False Misrepresentation Clause Samples

A False Misrepresentation clause defines the consequences and remedies if one party provides untrue or misleading statements during the formation or performance of a contract. Typically, this clause allows the non-breaching party to seek remedies such as contract rescission or damages if it is discovered that a material fact was misrepresented, whether intentionally or negligently. Its core function is to protect parties from entering into agreements based on false information, thereby ensuring fairness and integrity in contractual relationships.
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False Misrepresentation. If any representation or warranty made in writing by or on behalf of the Company or in any other Loan Document shall prove to have been knowingly false or incorrect in any material respect on the date as of which made or reaffirmed; or