Contract Law. Questions and Answers Essay Example | Topics and Well Written Essays - 1000 words

Contract Law. Questions and Answers - Essay ExampleIn such case the embrace is void whether it is the non-existent field matter of the agreement ( Res Extincta) or it is regarding the contract of purchase of own property(Res Sua) . The case of unilateral misapprehension is where only adept troupe is misplayn. This can be by mistake as to the terms of the contract and also by the mistake as to the identity in which the first party thinks of the third party as the second party.Where the parties ar inter prae sentes (face to face) there is a presumption that the mistaken party intends to lead with the other person who is physic eachy present and identifiable by sight and sound, irrespective of the identity which one or other may assume. In the case of mutual mistakes where the parties misunderstand each others intentions and are at cross purposes and if the transaction is totally ambiguous so that it can be assumed that there depart be no consensus ad idem (agreement as to the same thing) and the contract will be void tho mistake related to documents also leads the contract voidable.If writing contracts were costless, the parties would specify which of their intuitive feelings were crucial to the agreement and condition doing of those beliefs, just as they would avoid all ambiguity in defining performance by including all details that might be relevant (1)Since reSince reading and writing contracts is costly, courts sometimes fill gaps in neither contracts by supplying the omitted terms, asking what the parties would have specified ex ante had the contract writing been costless. When beliefs are mistaken, the court might follow a similar rule, not by adding omitted terms (since the contract is unambiguous), that by modifying the contract to express the true intentions of the parties. or, the court could reform the contractual obligations by voiding the contract, passing the reconstructing to the parties involved. Reforming or voiding contracts, howe ver, goes beyond the gap-filling function in which courts customarily engage it is an almost paternalistic transfer in the contracts express terms.In the same manner, the Court always tries to make distinction between incorrect belief and mistake to empty the concept of the mistake from its original meaning. In the opinion of the Court mutual mistake will be used to announce a decision not to enforce the promis