Contract Law

Vitiating Factors

Vitiation - Basics

Vitiation means to make a contract void. When a contract is said to be vitiated it is due to certain factors fundamental to its formation being absent. It does not operate as a technicality, but rather when there is unfairness involved in the formation and the terms of the contract. In effect there was never any contract in the first place

The contract can be terminated and all that has passed between the parties has to be returned. At very least any wrongful gain must be restored.

 

In limited instances it may be fair to argue that if you go on and on, tolerating an adverse contract made unfairly, you are accepting the unfairness and affirming the contract.

 

Vitiating factors include…

 

  • Misleading and deceptive conduct

  • Mistake as to terms

  • Abuse of power

  • Unconscionable conduct