The Law of Contract: Absence of Consensus and Mistake

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What type of mistake does not affect consensus according to the text?

Error in motive

In which case is a mistake considered material?

Lack of understanding of legal consequences of a contractual provision

What is 'error iuris' as mentioned in the text?

Mistake as to the law relating to some aspect of the transaction

Which type of mistake relates to an error in negotio?

Error in substance

What type of mistake is defined by a lack of understanding of legal consequences?

Lack of understanding of legal consequences of a contractual provision

What is the primary focus when discussing the concept of mistake in a contractual sense?

The importance of consensus between contracting parties

In which case does a mistake relate to the true nature of the contract?

Mistake re the true nature of the contract

In a situation of unilateral mistake, how is it classified and what distinguishes it from mutual mistake?

Classified as one-sided, with the other party being aware of the mistake

What defines a situation of dissensus in the context of a contract?

One party remaining silent about the mistake

How is a common mistake differentiated from an irrelevant mistake in contract law?

A common mistake involves all parties sharing the same mistake; an irrelevant mistake does not impact the contract.

What distinguishes a unilateral mistake from a common mistake in a contract?

In a unilateral mistake, only one party is mistaken, while in a common mistake all parties share the same mistaken belief.

Why is it important for a mistaken party to show that the mistake influenced their decision to conclude a contract?

To establish that the mistaken belief affected their willingness to enter into the contract

Why was Shepherd not bound by the provision to pay a commission to the agency?

He failed to read the document he signed and was misled by the advertisement.

What mistake led to Shepherd not being bound by the provision in the contract?

He thought the contract matched the advertisement but it did not.

Why did Shepherd believe he was entitled to rely on the mistake induced by the advertisement?

The agency failed to highlight the conflict between the contract and their advertisement.

Why did Shepherd think he would not be liable for commission if a sale took place?

He believed that only sales resulting from the agency's efforts would incur commission.

What did the Court find regarding Shepherd's liability for commission?

Shepherd was not bound by the provision requiring him to pay commission.

Why was Shepherd found entitled to rely on the mistake induced by the advertisement despite it being his responsibility to read documents he signed?

Shepherd's mistaken belief was directly caused by the agency's advertisement and lack of clarification.

What does it mean when a person applies to court to 'rectify' a contract?

He is asserting that the written contract does not accurately reflect the true intention of the parties.

In what scenario is rectification not available as a remedy?

When only some of the parties were under a misapprehension.

How does rectification affect a contract according to the text?

It corrects the written memorial of the agreement without changing the agreement itself.

Who can apply for rectification of an incorrectly recorded agreement?

Any party, as long as they prove that the agreement was incorrectly recorded.

What does rectification aim to do in relation to a written contract?

Correctly express the true mutual agreement of the parties at the time of entering into the agreement.

When can rectification be requested as per the text?

Only when all parties agree on the need for correction due to a misrepresentation.

In a case of unilateral mistake, what is the decisive question according to the South African Appellate Division?

Whether the common intention expressed conforms to the actual intention

According to Allen v Sixteen Stirling Investment (Pty) Ltd, what was the court's finding regarding the plaintiff's mistake?

It was a justifiable mistake

What is usually necessary in a three-fold enquiry related to unilateral mistake?

Determining if there was a misrepresentation as to one party's intention

Which factor postulates two possibilities in assessing unilateral mistake?

If the other party was actually misled

What did the Plaintiff seek in Allen v Sixteen Stirling Investment (Pty) Ltd?

An order declaring an agreement null and void

What was the Plaintiff's belief when entering into the agreement of sale in Allen v Sixteen Stirling Investment (Pty) Ltd?

That he was buying an immovable property described in the sale agreement

Explore the concept of absence of consensus and mistake in contracts, where a party acts under an incorrect impression regarding a fact that affects the contract. Learn how mistaken agreements can affect the validity of a contract.

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