Innocent misrepresentation is treated as a mutual mistake.

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Innocent misrepresentation is not treated as a mutual mistake. In a case of innocent misrepresentation, the misrepresenting party does not have the necessary intent to deceive and therefore cannot be held liable for fraud. The innocent party may have the option to rescind the contract and recover damages if they can prove that they entered into the contract in reliance on the misrepresentation. Mutual mistake, on the other hand, occurs when both parties are mistaken about a fundamental aspect of the contract, and the contract may be voidable by either party.

Innocent Misrepresentation Is Treated as a Mutual Mistake