The Law of Fraud Misrepresentation And Mistake in British India

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Mere unfounded expectation as to future events is not a mistake of fact, nor can it be the more so because it is common to both parties.
A lease is not avoided by an increase of the Government assessment, although the parties at the date of the lease entertained an erroneous See it in Appendix, p. 139.
114 MISTAKE.
expectation that the assessment would not be enhanced. 1 A compromise will not be set aside because the view taken by the parties of a point of law capable of doubt at the time has u
...ltimately turned out to be erroneous. 2 This is manifestly just, for it is in the very nature of a compromise that the parties agree not to fight out a matter in difference of which the result appears, at the time, doubtful. Whether the questions be of fact or of law, the parties might otherwise bring them before a Court, and the Court would have to decide them : and from the legal point of view there must at all times have been some correct solution, however difficult to arrive at. But this does not prevent the law from recognizing that as a matter of common sense and prudence questions are often really doubtful, and it is reasonable for the parties to settle them by mutual concessions.

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