Thursday, January 10, 2008

Contract Act_Practicle Problms_65

X sells by auction to Y a horse which X knows to be unsound. The horse appears to be sound but X knows about the unsoundness of the horse. Is this contract valid in each of the following alternative cases:

Case (a) X says nothing about the unsoundness of the horse to Y.
Case (b) If X says nothing about it to Y who is X’s daughter who has just come of age.
Case (c) If Y says to X “If you do not deny it, I shall assume that the horse is sound.” X says nothing.

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