ACCA每日考场 8.25号 答案解析

ACCA每日考场 8.25号 答案解析


Which three of the following conditions must be present before a contract can be rescinded?


A. The court must make such an order.
B. No innocent third party has acquired rights which would be affected.
C. The right is being exercised within a reasonable time of the breach.
D. The contract was affirmed after the breach became known.
E. Both parties can be returned to their pre-contract position.

正确答案：B,C,E


答案解析：


The correct answers are: Both parties can be returned to their pre-contract position; No innocent third party has acquired rights which would be affected and; The right is being exercised within a reasonable time of the breach.


Rescission is an equitable remedy and therefore the court has a discretion whether to grant it or not.


The remedy is only appropriate where both parties can be restored to their pre-contract position and a reasonable time has elapsed since the breach.


It will not be allowed when an innocent third party has acquired rights in the subject matter of the contract or where the contract was affirmed by the claimant after the breach first occurred as it would operate unfairly.