Mike Is Given a Bottle of Wine as a Gift

question 44

Multiple Choice

Mike is given a bottle of wine as a gift. Josh, a neighbour, sees it and recognizes it as a very rare bottle. Knowing that Mike doesn't drink, Josh offers him $300 for it, which he believes to be a fair price. Mike happily agrees. Later, when Josh is looking up the price of the bottle on eBay, he realizes that it is not a valuable bottle of wine at all. He had confused it with another vintage. Josh, who is taking a law class, wonders whether or not he could have the contract set aside. Which of the following statements is true?

• A) It is unlikely to be set aside unless Josh could show that it would be unfair or unjust to enforce it.
• B) It will automatically be set aside on the basis of the doctrine of mistake.
• C) It will only be set aside if Josh's mistake rendered the contract illegal.
• D) A contract can never be set aside where a mistake has been made.
• E) The contract will only be set aside if Josh's mistake was the result of willful blindness.

---

Definitions:

Substantial Bias

An evident prejudice or tendency that significantly affects the outcome of a study or analysis.

Underspecified Models

Models that do not have enough predictors or independent variables to adequately model the observed outcomes or responses.

Underspecified Model

An underspecified model is when a statistical model lacks enough parameters to accurately capture the underlying data structure or dynamics of the dataset.

Independent Variables

Variables in an experiment or model that are manipulated to observe their effect on dependent variables.