Contractual Obligations – Prof. Helge Dedek Introduction 1



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Vitiation of Consent



Mistake and the CML

Mistake leads to void contracts in the CML, error in CVL is relatively null



  • Two categories for our purposes: misunderstanding and common error/mistake

More information further in summary
Is the Contract Voidable / Relatively Null? Vitiated Consent – Flawed Formation

Vitiated consent is tied up with public policy (i.e. unconscionability). In German surety cases, arguments can fall under public policy or flawed formation (vitiated consent). It is up to the judges to characterize an issue.


Introduction: Vitiated Consent in CVL, CCQ 1398-1407

In the CVL the following vitiates consent

Consent without Capacity 1398, 1409

Consent that is not Free and Enlightened will (1319)

Error (1400)

Dol (Fraud) (1401)

Fear (1402)

Lesion (1405)


Remedies:

1407, 1408


The CCQ as a Map: 1398-1407

Identify the different types of “vices du consentement”

Identify the remedy (or remedies) that is sought by the person invoking a defect of consent

Does the Civil Code focus on fairness in process, or fairness in outcome?


1. Consent

“Capable of binding himself”, 1398, 1409

Capacity means that a minor cannot bind himself, must be mentally able (Thibodeau)

Article 1398

Consent may be given only by a person who, at the time of manifesting such consent, either expressly or tacitly, is capable of binding himself.



Article 1409

The rules relating to the capacity to contract are laid down principally in the Book on Persons.


“Free” and “Enlightened” (1399)



Article 1399

Consent may be given only in a free and enlightened manner.




CVL – Thibodeau c. Thibodeau, [1961] – SCC – CB2 :39


Jurisdiction

Quebec

Facts

Contract between brothers. Thibodeau agreed to sell his immovables, but it became apparent that he was suffering from mental problems – he had no control over his mind. As “curatrice”, his wife wished to have the notarial acts nullified for lack of free and enlightened consent due to a lack of capacity.

Issues

Were his mental problems enough to vitiate his consent?

Holding

Yes  contract annulled.

Reasoning

  • Not necessary for the claimant to be completely insane in order to be deemed incapable of contracting – all that is necessary is the lack of will to resist, the inability to weigh the obligations demanded by the agreement, or the inability to appreciate the consequences – this is a lack of free and enlightened consent

  • Thibodeau showed signs of mental derangement and intellectual instability prior to entering the contracts

  • Presumption of capacity reversed as a result of evidence showing incapacity

Ratio

Where a party to a contract can show [evidentiary standards!!!] that at the time of entering the contract they were not mentally capable of appreciating the consequences of their actions, there is vitiation of consent.

Comments

  • No sympathy for the co-contractant, but also no attribution of fault in the question of capacity

  • The law protects the incapable over the innocent co-contractant

2. Error (1400)



Article 1400

Error vitiates consent of the parties or of one of them where it relates to the nature of the contract, the object of the prestation or anything that was essential in determining that consent.


An inexcusable error does not constitute a defect of consent.

3. Dol / Fraud (1401)



Article 1401

Error on the part of one party induced by fraud committed by the other party or with his knowledge vitiates consent whenever, but for that error, the party would not have contracted, or would have contracted on different terms.


Fraud may result from silence or concealment.

4. Fear (1402)



Article 1402

Fear of serious injury to the person or property of one of the parties vitiates consent given by that party where the fear is induced by violence or threats exerted or made by or known to the other party.


Apprehended injury may also relate to another person or his property and is appraised according to the circumstances.

The CML equivalent is duress – paradigm of coercion that “vitiates consent”




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