Академический Документы
Профессиональный Документы
Культура Документы
Pre-contractual statements:
1. Mere puffs: statements which have no legal effect; vague because of imprecision or
exaggeration
Eg. Dimmock v Hallet: The Court of Appeal held that although the statement about the land
being "fertile and improvable" was merely a "flourishing description" and did not entitle the
buyer to rescind. Eg. An ad stating ‘the best restaurant in town’
2. Representations: statements made before or at the time a contract is formed. They concern
some matter related to the contract.
- Contract is not breached if the representation is untrue
- Injured party may have a remedy under the law of misrepresentation, but cannot initiate
for a breach of contract
TERMS VS REPRESENTATION
- Similarity: Both originate as oral or written statements made beore a contract is formed
- The main criterion for distinguishing them is the INTENTION OF PARTIES
5 GUIDELINES
1. Time when the statement was being made
2. Importance of statement/ Maker’s emphasis
3. Maker’s special knowledge
- When the maker of statement has a greater knowledge/in a better position to know the
true facts concerning the statement as compared to the other party, it is more likely that
the statement is a term.
- Rationale: the other party would be dependent upon the maker of the statement for its
accuracy.
5. Written Statement
If reduced into writing, more likely a term