What is rescission of a contract?

Rescission of a contract is a legal remedy where a party can end their agreement with the other party. In Mississippi, rescission of a contract is available for certain reasons such as when one party has failed to keep a promise, has misrepresented itself, or has breached the agreement. If the other party has been damaged in some way, then rescission of a contract is the best way to undo the agreement and recoup any losses. To successfully rescind a contract in Mississippi, a party must notify the other party and be able to prove that the contract has been violated. The notice of rescission of a contract must be in writing and must explain why the contract is being broken and what effect it has had on the other party. The other party has 30 days from the time of the notice to regain the benefit of the contract. Once the rescission of a contract has been successful, all obligations made as part of the original agreement are considered void. This means that neither party can seek compensation from the other for any damages that were caused as part of the initial agreement. The parties will simply return to the state they were in before signing the contract and any money paid will also be given back.

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