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Oun v Ahmad [electronic resource]

Language: English Publication details: 2008Subject(s): Online resources: Summary: [2008] EWHC 545 (Ch), 19 March 2008. Considers whether legal rectification is available where parties have executed a document and then discovered a mistake as to the legal consequences of the document. The appellant (O) had agreed to sell the lease of a mixed use property to the respondent (X). An agreement was drawn up, but following additional concerns raised by X a second contract was created relating to a further sum to be paid on completion for the trading stock. There was disagreement regarding the completion of the contracts. O applied for a unilateral notice of title and X objected. O appealed against the adjudicator's decision that no common mistake was represented and that rectification was unavailable. "Held": For there to be a binding contract of sale, the written agreement would have to represent the full intentions of both parties. If this was not the case then prima facie there was no binding contract. An express agreement to omit terms meant that rectification to the contract was not available, as the contract as drawn up was not in error. Therefore O was not in possession of a binding agreement and rectification was unavailable. Appeal dismissed.
Holdings
Item type Current library Call number Copy number Status Barcode
Law report Virtual Online ONLINE PUBLICATION (Browse shelf(Opens below)) 1 Available 143460-1001

[2008] EWHC 545 (Ch), 19 March 2008. Considers whether legal rectification is available where parties have executed a document and then discovered a mistake as to the legal consequences of the document. The appellant (O) had agreed to sell the lease of a mixed use property to the respondent (X). An agreement was drawn up, but following additional concerns raised by X a second contract was created relating to a further sum to be paid on completion for the trading stock. There was disagreement regarding the completion of the contracts. O applied for a unilateral notice of title and X objected. O appealed against the adjudicator's decision that no common mistake was represented and that rectification was unavailable. "Held": For there to be a binding contract of sale, the written agreement would have to represent the full intentions of both parties. If this was not the case then prima facie there was no binding contract. An express agreement to omit terms meant that rectification to the contract was not available, as the contract as drawn up was not in error. Therefore O was not in possession of a binding agreement and rectification was unavailable. Appeal dismissed.