A misunderstanding concerning a basic assumption on which a contract is made will support the rescission of the deal if the mistake is
A)bilateral.
B)unilateral.
C)lateral.
D)any of the choices.

Question

Quizplus · Accepted Answer

A bilateral mistake, where both parties to a contract are mistaken about a basic assumption on which the contract was made, can support the rescission of the contract. This is because the mutual misunderstanding undermines the agreement's foundation.

A Misunderstanding Concerning a Basic Assumption on Which a Contract