CAF-4 · Chapter 4 · Question 4 of 15
If both parties to an agreement are under a 'mistake as to a matter of fact' essential to the agreement, the agreement is:
Test yourself: pick an answer
Reveal answer & explanation
Correct answer: C) Void.
Explanation
Section 20 states that where both parties to an agreement are under a mistake as to a matter of fact essential to the agreement, the agreement is void (Bilateral Mistake).
More Free consent MCQs
- Q6What is the primary difference between 'fraud' and 'misrepresentation'?
- Q7A contract is not voidable on the ground of fraud if the party whose consent was so caused had the means of discovering the truth with:
- Q8According to the Contract Act, 1872, consent is said to be 'free' when it is NOT caused by coercion, undue influence, fraud…
- Q9If a party's consent was caused by a 'mistake of law' in force in Pakistan, what is the status of the contract?
- Q10A unilateral mistake by one party as to a matter of fact generally makes the contract: