62. Alex wishes to submit a tender for an urban sanitation project. It calculates the cost, but mistakenly omits the cost of an item. He made an offer of $430,000 to the city. The next highest bid is $675,000, and the rest of the bids are even higher. The city is happy to have such a low offer, so it accepts Alex`s offer and gives him the job, even though the city engineer thinks the work can`t be done for less than $650,000. In this case: b. Steve is bound by the contract because he has not verified the statements made to him If a contract was entered into on the basis of a fraudulent misrepresentation, which of the following remedies is/are available? 53. A party may terminate the contract if: A countervailable contract is initially considered legal and enforceable, but may be rejected by either party if it is determined that the contract is de-existing.
If a party who has the right to reject the contract decides not to reject the contract despite the defect, the contract remains valid and enforceable. Most of the time, only one of the parties will be affected by the agreement of a questionable contract in which that party does not recognize the false statement or fraud of the other party. The parties have made a mutual error for which the contract should be avoided. 52. Which of the following evidence would normally be used as the basis for announcing a contract on the basis of mutual error? 45. A contract was concluded for the arrival of 125 bales of cotton on board a vessel called `Peerless` from Bombay. Without either contracting party`s knowledge, there were two ships called “Peerless”, both of which departed from Bombay. One sailed in October and the other in December. The buyer had the ship in mind in October, but the seller had the ship in mind in December. Each party clung to its faith. The goods did not arrive on time. If the buyer sues for breach of contract: A contract considered voidable can be corrected by the ratification process.
Ratification of the contract requires all parties involved to agree to new terms that effectively resolve the initial point of contention in the original contract. How is economic coercion proven in the agreement of a contract:i) Proof of a bad deal.ii) Illegal pressure.iii) A false statement that the other party introduced into the contract.iv) There was no other option for the claimant than to accept the contract. . . .