Q: What is misrepresentation in contract act ?

Ans: A misrepresentation is a false statement of a material fact made by one party which affects the other party's decision in agreeing to a contract. If the misrepresentation is discovered, the contract can be declared void. Depending on the situation, the adversely impacted party may seek damages.

According to Section 18 of indian contract act, in simple words, an innocent or any false statement made by one party to another party to make a contract is known as misrepresentation. In case of misrepresentation, the person making the statement is innocent, and he makes the statement without any intention to deceive the other party.