A statement of fact in Cameroon contract law is a declaration about a past or existing condition that is presented as true and can be proven or disproven. It is often made during contract negotiations to induce a party to enter the agreement or contract.
The statement must be one of fact; merely delivering an opinion will not create an actionable misrepresentation.
There are some cases in which what looks like a statement of opinion will be considered by the courts to be a statement of fact. An example is where one party falsely states their opinion. This position was illustrated in the case of Edgington v Fritzmaurice (1885).
Also, where circumstances are such that the party stating an opinion appears to be in possession of facts upon which the opinion can reasonably be based, that party is effectively stating that he or she is in possession of such facts, and if this is not the case, the statement will be a misrepresentation.
To be an actionable misrepresentation, a statement must refer to an existing fact, not something in the future. The exception is a statement of intention, since this comes under the rule that a statement about the state of one’s mind is a statement of fact: saying you intend to do something in the future implies that the intention already exists.
Mere ‘sales talk’ used to recommend a product to a potential customer will not amount to a statement of existing fact. This was the position held by the courts in the case of Dimmock v Hallet (1866).
Statements of the law are not sufficient to amount to an actionable misrepresentation. In practice, it is not always clear when a statement is one as to law or as to fact.
Key characteristics of a statement of fact
Verifiable: Unlike opinions, a statement of fact can be objectively verified as true or false.
Relates to past or existing events: It describes something that has already occurred or exists at the time the statement is made.
Can include implied facts: A statement of future intent can also be a statement of fact if it contains an implied representation about the current state of affairs or the speaker's knowledge, such as a misrepresentation of intent,
Induces the contract: The statement must be made to persuade another party to enter the contract.
Distinguished from opinion: A mere statement of opinion, even if unreasonable, is not a statement of fact unless the speaker claims it is based on specific expertise.
Consequences of a false statement of fact in a Contract
A false statement of fact can be considered a misrepresentation, which may have consequences such as rescission of the contract or an award of damages.
The type of misrepresentation (fraudulent, negligent, or innocent) determines the specific remedies available to the misled party.
For example, if a sales assistant, who is not an expert, makes an unverified claim about a product's capability, it is likely an opinion. However, if a company director claims funds will be used to acquire assets but has no such intention, it is a misrepresentation of fact because it contains a false statement about their present state of mind, notes this Hall Ellis Solicitors article.