Business Law Chapter 6

When a bilateral mistake is made, neither party may avoid the contract.

• true

• false

Individuals can make a false representation by not saying something that they should say.

• true

• false

A person may win a lawsuit for fraud even if no loss is suffered.

• true

• false

A threat to exercise one's legal rights is a form of duress.

• true

• false

People who cannot read English, but sign a contract written in English are not bound by that contract.

• true

• false

Threats of a business nature that cause a person to enter into a contract without real consent would qualify as

• undue influence

• duress

• economic duress

• fraud

Mutual mistake is also known as

• unilateral mistake

• bilateral mistake

• material mistake

• intentional mistake

A deliberate deception to secure unfair or unlawful gain is

• misrepresentation

• libel

• unilateral mistake

• fraud

If what seems to be a valid contract turns out not to be, the contract is

• fraudulent

• deceptive

• defective

• mistaken

A fact that is important to one of the parties to a contract is a(n)

• material fact

• unilateral fact

• crucial fact

• concealed fact