Marquez agrees to buy Dale's pickup truck so he can pull his trailer. Both Marquez and Dale believe that the truck is big enough to do the job. After they complete the deal, Marquez finds that the truck is not strong enough to handle the trailer. The contract between Marquez and Dale can be rescinded because of:

Question

Quizplus · Accepted Answer

A rescission of a contract can occur when there is a mutual mistake, which means both parties were mistaken about a material fact at the time of the contract. In this case, both Marquez and Dale believed that the truck was capable of pulling the trailer, but it turns out that it is not. Therefore, they were both mistaken about the truck's capability, and the contract can be rescinded. A unilateral mistake occurs when only one party is mistaken, a defective acceptance occurs when the terms of acceptance do not match the offer, and negligent misrepresentation occurs when one party intentionally or negligently misrepresents a material fact. None of these apply to this situation.

Marquez Agrees to Buy Dale's Pickup Truck So He Can