{"id":199761,"date":"2026-09-28T05:38:30","date_gmt":"2026-09-28T04:38:30","guid":{"rendered":"https:\/\/legalvision.co.uk\/?p=199761"},"modified":"2026-09-30T01:44:07","modified_gmt":"2026-09-30T00:44:07","slug":"preventing-misrepresentation-business-dealings","status":"publish","type":"post","link":"https:\/\/legalvision.co.uk\/commercial-contracts\/preventing-misrepresentation-business-dealings\/","title":{"rendered":"Preventing Misrepresentation in Business Dealings"},"content":{"rendered":"\n

A misleading statement of fact or law that induces a customer to enter a contract may lead to a claim. The statement does not have to appear in the final contract. You can still face a claim even if you believed it was true. Misrepresentation arises under contract law and can also give rise to liability in tort. A tort is a civil wrong that can create legal responsibility. When you negotiate contracts<\/a> as a supplier, check claims about delivery times and how your products or services perform. Train your team to use accurate information and keep records of negotiations. This article provides an introduction to misrepresentation in a contractual setting, how it can expose your business to risk, and key practical steps your business can take to protect itself from such risk as a supplier.<\/p>\n\n\n\n

How Can Misrepresentation Arise During Negotiations?<\/h2>\n\n\n\n

You or someone acting for you may make an untrue or misleading factual or legal statement during negotiations. This can include a statement made by conduct or implication. If that statement induces the other party to enter the contract, it can amount to misrepresentation during negotiations<\/a>.<\/p>\n\n\n\n

Some remarks made during negotiations are simply sales talk and have no legal effect. Other statements become terms in the contract itself. If those terms are breached, you may be able to bring a breach-of-contract claim.<\/p>\n\n\n\n

Certain statements that induce a party to enter a contract are not in the contract itself. A factual statement you make may amount to misrepresentation if it induces the other party to enter the contract.<\/p>\n\n\n\n

What Will the Court Consider?<\/h3>\n\n\n\n

The court will consider various factors to determine whether there has been misrepresentation. The statement does not need to be the sole statement that induces the contract.<\/p>\n\n\n\n

The statement might be written or spoken. The law will not excuse you just because you made the statement in good faith.<\/p>\n\n\n\n

Even if you genuinely believe a statement is true, you can still commit misrepresentation. This applies if the customer relies on it and it induces them to enter the contract.<\/p>\n\n\n\n

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“Ask the person responsible for delivery to check the promise in your proposal before it goes to the customer. Give your contract lawyer that checked wording alongside the sales correspondence”<\/p>\n <\/blockquote>\n

\n \"Tom
\n Tom Khalid<\/span>\n Solicitor, LegalVision<\/span>\n <\/figcaption>\n <\/figure>\n<\/div>\n\n\n\n

What Are the Types of Misrepresentation?<\/h2>\n\n\n\n

UK law recognises three main types of misrepresentation<\/a>. Each has different consequences and possible remedies, meaning the legal responses available to a customer.<\/p>\n\n\n\n