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Contract Law Assignment 2 - Misrepresentation and Remedies Introduction A misrepresentation is a false statement of fact made by one party to another, which intentionally induces the other party into entering the contract. If misrepresentation can be proved it will render the contract avoidable and the innocent party has the right to rescind the contract and/or claim damages. False statement of fact An actionable misrepresentation must be a false factual statement. It does not include statements of opinion as illustrated by Bissett v Wilkinson (1927) AC 177, where the defendant said a sheep farm, if worked properly would carry 2000 sheep. The court held that this was nothing more than a mere statement of opinion on the subject. If a person has a special knowledge or skill in the area of negotiation, and both parties are aware of this then a stated opinion can be inferred as a statement of fact. So in the case...

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