Definition (misrep)
False statement of material fact mede by a party to a contract that induces other party in to making a Contract
4 elements needed
- False statement
- material fact
- made by a party to the contract
- induces other party
Fletcher v krell
Governess divorced - wouldn’t have been hired if other party aware -no misrep as not asked
With v o’ Flanagan
Doctor correctly states profits. Becomes ill, patients leave - made original statement false did not disclose -misrep
Dimmock V hallett
Seller says tenants on land - there but was they were leaving
-part-truth - misrep
Tate v Williamson
Advised client to sell land cheap - did not disclose he was personally buying land
-relationship built on trust - misrep
Lambert v co-op
- Insurance contract - all facts should be disclosed - whether asked or not
-husband had stole in past, would’ve affected cost insurance
-misrep
Spice girls v asprilla
Filmed sponsorship material. Did not say, was leaving - 1 leaves material worthless - misrep
Material fact def
Fact not opinion -lead a reasonable person to make contract
Bisset v wilkinson
- Selling farm guesses could hold 2000 sheep -No misrep as genuinely believed true
Edgington fitzmaurice
- Said investments to alter building -really to pay debt -misrep
Atwood v small
- Seller of mine - false statement about profit - claimant relied on a surveyor who valued wrong -no misrep
Redgrave v Hurd
- Bought solicitor practice -given accounts
-verbally misled so did not check accounts - misrep
Museprima
What reasonable person would do not relevant
Consumer protection regulations 2014
- Misleading can be material info omitted hidden or unclear
Innocent misrepresentation def
Misrep act - 1967 - genuinely believed statement on reasonable grounds - recession or damages
Negligent misrepresentation
- Misrep without reasonable grounds to believe -true rescission and damages may be Available
Howard marine v Ogden
Failed to check registration document check capacity of barge-negligent
Fraudulent
Known to be untrue
Derry V peek
Tram co genuinely thought would get consent to go motorised when looking for investors
- not fraud
Remedies not Granted if
- Impossible - Clarke v Dickinson company now a partnership
- Contract affirmed - long v Lloyd- truck -repaired
- Leaf international galleries - 5 years later discovers on attempt to sell - delay defects equity
