Deck 11: Competent Parties

Question 1

The exact time for disaffirmance will vary depending on the nature of the contract and current legislation.

Answer 1

True

Question 2

A minor can be held liable for both crimes and torts.

Answer 2

True

Question 3

The law that protects minors from their contractual commitments intends to deny them the opportunity to enter into contracts for necessaries that are not provided by their parents or a guardian.

Answer 3

False

Question 4

Minors are always protected against their own wrongdoing.

Question 5

Contracts with people who have been declared insane by the courts are void even if the sane people who contracted with them do not know that they had been declared insane by the courts.

Question 6

Emancipated minors are generally liable for necessaries purchased for themselves or supplied to a spouse,just as if they were adults.

Question 7

A mentally ill person may sometimes have lucid periods during which he or she may exercise sound judgment.

Question 8

Disaffirmance may be implied by the acts of the person who has reached legal age and wishes to disaffirm.

Question 9

A competent party is said to have contractual capacity,that is,the ability to:

A) amend the contract.
B) disaffirm the contract.
C) make a valid contract.
D) impose undue influence.

Question 10

If a person makes a contract for necessities under intoxication then such person must pay the reasonable value of necessities received.

Question 11

The responsibility of ?determining whether a person is competent to contract rests on everyone who ?enters into a contract with such a person.

Question 12

Minors,insane persons,and mentally impaired persons are usually considered incompetent and lacking in:

A) contractual capacity.
B) educational qualifications.
C) social culture.
D) ethics.

Question 13

An incompetent party to a contract is not denied the opportunity to benefit from their legal rights.

Question 14

Persons of unsound mind are considered emancipated.

Question 15

Even if a person makes a contract while so intoxicated by alcohol or affected by drug use that he or she is unable to understand the nature and effect of the contract,it is still considered a valid contract.

Question 16

The legal age of majority varies from state to state.

Question 17

A minor is not liable even for the reasonable value of necessaries purchased by him or her.

Question 18

The law regards actions on the part of minors that result in emancipation as abandonment.

Question 19

The UCC specifies that a competent party is a person of legal age,but fails to take into account the mental state of the individual.

Question 20

A person who is of legal age,of at least normal mentality,and capable of understanding a contract is known as a:

A) competent party.
B) contracting party.
C) valid participant.
D) contractor.

Question 21

If a minor enters into a contract relating to food,shelter,clothing,?employment,and medical care,then such a contract is known as a:

A) contract of forbearance.
B) contract for service.
C) contract of service.
D) contracts for necessaries.

Question 22

Most contracts made by persons who have not reached the age of majority are:

A) void.
B) valid.
C) voidable.
D) enforceable.

Question 23

A person who has not yet reached the age of majority is considered a:

A) minor.
B) contractor.
C) competent party.
D) participant.

Question 24

Disaffirming a contract would amount to:

A) ratifying the contract.
B) avoiding the contract.
C) extending the contract.
D) disapproving a tripartite contract.

Question 25

In some cases,the courts have held that contracts made by minors who are nearly adults or that deal with a business are:

A) enforceable contracts.
B) voidable contracts.
C) void contracts.
D) invalid contracts.

Question 26

Once the minor reaches the legal age of majority,and if he or she agrees to the terms of the contract,then the contract is said to be:

A) ratified.
B) disaffirmed.
C) attested.
D) stamped.

Question 27

Once a minor marries,or voluntarily separates from parents or guardians,he or she assumes adult responsibilities and is considered to have:

A) matured.
B) been emancipated.
C) abated.
D) been appended.

Question 28

In some cases,the courts have held that contracts made by minors who are nearly adults or that deal with a business are:

A) unenforceable by the minors.
B) enforceable by the minors.
C) enforceable by the parents or the guardians of the minors.
D) not enforceable by the parents or the guardians of the minors.

Question 29

If a minor has paid more than he or she should have been charged,then he or she can:

A) seek for specific performance.
B) not file a civil suit against the other party.
C) recover punitive damages.
D) recover the overcharged amount.

Question 30

As per the _________,a person attains the age of majority on the anniversary date of his or her birth.

A) coming of age rule
B) astrology predictions
C) modern birthday rule
D) choice of that person

Question 31

In some states the minor may avoid the contract even if he or she falsely represented himself or herself as:

A) being of age.
B) a minor.
C) being under force or duress.
D) being bankrupt.

Question 32

According to the interesting coming of age rule in common law,a person who was born on and celebrates his or her 18^th birthday on April 26 in a state where the age of majority is 18,becomes an adult at:

A) 12:01 a.m. April 25.
B) 12:01 a.m. April 26.
C) 12:00 a.m. April 25.
D) 12:00 a.m. April 26.

Question 33

In the case of minors' contracts,silence or inaction is the basis for a(n)________ contract becoming a valid,enforceable contract through ratification.

A) void
B) illegal
C) legal
D) voidable

Question 34

Once a minor reaches the legal age of majority,and if he or she disagrees to the terms of a contract and expresses his or her unwillingness to continue with the contract within a reasonable time,then the contract is said to be:

A) stamped.
B) attested.
C) disaffirmed.
D) approved.

Question 35

Once a minor reaches the age of majority,in order to make the contracts entered into by the minor enforceable,it must be:

A) avoided.
B) validated.
C) disaffirmed.
D) ratified.

Question 36

The status of a contract between a minor and an adult is generally:

A) subject to the minor's disaffirmance.
B) voidable at the instance of either party.
C) voidable at the instance of a third party.
D) subject to the adult's ratification.

Question 37

The nature of a contract for necessaries must bear some relationship to a minor's individual needs and to his or her:

A) legal understanding.
B) financial status.
C) professional status.
D) moral behavior.

Question 38

Disaffirmance may be done by the minor:

A) before receiving the consideration.
B) within a day after reaching adulthood.
C) after receiving the consideration for the contract.
D) within reasonable time after reaching adulthood.

Question 39

With regard to minors' contracts,silence or inaction is the basis for a voidable contract becoming a valid and enforceable contract through:

A) justification.
B) clarification.
C) ratification.
D) ramification.

Question 40

If a reasonable period of time passes after a minor reaches legal age and he or she has said nothing about disaffirming the contract,then in the eyes of the law it is considered as:

A) disaffirmed.
B) ratified.
C) negligence.
D) a void contract.

Question 41

Is a contract made by a person under the influence of drugs binding? Explain.

Question 42

Describe competent parties,and how they relate to the capacity to contract.

Question 43

A minor can be held liable if he or she makes damaging statements in writing for the act of:

A) libel.
B) slander.
C) conversion.
D) nuisance.

Question 44

Explain and elaborate on the following statement: The law that protects minors from their contractual commitments is not intended to deny them the opportunity to enter into contracts for necessaries that are not provided by their parents or a guardian.

Question 45

Persons of unsound mind are considered incompetent to make binding contracts because they are assumed to lack the mental capacity to safeguard:

A) other's interests.
B) administrative affairs.
C) their own affairs.
D) political affairs.

Question 46

In a contract between a minor and an adult,the minor has the privilege of disaffirmance.Are there circumstances under which the minor may not cancel the contract?

Question 47

Are mentally incompetent persons eligible to enter into a contract? Why or why not?