Situations Giving Rise to a Voidable Contract

What is the key difference between fraud and misrepresentation in contract law?

• Fraud is always criminal, while misrepresentation is not.

• Fraud can never void a contract, while misrepresentation can.

• Fraud requires intent to deceive, while misrepresentation does not.

• Fraud involves a mistake, while misrepresentation involves deceit.

Which of the following best describes duress in contract law?

• A mistake made by both parties.

• A clerical error in the contract terms.

• A threat used to force someone into a contract.

• An unintentional misstatement of fact.

How does undue influence differ from duress in contract law?

• Undue influence is always intentional, while duress is accidental.

• Undue influence is a mutual mistake, while duress is a unilateral mistake.

• Undue influence involves exploiting a relationship, while duress involves threats.

• Undue influence involves physical threats, while duress involves economic threats.

In which scenario can a unilateral mistake allow a contract to be voided?

• When the mistake is about a non-material fact.

• When the other party is unaware of the mistake.

• When both parties make the same mistake.

• When the mistake is clerical and causes undue hardship.

What is required for a mutual mistake to void a contract?

• The mistake must be about a non-material fact.

• Both parties must misunderstand a material fact.

• The mistake must be intentional.

• Only one party must misunderstand a material fact.