227. Misrepresentation.

A misrepresentation is a false statement of fact and is fraudulent if made recklessly or with intention to deceive1. A contractor induced to enter a contract by a fraudulent misrepresentation may either rescind the contract or claim damages or both2. A contractor induced to enter a contract by reason of an innocent misrepresentation may also rescind the contract or claim damages, but the court has discretion to award damages in lieu of rescission3. Generally, the measure of damages payable under the Misrepresentation Act 1967 is the sum of money which will place the representee in the position he would

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