Which of the following terms designates the legal ability of a party to enter into a contract?
A)Consent
B)Affirmation
C)Materiality
D)Capacity

Question

Quizplus · Accepted Answer

Capacity refers to a party's legal ability to enter into a contract. Specifically, it involves the party's mental competence and age. In order to enter into a legally binding contract, a party must have the capacity to do so. Consent, affirmation, and materiality are other important concepts in contract law, but they do not relate specifically to a party's legal ability to enter into a contract.

Which of the Following Terms Designates the Legal Ability of a Party