Many courts allow a third party to rescind a contract when the person has relied on a misrepresentation by the agent even though the contract contains an exculpatory clause.

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Some courts recognize that exculpatory clauses may not always protect the party who included them from liability for a misrepresentation made by their agent. If a third party relied on a misrepresentation by the agent and suffered harm as a result, they may be able to rescind the contract despite any exculpatory language. However, this may vary depending on the jurisdiction and the specific facts of the case.

Many Courts Allow a Third Party to Rescind a Contract