A sells an old vase to B and both parties believe that it is nothing special. B subsequently discovers that the vase is a precious antique from China and worth millions. What is the effect of this discovery on the contract?
A) The contract is now void for common mistake.
B) The contract is now voidable for common mistake.
C) The contract remains valid and is not voidable.
D) None of the options given is correct.

Question

Quizplus · Accepted Answer

The contract remains valid and is not voidable because the mistake was not related to the fundamental nature of the contract at the time of agreement, but rather to the value of the item, which does not affect the validity of the contract.

A Sells an Old Vase to B and Both Parties