LAW 122 Study Guide - Final Guide: Parol Evidence Rule, Collateral Contract, Standard Form Contract

• School: Ryerson University
• Department: Law and Business
• Course: LAW 122
• Professor: Theresa Miedema

Document Summary

Unlike representation and misrepresentation, contractual terms arise from statements that actually impose obligation under the contract. There are 2 types of contractual terms: express terms, misrepresentation: is a statement made by one of the parties that a reasonable person would believe was intended to create an enforceable obligation. It is often difficult to prove the terms of a contract that was created orally. When an agreement is unwritten or un-witnessed, a court is required to determine whose version of events is more believable. As a matter of risk management, it is usually a good idea for a business person to get it in writing. Aside from the issue of proof, written agreement encourages the parties to contemplate the terms more carefully. If an agreement is written, oral evidence generally cannot be used to add to, subtract from, qualify, or vary the terms of the document.