Types of misrepresentation

• What is fraudulent misrepresentation?

  A false statement made by a party who knows it is not true or is reckless about whther it is true. Therfore, they do not believe what they are saying is true.
• what happened in Derry v Peek?

  not fraudulent as the company directors reasonably believed permission to change to motorised trams would be a formality
• What happened in Greenridge Luton One Ltd v Kempton Investments Ltd?

  when he had made enquiries but was not told of a pending dispute this was fraudulent misrepresentation
• What is the remedy to fraudulent misrepresentation?

  Rescission and damages
• What does recission mean?

  The parties restore to original position by handing back anything obtained. This means contract continues until the innocent party chooses to end it.
• What does damages mean?

  D pays money to C to compensate for the misrepresentation. The amount needed to put things right in addition to money for inconvenience
• Who defines innocent misrepresentation, what act?

  Misrepresentation Act 1967
• What does The Misrepresentation Act 1967 define innocent misrepresentation as?

  a statement which is genuinly held and made on resonable gorunds
• What is innocent misrepresentaion?

  false statement made honestly. The person making it believed it to be true and was not negligent in believing it was true.
• What's a case example of Innocent misrep?

  Leaf v International Galleries
• What are 2 case examples of Fraudulent misrep?

  Derry v Peek; Greenridge Luton One v Kempton Investments
• What happened in Leaf v International Galleries?

  D honestly believed the painting to be by Constable was not misrepresentation
• What is the remedy for innocent misrep?

  recission or damage
• What is negligent misrepresentation?

  False statement made with no reasonable grounds for believing it to be true
• What does the Misrepresentation Act 1967 defines negligent misrep as?

  There only needs to be a misrepresentation which results in a contract and C suffering loss.
• what does not need to be proved for Negligent misrep?

  fraud
• What is a case example of negligent misrep?

  Howard Marine v Ogden
• What is the remedy for negligent misrep?

  recission and damages
• What happened in Howard Marine v Ogden?

  the owners had checked Lloyds register instead of their own paperwork and their statement was false.