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Vitiating Factors

Types of Misrepresentation and Remedies

  • 4 things to know
  • Paper 3

Overview

Recall questions on fraudulent, negligent and innocent misrepresentation, rescission and its four bars, damages for each type and section 2(1) of the Misrepresentation Act, and damages in place of rescission.

What you need to know

Answer each one before you reveal it.

Your recallNot started
Key term

What is fraudulent misrepresentation?

Key term

What are the three types of misrepresentation?

Key term

How do third party rights bar rescission?

Process

What states of mind make a misrepresentation fraudulent, and how does negligent misrepresentation differ?

Questions from this subtopic

Each one with the model answer underneath.

  1. 1

    What is fraudulent misrepresentation?

    Model answer

    A false statement made knowingly, without belief in its truth, or recklessly as to whether it is true or false.

  2. 2

    If a person makes a false statement knowing it to be untrue, what type of misrepresentation is this?

    Model answer

    Fraudulent misrepresentation.

  3. 3

    What mental state regarding truth satisfies fraudulent misrepresentation?

    Model answer

    Making the statement without belief in its truth.

  4. 4

    How does recklessness feature in fraudulent misrepresentation?

    Model answer

    A statement made recklessly as to whether it is true or false constitutes fraudulent misrepresentation.

  5. 5

    What distinguishes negligent misrepresentation from fraudulent misrepresentation?

    Model answer

    Negligent misrepresentation involves carelessness without reasonable grounds for belief, whereas fraudulent misrepresentation involves knowledge of falsity, lack of belief in truth, or recklessness.

  6. 6

    What is innocent misrepresentation?

    Model answer

    A false statement made with an honest and reasonable belief in its truth.

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