Exam 12: Capacity and Legality

A person who is insane but not adjudged insane is appointed a legal guardian to act on his or her behalf.

Judges can define morality based on their individual views.

Unlicensed persons cannot recover payment for services where they do not have the required license.

According to a minor's duty of restoration,the goods received from an adult should be returned in status quo after the contract has been disaffirmed by the minor.

At common law,parties to an illegal contract were considered in equal fault.

The act or process of a minor voluntarily leaving home and living apart from his or her parents is referred to as ________.

What is legal insanity?

A person who is insane but not adjudged insane cannot void a contract he or she has entered into.

The emancipation doctrine helps a minor to enforce the necessaries of life contract on negligent parents.

An exculpatory clause must be reciprocal to be considered enforceable.

If both parties to a contract are minors,both parties have the right to disaffirm the contract.

The equitable doctrine of ________ obligates a minor to only pay reasonable value for goods or services received.

A person who disaffirms a contract based on intoxication must be returned to status quo.

A person can sue for nonperformance even if it is an illegal contract.

A person who was legally insane at the time of entering a contract is relieved of his or her duties from the contract.

________ set an upper limit on the interest rate that can be charged on certain types of loans.

What is the doctrine of in pari delicto with reference to contracts?

The duty of restitution states that a competent party should be placed in status quo by the minor upon disaffirmance of a contract.

In order for a minor to be bound by a contract with an adult after he or she becomes an adult,he or she must ________.

A minor may not affirm one part of a contract and disaffirm another part.