BU231 Chapter Notes - Chapter 8: Caveat Emptor, Undue Influence, Inequality Of Bargaining Power
Document Summary
Void the contract never comes into existence and no rights pass. Voidable the contract exists until set aside by a court; rights may pass to third parties before it is set aside. Equitable relief a discretionary remedy first developed by the courts of equity to undo an injustice. Rescind set aside; undo or revoke a contract and return the parties as nearly as possible to their original positions. Generally, mistakes must be about factual circumstances, not the law itself. Sometimes both parties are mistaken about the facts, a situation known as a common or mutual mistake. If the court finds that there has been a mistake, the contract may be declared either void or voidable, or, in special circumstances, the mistake may be corrected. The common law recognizes no half measures: either the contract is void or it is not. Set aside rescind; undo or revoke a contract and return the parties as nearly as possible to their original positions.
