Unit 8 Contract law 2: Misrepresentation

Homework
What is the meaning of misrepresentation? Give some examples. Explain the difference between fraudulent misrepresentation, innocent misrepresentation and negligent misrpresentation (you can check the Wikipedia and any dictionaries) Look at the words in box B on page 62. What is their legal meaning? Can you think of a synonym? Look at the words in box C on page 62. Match the words on the left with their synonyms on the right.

The following text is a paraphrasis of the text Esso Petroleum Company Ltd v Mardon [1976] QB 1, CA on page 62. Complete the sentences using an appropriate form of the word in brackets.

The defendant wanted to take (TENANT) .. on a petrol station. He was (INFORM) .. by a person from Esso with (KNOW) .. in this area that he would sell 200,000 gallons of pretrol in the third year. A three-year lease was signed and Marlon made every effort to be (SUCCESS) .. . Unfortunately, the petrol station was (BAD) .. located with the result that only approximately 60,000 gallons were sold in the final year of the lease. As a result, Mardon made a (LOSE) .. and was not able to make the (PAY) .. for the fuel he had received. Esso prosecuted him, asking for the money he owed, and, in turn, Mardon sought redress on the grounds that Esso had (REPRESENT) .. the sales. The judge, Lord Denning, decided that Mardon had been persuaded to enter into the lease by Essos salesman because he relied on his expertise in the area. The (PREDICT) .. of sales in the third year was incorrect and this meant that a guarantee had been broken.

Exercise A page 64
Look at the items in the blue box - What type of misrepresentation might be made by a seller of each item? - What remedies might the purchaser have?

Reading page 65
Look at the title of the text: what do you think the text is about? Read the text and answer the following questions: 1) What is the necessary requisite for misrepresentation to be actionable (=subject to action on behalf of the injured party? 2) Who must prove fraudulent misrepresentation? 3) What is the usual remedy for negligent misrepresentation? 4) What does rescission mean? 5) Who must prove innocent misrepresentation?

Look for words and expressions in the text which mean the same as the following: 1-fail to honour a contractual obligation 2-money awarded by court in compensation for a breach of contract3-parties entering into a contract must beware and be careful about the contract 4-that can lead to legal action 5-person who brings a civil action 6-parties are restored to the position they were to before the contract 7-trusted 8-the manner in which a right is enforced or satisfied by a court when some harm or injury is inflicted upon an individual 9-reasons 10-responsible

Writing an essay (bottom p.67)

Waynesvillw College prepares students for university in the UK. The college states in its brochure: All students will be placed in suitable accommodation within an hour by public transport from the college. All classes are taught by fully qualified and highly experienced teachers Student X shared a room with three other students: it generally took him an hour and a half to reach the college. His teacher had only just graduated from university. Student X failed to get into university and wants to sue Waynesville College. Write an essay of approximately 100 words advising Student X on the legal implications and possible outcomes of the case. Try to answer the following questions: - Can the brochure of Waynesville College be considered misrepresentation? Why? Why not? - If yes, what type of misrepresentation is it? What remedies can be applied?