1. When Lisa was 16 years old, she bought a pedigree dog on credit for $1,200. W
ID: 1192186 • Letter: 1
Question
1. When Lisa was 16 years old, she bought a pedigree dog on credit for $1,200. While Lisa was a minor she made numerous payments on the contract price for the dog. The dog has now contracted a serious illness. Lisa has just turned 18, and she is trying to decide what to do with the dog. Answer the following questions:
a. Can Lisa avoid the contract and why? If so, what must Lisa return, and what is she entitled to be repaid?
b. If Lisa keeps the dog for another year to breed it, can she avoid the contract at that time?
c. List the 3 general classes of individuals who may lack contractual capacity to enter into contacts.
Explanation / Answer
1.
Those who have not crossed the age 18 are the minors in the US.
a.
L can avoid the contract, since a contract with a minor is null and void. L must return the dog and she will be repaid the contract price, up to the extent of her payments.
b.
If she keeps the dog for another year, she will cross the age of 18 and become a major. But still she can avoid the contract, since the contract was executed while she was minor.
c.
3 classes of individual not having the contractual capacity are as below:
1. Minor
2. Lunatic: If a person is lunatic he/she can’t enter into a contract.
3. Insolvent: A person who is declared insolvent by court can’t take part in a financial contract.
Related Questions
Navigate
Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.