Exam 14: Contractual Capacity

An automobile may be considered a necessary item for a minor.

Tim, who is a minor, enters into a contract with Violet, who is an adult. Which of the following is correct?

Donald, a minor, makes a contract with Albert, an adult, to buy a computer. One week later, Donald has his eighteenth birthday. If shortly thereafter Donald tells Albert he will pick up the computer the next week:

Which of the following is least likely to be classified as a necessary for which a minor will be held liable on a contract?

In general, minors have liability for their torts.

Percy, age 17, purchased a used mobile home from a mobile home dealer for $20,000. This price, however, was twice the reasonable value of the mobile home. One month later, Percy wishes to disaffirm the contract. If the mobile home is considered a necessary, then:

If a person is unable to understand the nature and effect of entering into a contract, he or she can avoid it.

Name and briefly describe the three classes of persons who are legally limited in their capacity to contract.

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

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

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

Ratification need not be express; it may be implied from the minor's conduct.