A false statement of fact made before the contract which induces the other party to enter it is called

Answer and explanation

Correct answer: B. misrepresentation

  1. Step 1: It makes the contract voidable and may give a right to damages. Answer: misrepresentation. Why not the others: a term: A term forms part of the contract itself. a mere puff: A puff is vague praise and not a statement of fact. frustration: Frustration is a later event that makes the contract impossible.

Practise more Formation of a contract.

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A false statement of… | KASNEB CPA Foundation Level (Kenya)