• Misrepresentations are false statements of truth that affect the other party’s decision regarding the contract.

  • Such false statements may void the contract and, in some cases, cause the other party to claim damages.
  • Misrepresentation is a ground for breach of contract in transactions, regardless of size, but only applies to statements of fact, not opinions or forecasts.
  • There are three types of misrepresentation: innocent misrepresentation, negligent misrepresentation, and willful misrepresentation, each of which has different remedies.