County Title Company processes information furnished by others to transfer title to real estate from a seller to a buyer. In performing this task for a sale of land from James to Kate,the furnished information is mistaken.
-Refer to Fact Pattern 14-3. The contract between James and Kate that includes the mistake may be rescinded

Question

Quizplus · Accepted Answer

According to the doctrine of mutual mistake, a contract may be rescinded if the mistake concerns a basic assumption on which the contract was made. This means that the mistake must be fundamental to the contract and relate to a matter that was central to the agreement between the parties. In this case, the mistake in the furnished information may have led to a fundamental misunderstanding of the terms of the sale, making it possible to rescind the contract. Neither B nor C offers a sufficient condition for rescission, and D is too absolute as there are cases when rescission is possible.

County Title Company Processes Information Furnished by Others to Transfer