Guido and Hal want to rescind their contract under which Guido sold Hal a mountain bike for $100. To rescind the contract
A) Guido must return the $100 and Hal must return the bike.
B) Guido must return the $100 only.
C) Hal must return the bike only.
D) the parties can keep the "benefits" of their bargain.

Question

Guido and Hal want to rescind their contract under which Guido sold Hal a mountain bike for $100. To rescind the contract
A) ​Guido must return the $100 and Hal must return the bike.
B) ​Guido must return the $100 only.
C) ​Hal must return the bike only.
D) ​the parties can keep the "benefits" of their bargain.

Quizplus · Accepted Answer

Rescinding the contract means the parties want to undo the transaction and return to their original positions. Therefore, Guido must return the $100 he received, and Hal must return the bike he received. This will effectively undo the transaction and restore the parties to their pre-contract positions.

Guido and Hal Want to Rescind Their Contract Under Which