Question

Winona enters into a contract with Peyton to buy Peyton’s land based on Peyton’s assertion that the land is legally open to development. After the sale, Winona learns what Peyton knew previously—only a small section of the land can be built on. A local law prohibits construction on the rest of the property. Winona can:
a. avoid the contract due to a mutual mistake.
b. avoid the contract due to a mistake in value.
c. avoid the contract due to fraud.
d. not avoid the contract because persons are assumed to know the law.

Answer 1

Answer:

d.

Explanation:

According to my research on construction laws, I can say that based on the information provided within the question Winona can not avoid the contract because persons are assumed to know the law. When making a purchase you have to investigate all aspects of what you are purchasing. This applies to land as well, when you decide to make a purchase or sign a contract you need to learn about all the laws and regulations surrounding what you are about to purchase or sign before doing so. Once you go through with the transaction it is too late because the state assumes you did your research and knew what you where getting yourself into.

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Answer 2

Correct answer is d. (not avoid the contract because persons are assumed to know the law.

To put it in legal terms: ignorantia legis neminem excusat, which is latin for "ignorance of the law excuses no one". This also known  as the main principle of jurisprudence: we are all bound to the law even if we don't know it (neither if we ignore this particular principle).