Asked by Joann Quigee on May 13, 2024

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Which of the following is true on appeal regarding the case of Mary W. Scott v. Mid-Carolina Homes, Inc., discussed in the "Case Nugget" in which the plaintiff sued to recover damages after a salesperson allegedly mistakenly agreed to sell a mobile home to her for a price that was too low, later told her the mobile home could not be sold because of a bent frame, and then proceeded to sell it for a higher price to other buyers?

A) The court refused to find that the defendant had the right to rescind the contract based on the alleged unilateral mistake.
B) The court refused to find that the defendant had the right to rescind the contract because a mutual mistake was involved.
C) The court found that the defendant had the right to rescind the contract because, even though the salesperson acted questionably, the plaintiff had not made a down payment.
D) The court ruled that the defendant had the right to rescind the contract because a unilateral mistake was involved.
E) The court ruled that the defendant had the right to rescind the contract because a mutual mistake was involved.

Unilateral Mistake

A unilateral mistake occurs when only one party to a contract is mistaken about a basic assumption on which that party entered into the contract.

Mutual Mistake

A situation in contract law where all parties involved have a mistaken belief about a basic assumption on which the contract is based.

  • Acquire an understanding of the legal solutions and outcomes of disagreements in contracts caused by inaccuracies or deceitful claims.
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Simran singhMay 18, 2024
Final Answer :
A
Explanation :
DThe court refused to find that the defendant had the right to rescind the contract based on the alleged unilateral mistake, indicating that a mistake made by one party (unilateral mistake) was not sufficient grounds for rescission in this case. Additionally, the court ruled that the defendant had the right to rescind the contract because a unilateral mistake was involved, which suggests that the court recognized the mistake as being on the part of the defendant alone but still allowed for the contract to be rescinded. This combination of answers highlights a nuanced understanding of contract law, particularly in how unilateral mistakes are treated in the context of contract rescission.