What is the main purpose of the remedy known as Rescission?

The main purpose of rescission is to cancel a contract and restore the parties involved to their original positions prior to the agreement being made. This remedy is particularly useful in situations where one party may have been misled or where the contract was formed under duress, fraud, or a significant mistake. By annulling the contract, rescission seeks to eliminate any obligations stemming from it and effectively "undoes" the transaction, allowing the parties to return to their pre-contractual state.

This process may also involve the return of any benefits or items exchanged during the contract period. Rescission is distinct from other remedies, such as awarding damages, which seeks to compensate a party for losses incurred, or requiring performance, which enforces the terms of the contract. While it may seem like a simple solution, rescission must follow specific legal grounds and procedures to be properly enacted.