Evaluate the following statements: A: A contract of loan is a real contract. B: Annulment of contract is the proper remedy when one party was mistaken and the other knew or believe... Evaluate the following statements: A: A contract of loan is a real contract. B: Annulment of contract is the proper remedy when one party was mistaken and the other knew or believed that the instrument did not state their real agreement but concealed that fact.
Understand the Problem
The question presents two statements related to contract law. Statement A concerns the classification of a loan contract, while Statement B deals with the remedy for a contract where one party is mistaken about its terms and the other party conceals this fact. The task likely involves evaluating the truthfulness or accuracy of these statements within the context of contract law principles.
Answer
A is incorrect, B is correct.
Statement A is incorrect. A contract of loan is a real contract, but it requires delivery of the object of the contract for its perfection, which makes the statement false. Statement B is correct. Annulment is the proper remedy when one party was mistaken, and the other party knew or believed that the instrument did not state their real agreement but concealed that fact.
Answer for screen readers
Statement A is incorrect. A contract of loan is a real contract, but it requires delivery of the object of the contract for its perfection, which makes the statement false. Statement B is correct. Annulment is the proper remedy when one party was mistaken, and the other party knew or believed that the instrument did not state their real agreement but concealed that fact.
More Information
A real contract requires delivery for perfection. When one party is mistaken and the other knowingly conceals the true agreement, annulment is the appropriate remedy.
Tips
Understanding the elements required for different types of contracts (real, consensual, etc.) is crucial. Also, knowing the appropriate remedies for contractual mistakes or misrepresentations is important.
Sources
- CHAPTER 4. REFORMATION OF INSTRUMENTS - jurisdoctor1a.wordpress.com
- Solved STATEMENT A: Annulment of contract is the proper - Chegg - chegg.com
AI-generated content may contain errors. Please verify critical information
