A Comparative Study on Liability in Contract for Misrepresentation
Date Issued
2011
Date
2011
Author(s)
Lin, Ting-Yu
Abstract
This thisis is concerned with one party’s misunderstanding about something which he says was relevant to his decision to enter into the contract, and the misunderstanding was caused by the other party, or other person. In English, as to a misrepresentation inducing a contract, the misrepresentee may rescind the contract even if purely innocent. The misrepresentee may recover the damage in tort or under the Misrepresentation Act 1967. In US, the misrepresentee may also rescind the contract and recover the damage under certain conditions in the common law.
In the draft amendment to the Japanese Civil Code presented by Draft Proposals The Japanese Civil Code (Law of Obligations) Reform Commission on April 29, 2009, a new article numbered 1.5.15 about misrepresentation is added. The purpose of this Article is to allow the misrepresentee to escape from the contract.
The thesis is composed of six chapters:
Chapter 1. Preface. The motives and the purposes of the thesis are described in the beginning of the research. And it also introduces the ways that the professors in Taiwan interpret the legal term "misrepresentation".
Chapter 2. English Law. It defines the definition of misrepresentation and how the English law decides whether a representation remains a "mere representation" outside the contract or becomes incorporated as a term of the contract. It also describes the requirements of an actionable misrepresentation, and the rescission and damage for misrepresentation.
Chapter 3. US Law. It defines the definition of misrepresentation, the requirements of an actionable misrepresentation, and the rescission and damage for misrepresentation in the US common law. It also describes the difference between English law and US law as to the liability for misrepresentation.
Chapter 4. Japanese Law and European Contract Law. It introduces the draft amendment to the Japanese Civil Code which is added a new article about misrepresentation. It also introduces the Japanese Consumer Contract Law and the difference between it and the draft amendment to the Japanese Civil Code. In the second part of this chapter, it introduces the articles about the misleading information in Principles of European contract law (PECL) and Draft Common Frame of Reference (DCFR).
Chapter 5. Taiwan Law. It compares several legal terms in Taiwan law with misrepresentation and it attempts to explain the solutions in Taiwan law for misrepresentation cases.
Chapter 6. Conclusion and Suggestion. The final chapter attempts to answer the questions mentioned in chapter1 and some suggestions are also made for the advices to Taiwan Civil Code.
Subjects
misrepresentation
misleading information
the duty to inform
culpa in contrahendo
mistake
fraud
freedom of contract
misleading advertisement
Type
thesis
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