Discuss Types of Mistake Under The Indian Contract Act 1872
- Mistake may be defined as an “erroneous belief about something”.
- Types of Mistake : (1) Mistake of Fact (2) Mistake of Law
- 1). Mistake of Fact: According Section 20 of the Indian Contract Act, “Where both the parties to an agreement are under a mistake as to a matter of fact essential to the agreement, the agreement is void.”
- Both the parties are under a mistake as to a matter of fact
- The fact must be essential to the agreement.
- 2) Mistake of Law: According Section 21 of the Indian contract Act, “A contract is not voidable merely because it was caused by a mistake as to any law in force in India, but a mistake as to any law not in force in India has the same effect as a mistake of fact.”