Fact Pattern 10-1
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 Doyle to Ezra, the furnished information is mistaken.

-Refer to Fact Pattern 10-1. The contract between Doyle and Ezra that includes the mistake may be rescinded if the mistake concerns
A) a basic assumption on which the contract was made.
B) a term in the contract subject to only one reasonable interpretation.
C) a detail on which the parties had a true "meeting of the minds."
D) a third party, such as County Title.

Question

Fact Pattern 10-1
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 Doyle to Ezra, the furnished information is mistaken.
​
-Refer to Fact Pattern 10-1. The contract between Doyle and Ezra that includes the mistake may be rescinded if the mistake concerns​
A) ​a basic assumption on which the contract was made.
B) ​a term in the contract subject to only one reasonable interpretation.
C) ​a detail on which the parties had a true "meeting of the minds."
D) ​a third party, such as County Title.

Quizplus · Accepted Answer

A mistake regarding a basic assumption on which the contract was made can provide grounds for rescission of the contract. This includes mistakes regarding the subject matter of the contract, identity of the parties, or the existence of a certain state of facts believed to be true at the time the contract was made. Mistakes regarding details or interpretations of terms may not be sufficient for rescission. The involvement of a third party, such as County Title, does not automatically provide grounds for rescission unless their actions were fraudulent or negligent.

Fact Pattern 10-1 County Title Company Processes Information Furnished by Others to Transfer