Question

Steve and Gloria contract for the sale fo an office building. A mutual mistake of fact will make it possible for either party to rescind the contract in all situations?

1) nder any circumstances
2) as long as the mistake of fact is material
3) al long as the mistake of fact is immaterial
4) none

Answer 1

A contract like the one between Steve and Gloria can be rescinded if there is a mutual mistake of fact that is material, significantly affecting the contract's terms or performance.

Step-by-step explanation:

Steve and Gloria's contract for the sale of an office building can only be rescinded due to a mutual mistake of fact if the mistake is material. A material mistake of fact is a misunderstanding that is significant enough to impact the agreement in such a way that it would alter the parties' performances or the value of what they are contracting for. This means that a party cannot rescind a contract based on a mistake that is immaterial or insignificant to the agreement.