Basic Principles of Contract | Contract Law

Derry v. Peek

Derry v. Peek (1889) LR 14 App Cas 337 (Misrepresentation or Fraud—Collateral Warranty) FACTS: A tramway company’s prospectus stated that it had the right to use steam power for moving carriages as an absolute right, though in actuality it was subject to condition of Board of Trade (BoT). Plaintiff, on faith of that statement, took…