Exam 14: Contractual Capacity

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.

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

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.

The contracts of a person who is adjudicated insane and placed in care of a guardian are void.

A minor can ratify part of a contract and disaffirm another part of it.

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

Which of the following is untrue regarding the contracts of incompetent persons?

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

Carlie contracted to purchase an entertainment center while she was 16. She can ratify the contract the following year.

Disaffirmance must be express; it may not be implied.

Contractual incapacity excuses a minor from an obligation to pay for necessaries.

Anna is 88 years old and under the legal guardianship of her daughter. One day Anna receives a telephone call from a health insurance salesman and purchases a $400-a-month Medigap insurance policy. This contract is:

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

Fay, age 17, ordered a pair of skis on the installment plan. She paid $20 every month until she turned 18, the age of majority. The next day, she sold the skis to Sharon and disaffirmed the contract. Fay is:

At age 17, Wanda purchased an expensive sound system from Lectronic City. If Wanda wishes to ratify this contract, Wanda:

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

A disaffirmance must come either during a minor's minority or within a reasonable time after he reaches majority.

Steve purchases a four-wheel drive truck from Belk Auto Sales. Steve is only 17 years of age. He wrecks the vehicle and attempts to disaffirm the contract and have Belk repay him all that he has paid. In the majority of jurisdictions, Steve:

Discuss the concept of ratification and the ways in which a minor may ratify a contract. Give an example.

Harold, a minor, decided to trade his 1992 truck on a new car at the local dealership. One week after driving the new car, Harold decides that he cannot afford the payments. Harold now wishes to disaffirm his purchase and get his old truck back. The dealer informs Harold that the truck has been sold. Can Harold get the old truck back and disaffirm his contract with the dealer? Explain.