Sometime after buying the car (a 2014 Honda Accord) from Peter, Ivan decides to upgrade to a new car. He will use his Honda as a trade-in on the new car. Ivan selected the car he liked and began negotiations as to price. They settled on the amount Ivan would pay for the new car minus the trade-in value of his old car. When the sales manager brought a contract showing the price of the new car, with the deduction for the trade-in, it noted "2015 Honda Accord" as the car traded in. Everything else in the car's description (mileage, number plate etc.) was correct. Ivan noticed this but said nothing. He signed the contract. A few minutes later when Ivan went to sign over the certificate of title on his old car, the sales manager saw the date on this form and said that the deal was off because he had based his trade-in allowance on the car being a 2015 model. Ivan said he would take the deal only at the price agreed, with no change to the trade-in allowance. After some further discussion, the dealer agreed to leave the trade-in allowance as originally stated. Ivan signed over the title and took the new car home. The next morning, the sales manager called and said that the dealer was rescinding the contract based on the mistake as to the age of the car.

 

Discuss whether the contract can be rescinded?