Question 1

Beth, at age 17, sells an antique pin she inherited. Even if the buyer resells the pin to someone who did not know that it was purchased from a minor, Beth can recover the pin from the third person if she changes her mind about
wanting to sell it.

Accepted Answer

Once Beth sells the pin, she no longer has legal ownership or right to recover it from a third person who may have bought it in good faith.

Question 2

If Carrie, age 14, contracted to buy a fur coat by mail, the coat manufacturer would not have to send it since the contract was void.

Accepted Answer

Age of majority for contractual purposes is typically 18. However, some jurisdictions may have specific laws governing contracts made by minors. In this case, more information is needed about the applicable law before determining the validity of the contract.

Question 3

In general, minors have liability for their torts.

Accepted Answer

Minors can be held liable for their torts, but the extent of their liability may depend on various factors, such as their age, maturity level, and the nature of the tort. However, they may also have defenses and limitations to their liability, such as their lack of capacity to understand the consequences of their actions or their status as a dependent of their parents or guardians.

Question 4

A person under guardianship by court order has no contractual capacity.

Accepted Answer

A person under guardianship by court order has been deemed unable to make decisions for themselves and therefore lacks contractual capacity. Their legal decisions must be made by their guardian or conservator.

Question 5

Sean had two beers and felt tipsy. He made a deal with Yoko to buy her stereo. He can avoid the contract because of lack of capacity.

Accepted Answer

While Sean may have been tipsy, being under the influence of alcohol does not necessarily mean he automatically lacked capacity to enter into a contract. It would depend on the specific circumstances, such as whether he was able to understand the terms of the agreement and make a rational decision to enter into it.

Question 6

A few states, either by statute or court ruling, recognize a duty on the part of a minor to make restitution to the seller upon disaffirmance of a contract.

Accepted Answer

Some states do impose a duty on minors to make restitution to the seller upon disaffirmance of a contract. However, this may not be true for all states and may vary depending on the circumstances of the contract and the minor's age. It is important to consult state law and seek legal advice in such matters.

Question 7

By the majority view, a minor need only return any property he has received from the other party if the minor wishes to disaffirm the contract. He has no duty to return the property in the same condition in which he received it.

Accepted Answer

According to the majority view, a minor only needs to return the property received from the other party if they wish to disaffirm the contract, but they are not required to return it in the same condition it was received.

Question 8

At common law, a minor was a person who was under twenty-one years of age.

Accepted Answer

This is true. At common law, a person was considered a minor if they were under twenty-one years of age. However, the age of majority may differ depending on the jurisdiction and the specific laws in place.

Question 9

Sally goes away to college at 17, lives on her own, and pays her own rent and electric bills. If she makes a contract to buy a television set, in most jurisdictions, she may assert her minority status and set aside the contract.

Accepted Answer

In most jurisdictions, minors (those under the age of 18) have the legal right to disaffirm contracts they enter into while still minors, with certain exceptions (necessities, educational loans, etc.). Since Sally is 17 and the purchase of a television set is not considered a necessity, she can assert her minority status to disaffirm the contract.

Question 10

Ratification makes a contract void from the beginning.

Accepted Answer

Ratification is the act of accepting, confirming or taking responsibility for an action that was previously unauthorized. It does not make a contract void from the beginning, but rather makes it valid and enforceable from the time it was first made.

Question 11

In general, if a minor lies about her age in order to induce the seller to contract with her, she cannot disaffirm that contract.

Accepted Answer

Minors can typically disaffirm contracts they enter into, even if they lied about their age, because they are considered legally incapable of fully understanding and consenting to the terms of the contract.

Question 12

All states agree that a minor who has fraudulently misrepresented her age when entering into a contract has no power to disaffirm the contract.

Accepted Answer

The ability of a minor to disaffirm a contract due to misrepresentation of age varies by jurisdiction. Some states may allow minors to disaffirm contracts even if they misrepresented their age, while others may hold them to certain types of contracts or impose conditions.

Question 13

If a person is adjudicated insane and placed in care of a guardian, that person's contracts are void.

Accepted Answer

When a person is adjudicated insane and placed in the care of a guardian, their contracts are considered void because they are no longer legally capable of entering into contracts. The guardian is responsible for managing their affairs and making decisions on their behalf.

Question 14

In general, a minor may only disaffirm a contract after he has reached the age of majority.

Accepted Answer

A minor can disaffirm a contract before reaching the age of majority, and in some cases, for a reasonable period after reaching the age of majority, depending on the jurisdiction.

Question 15

Kris, age 17, who looks 18 or older, makes a contract to buy a car from Maisie, who is the age of majority. Maisie finds out Kris's age. Maisie may avoid the contract even if Kris did not misrepresent his age.

Accepted Answer

The answer of Kris, age 17, who looks 18 or...

Question 16

In a contract to sell necessaries to a minor, these goods and services are limited to medical care, food, and shelter.

Accepted Answer

Necessaries in a contract to sell to a minor can also include clothing, education, and other goods or services essential for the minor's wellbeing, not just medical care, food, and shelter.

Question 17

An intoxicated person must have been so intoxicated as to have been unable to understand the consequences of his actions or have been unable to act in a reasonable manner in order to avoid a contract.

Accepted Answer

In legal terms, this is known as "incapacity." A person who is so intoxicated that they are unable to understand the consequences of their actions or act in a reasonable manner is legally considered incapable of entering into a contract. Therefore, any agreement or contract made under such circumstances would be voidable.

Question 18

Jessica at the age of 15 entered into a contract to sell five acres of land to her uncle. She may disaffirm this contract at any time before reaching her majority.

Accepted Answer

The answer of Jessica at the age of 15 entered...

Question 19

The doctrine of necessaries applies in the same way to minors and mental incompetents.

Accepted Answer

The doctrine of necessaries holds that certain individuals, such as spouses and minors, have the legal obligation to provide for and support each other. Therefore, it applies in the same way to both minors and mental incompetents.

Question 20

Seventeen-year-old Teresa wants to disaffirm her student loan agreements. Most states will not allow her to avoid such contracts.

Accepted Answer

In most cases, minors do not have the legal capacity to enter into binding contracts and cannot be held responsible for the terms of the agreement. However, student loan agreements are an exception, and most states allow them to be enforced against minors who have taken out the loans. Therefore, Teresa is unlikely to be able to disaffirm her student loan agreements.

Quiz 14: Contractual Capacity

Beth, at age 17, sells an antique pin she inherited. Even if the buyer resells the pin to someone who did not know that it was purchased from a minor, Beth can recover the pin from the third person if she changes her mind about wanting to sell it.