Unilateral Mistake of Fact
One issue in contract disputes is a legal doctrine called “mistake of fact”. This issue can affect whether a contract will be deemed valid, void or voidable. The California Civil Code gives you the definition in Section 1577.
Now what does that mean? With a “unilateral mistake”, you have to show that one side took advantage of the other side who did not know a fact or believing something was true that was not. The key issue is that the side that knew of the mistake used that knowledge to its advantage.
Thus, since only one party holds a mistaken belief, this could end up giving the other party an unfair advantage in the bargaining power they hold during the contract formation stage. This legal point can be a very potent and powerful defense in a breach of contract case.
Watch the video below where Gregory G. Brown talks about Unilateral Mistake of Fact.
Getting Legal Help
Brown & Charbonneau, LLP represents individuals as well as large and small companies in cases involving all forms of business disputes, including fraud, breach of contract, breach of fiduciary duty, real estate, construction, employment and many other types of disputes. If you are involved in a business dispute, or would like to learn about your options, rights and how to protect them, we can provide you with the information you need. Contact us or call today at 714-505-3000 to schedule a consultation and learn more about how we can help you.
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