Contract and Commercial Law Act 2017

Damages for misrepresentation

35 Damages for misrepresentation

(1)

If a party to a contract (A) has been induced to enter into the contract by a misrepresentation, whether innocent or fraudulent, made to A by or on behalf of another party to that contract (B),—

(a)

A is entitled to damages from B in the same manner and to the same extent as if the representation were a term of the contract that has been breached; and

(b)

A is not, in the case of a fraudulent misrepresentation, or of an innocent misrepresentation made negligently, entitled to damages from B for deceit or negligence in respect of the misrepresentation.

(2)

Subsection (1) applies to contracts for the sale of goods—

(a)

despite sections 197 and 201(2); but

(b)

subject to section 34.

Compare: 1979 No 11 s 6