Len was behind in his work at the office. He decided to go in for a few hours on Sunday to catch up. He asked an assistant to come in for four hours. He turned on his office TV. Just then his assistant came in and asked him to sign four letters that she said concerned general office matters. He carelessly signed them without taking his eyes off the TV screen. One of the "letters" was, in fact, a cheque for $500 payable to the assistant. The assistant cashed the cheque at her bank, and when her bank presented the cheque for payment, Len instructed his bank not to honour it. He said that he had been tricked and that his signing it was all a big mistake. On these facts, which of the following is true?
A) Because Len did not know what he was signing, he cannot be held liable.
B) Len's carelessness in failing to read what he was signing will likely defeat any claim of non est factum.
C) Len could avoid his obligation on the cheque on the basis of duress.
D) Len could avoid his obligation on the cheque on the basis of unconscionability.
E) Undue influence would be his best defence on these facts.

Question

Quizplus · Accepted Answer

Len's carelessness in failing to read what he was signing, especially in a professional setting where he should have exercised due diligence, undermines the defense of non est factum, which requires a fundamental mistake about the nature of the document being signed.

Len Was Behind in His Work at the Office