induces the other party into the contract
-> not enough for statement to be untrue, must be important in forming the contract
-> must agree to enter the contract
-> must have relied on the statement over their own judgement - attwood v small
-> not a defence for maker of statement to claim other party could use reasonable steps to find the truth - redgrave v hurd
->not a defence for maker of statement to claim the other party acted unreasonably in relying on the untrue statement - museprime properties v adhill properties