What is the Difference Between Misrepresentation and Mistake?

The difference between misrepresentation and mistake lies in the intent and nature of the incorrect information provided. Here are the main distinctions between the two:

1. Intent: Misrepresentation involves deliberate or negligent falsehoods, while mistakes are unintentional errors.
2. Types of Misrepresentation: There are three types of misrepresentation: fraudulent, negligent, and innocent. Fraudulent misrepresentation is when a false representation is given knowingly or recklessly, negligent misrepresentation occurs when a commercial relationship exists and a party fails to exercise reasonable care in providing information, and innocent misrepresentation is neither negligent nor fraudulent.
3. Types of Mistake: Mistakes can be categorized into three sub-categories: common, mutual, and unilateral. A common mistake occurs when both parties believe something to be true, but it is not. A mutual mistake happens when both parties share the same incorrect belief, and a unilateral mistake occurs when only one party is mistaken.
4. Legal Consequences: A mistake can render a contract void, whereas the remedies for misrepresentation are typically rescission and/or damages.

In summary, misrepresentation involves deliberate or negligent falsehoods, while mistakes are unintentional errors. Misrepresentation can be further divided into fraudulent, negligent, and innocent categories, whereas mistakes can be categorized as common, mutual, or unilateral. Legally, mistakes can render a contract void, while misrepresentation typically results in rescission and/or damages as remedies.

Comparative Table: Misrepresentation vs Mistake

Here is a table comparing the differences between misrepresentation and mistake:

In summary, misrepresentation is a deliberate or negligent falsehood that can result in legal remedies and potentially void a contract, while mistakes are unintentional errors that typically give rise to more limited legal remedies.