What is the test for mental disorders/intoxication?
1 The complaining party proves they did not understand what thye were doing entering the contact.
2. The other party was aware at the time the contract was formed.
What is the test for duress?
- Did the complaining party protest?
- Was there another course of action?
- Independent Advice?
- Did they take steps to avoid?
- Legitimate pressure?
Who has a presumed relationship of trust?
Child/Parent guardian/warden Doctor/patient solicitor/client trustee/beneficary
What is the test for undue influence?
- Party had capacity to influence.
- Influence was exercised
- The exercise was undue
- brought about a transaction
- there was a disadvantage
What is the test for unconscionable bargains?
- Special disadvantage
- Knowledge of disadvantage
- Victimization
What is victimization?
Active extortion of benefit
OR
Passive acceptance of a benefit in unconscionable circumstances
What is the test for misrepresentation?
- A false statement of past or present fact
- Material into entering the contract
- Party suffered a loss
What is frustration?
Frustrating event renders performance radically different from that contemplated
What is Quantum Merit?
A fair price for work done
What is a mistake under contract law?
A mistake of law or fact
Induces mistake in interpretation of a document other that the subject contract
What is an exclusion clause?
A term in a contract that seeks to exclude or limit the liability
What is a duty to mitigate?
Once breach of contract occurred, the innocent party is under a legal duty to take reasonable steps to minimize loss
