguishing between unilateral and mutual mistakes is important because the classification bears on which contracts ________.
A) are void
B) are voidable
C) lack consideration
D) lack legality
E) are entitled to enforcement in a court of equity
Unilateral Mistake
A contract law principle where an error made by one party does not affect their understanding of key terms or obligations, affecting the contract's enforceability.
Mutual Mistakes
A situation in a contract where all parties have a misunderstanding or incorrect belief about a basic assumption on which the contract is based.
Voidable
A term for an agreement or contract that may appear valid but can be legally voided by one of the parties.
- Comprehend the differences between one-sided and reciprocal errors in contractual agreements.
Verified Answer
QQ
Qusai QwasmehMay 15, 2024
Final Answer :
B
Explanation :
A mistake is an erroneous belief about the facts of a contract at the time the contract is concluded.Mistakes in contracts may be classified as either unilateral or mutual.A unilateral mistake is the result of an error by one contracting party about a material fact,while a mutual mistake is shared by both parties to the agreement.The distinction between unilateral and mutual mistakes is important in determining which contracts are voidable.
Learning Objectives
- Comprehend the differences between one-sided and reciprocal errors in contractual agreements.