At age 16,Phil bought a car from Acme Auto Co.for $2,500.Phil drove the car for about six months,and then he had an accident.The damage to the auto was $1,500.In addition,the value of the auto before the accident was only $2,000.The accident was not Phil's fault.Phil wishes to disaffirm the contract.Which of the following best describes this situation?

Question

Quizplus · Accepted Answer

Phil can disaffirm the contract and recover the entire $2,500 because the contract was voidable due to his age at the time of purchase. The fact that he had an accident and the value of the car decreased does not negate his right to disaffirm the contract and be refunded the full purchase price. Furthermore, since the accident was not Phil's fault, he may have a separate claim for the damage caused to the car by the other party involved in the accident.

At Age 16,Phil Bought a Car from Acme Auto Co