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Legal Principle: A contract obtained by misrepresentation is voidable at the option of the buyer. Factual Situation: A by misrepresentation leads B erroneously to believe that 500 maunds of indigo are made annually at A’s factory. B examines the accounts of the factory, which show that only 400 maunds of indigo have been made. After this, B buys the factory. Issue: Is the contract void? Decision:

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Legal Principle: A contract obtained by misrepresentation is voidable at the option of the buyer. Factual Situation: A by misrepresentation leads B erroneously to believe that 500 maunds of indigo are made annually at A’s factory. B examines the accounts of the factory, which show that only 400 maunds of indigo have been made. After this, B buys the factory. Issue: Is the contract void? Decision:





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