Remedy For Misrepresentation In Contracts: An Analysis Approach In Malaysian And Australian Law

Abstract

A misrepresentation happens when one party makes a false claim that persuades the other party to sign a contract. The other contracting party's voluntary permission to enter into the contract is nullified by the misleading conduct, and that party is entitled to remedies. The goal of this study is to offer a critical and analytical case-by-case analysis of contract misrepresentation in the legal systems of Malaysia and Australia. According to the findings, judicial judgements in Malaysia have provided remedies in some circumstances. The study discovered that in Malaysia, court rulings gave contract rescission remedies in some situations, but in others, the court decided to cancel the contract and award damages. Contract rescission, on the other hand, is a remedy specifically granted under the Contracts Act 1950. This situation is perplexing because each remedy has different objectives. In comparison to Australia, where the award for each case is determined by the state's legislation, there is a major difference. By reference to the Contracts Act 1950, it is proposed that the provisions be examined to verify their appropriateness with the application of Malaysian misrepresentation laws. By referring to the legal requirements in Australia as a guideline, it is suggested that the clauses in the Contracts Act of 1950 be evaluated to ensure their applicability in light of Malaysian misrepresentation laws.