Madison Purchased a Three-Year-Old Computer from Kami for $300

question 59

Multiple Choice

Madison purchased a three-year-old computer from Kami for $300.Kami told her the price seemed fair but she really had no idea what it was worth and just wanted to get rid of it.Madison,who knew little about computers,thought she had a great deal.After Madison returned home,she discovered from a computer expert friend of hers that the computer was not worth as much as she believed.Madison wanted to return the computer claiming that they were both mistaken about value,but Kami said,"No way!" Who should win in the dispute between Madison and Kami and why?

• A)Kami should win because Madison's unilateral mistake does not void the contract.
• B)Kami should win because mistaken beliefs about the subjective value of an item do not affect the validity of a contract.
• C)Madison should win because there was a mistake of fact at the time the contract was entered.
• D)Madison should win because mistaken beliefs about the subjective value of an item can affect the validity of a contract.
• E)Madison should win because there was a unilateral mistake of fact.

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Definitions:

Hallucinations

Experiences involving the apparent perception of something not present, often involving visual or auditory senses but can affect other sensory perceptions.

Schizotypal Personality Disorder

A personality disorder characterized by oddities of thought and behavior but not involving bizarre psychotic behaviors.

Suspiciousness

A tendency to believe, without adequate evidence, that others may be deceiving, harming, or exploiting oneself.

Schizoid Personality Disorder

A mental health condition defined by a persistent tendency to withdraw from social interactions and exhibit a narrow spectrum of feelings.