Basis

Patent Ambiguity

Latent Ambiguity

1. Definition

An ambiguity that is obvious on the face of the document. The language itself is unclear, contradictory or incomplete just by reading it.

An ambiguity that is not obvious from the document alone but becomes apparent only when applying the words to external facts.

2.Types

Patent Ambiguity

→ Ambiguous wording.

→ Contradictory statement on the face.

→ Incomplete or missing words.

Latent Ambiguity

→ Equivocation (Sec. 99 BSA)

→ Ambiguity by application

→ Misdescription (Sec. 98 BSA)

 3.Courts treat

No extrinsic evidence is allowed.

Allow extrinsic evidence.

4. Where

Appears on the face of the document itself.

Appears only when external facts are introduced.

 5.Clarity of language

The wording is uncertain, contradictory or incomplete.

The wording is clear but application of wording is unclear.

6. Nature of Defect

Internal defect in drafting.

External defect caused by real-world circumstances.

7. Role of Interpretation

Court resolves using-

-Context within the document.

- Legal presumptions.

- Grammar and syntex rules.

- EJUSDEM GENERIS

-Noscitur a Sociis.

Court may go outside-

- Relationships of parties.

- Circumstances of making document.

- Usage of trade.

8.Judicial attitude

Courts are strict.

Courts are flexible.

9.Effect

May render the clause void for uncertainty.

Clause usually remains valid, ambiguity is clarified with evidence.

10.Risk of Manipulation

Low risk, because ambiguity is visible.

Higher risk, thus courts secure reliable, corroborated evidence.

11.Arising

Arises during drafting.

Arises during execution or application.

12.Role of context

Context within the four corners is used.

Broader context (surrounding facts is used).

13.Courts classify

Ambiguity is apparent→ facial ambiguity

Ambiguity is hidden→ extrinsic ambiguity.

14. Illustration

Section-96-

 A agrees, in writing, to sell a horse to B for "one lakh rupees or one lakh fifty thousand rupees". Evidence cannot be given to show which price was to be given.

Section- 98  

 A sells to B, by deed, "my house in Kolkata". A had no house in Kolkata, but it appears that, he had a house at Howrah, of which B had been in possession since the execution of the deed. This fact may be proved to show that the deed related to the house at Howrah.

Section- 99

 A agrees to sell B, for one thousand rupees, "my white horse". A has two white horses. Evidence may be given of facts which show which of them was meant.