This website uses cookies to ensure you get the best experience on our website. Learn more

Smith v Land and House Property Corp [1884] 28 Ch D 7

By Oxbridge Law TeamUpdated 04/01/2024 06:59

Judgement for the case Smith v Land and House Property Corp

Table Of Contents

  • Plaintiff offered to sell a hotel to Defendant, saying it was let to a desirable lessee for £400 a month for 20 more years.

  • It turned out that in fact the lessee was undesirable (he often missed payments) and, based on the business facts, he could never have paid that much rent.

  • CA held that the statement that Defendant was a “most desirable” lessee was not merely an opinion of fact but also contained an assertion as to the fact that Plaintiff had no evidence to the contrary. Since this was false, it was a misrepresentation. There was no doubt that the misrepresentation had induced the company to enter the agreement. 

Bowen LJ

  • Where the facts are known by both the parties equally, then most statements will be expressions of opinion.

  • But “if the facts are not equally known to both sides, then a statement of opinion by the one who knows the facts best involves very often a statement of a material fact, for he impliedly states that he knows facts which justify his opinion.” 

Any comments or edits about this case? Get in touch

For Further Study on Smith v Land and House Property Corp

Contract Law Notes
1,511 total pages
744 purchased

Contract law notes fully updated for recent exams at Oxford and Cambrid...

Land Law Notes
987 total pages
1286 purchased

Land Law notes fully updated for recent exams at Oxford and Cambridge. ...

Need instant answers? Our AI exam tutor is here to help.

Ask questions 🙋 Get answers 📔 It's simple 👁️👄👁️

Our AI is educated by the highest scoring students across all subjects and schools. Join hundreds of your peers today.

Get Started
Claim every advantage to get a first in law
Contract Law Notes
1,511 total pages
744 purchased

Contract law notes fully updated for recent exams at Oxford and Cambrid...