Fact Pattern 15-1
Data Storage Inc. offers to provide cloud-computing services to Enterprises, LLC, but mistakenly transposes some of the digits in the price so that $15,400 appears in the offer as $14,500. Enterprises accepts the written offer.
-Refer to Fact Pattern 15-1. Enterprises' best argument in favor of enforcement of the contract is that
A) a bilateral mistake does not afford relief from a contract.
B) a mistake of value does not afford relief from a contract.
C) a unilateral mistake does not afford relief from a contract.
D) the price was below the prices of comparable devices.

Question

Fact Pattern 15-1​
Data Storage Inc. offers to provide cloud-computing services to Enterprises, LLC, but mistakenly transposes some of the digits in the price so that $15,400 appears in the offer as $14,500. Enterprises accepts the written offer.
-Refer to Fact Pattern 15-1. Enterprises' best argument in favor of enforcement of the contract is that
A) ​a bilateral mistake does not afford relief from a contract.
B) ​a mistake of value does not afford relief from a contract.
C) ​a unilateral mistake does not afford relief from a contract.
D) ​the price was below the prices of comparable devices.

Quizplus · Accepted Answer

Enterprises' best argument for enforcing the contract is that the mistaken price was a unilateral mistake made by Data Storage Inc., which typically does not afford relief from a contract. Bilateral mistakes occur when both parties are mistaken about the same material fact, while a unilateral mistake is made by only one party. A mistake of value, which is when one party makes an error in judgment regarding the worth of the subject matter of the contract, does not usually afford relief from a contract. The fact that the price was below the prices of comparable devices is not a relevant argument for enforcing the contract.

Fact Pattern 15-1​ Data Storage Inc. Offers to Provide Cloud-Computing Services to Enterprises

Fact Pattern 15-1 Data Storage Inc. Offers to Provide Cloud-Computing Services to Enterprises