Bisset v Wilkinson [1927]

Privy Council

Basic Facts: Bisset advised Wilkinson that a piece of land could support a certain number of sheep. When Wilkinson discovered this was incorrect, they sought to rescind the contract based on the misstatement.

Issue for the Court: When is an expression of opinion grounds for rescinding a contract when that opinion is wrong?

Held : The court held that a statement of opinion is not grounds for rescinding a contract unless it is a false representation of fact or dishonestly held.

• Lord Merrivale stated that a statement of opinion might include an implicit representation of fact. The key is whether the opinion was honestly held and influenced the decision. Here, Bisset’s opinion was honestly held and did not constitute a false representation of fact.

💡Leveluplaw : This case established that opinions, even if wrong, do not necessarily amount to misrepresentations unless they are dishonest or fundamentally misleading, clarifying the distinction between opinion and fact in contract law.