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Buisness Law

In: Business and Management

Submitted By gerryterrey
Words 629
Pages 3
Business Law 1
Week 4 Seminar Questions
Natasha Dunn, Forensic Investigation

Q1) This issue is governed under the Law of Contract, under the formation of contract and the revocation of a contract specifically under contractual capacity. Contractual capacity states that young persons aged sixteen and seventeen have full legal capacity. This protects young persons against ‘prejudicial transactions’ until they turn 18 and any contracts like this can be put aside by the court. However, there are exceptions to the rule: if under 18 and running your own business; if ratified before turning 18; if age is misrepresented when entering contract.

In this case, Jean is seventeen, running her own business and wants to get out of a legally bounding contract for an object in which has already been ordered. However, Jean cannot get out of the contract just because she is under eighteen years of age because she is running her own business and therefore she is not subject to the protection anymore. Therefore, this puts her in the same legal position that any other adult would be in, in her situation. She could attempt to revoke the offer by emailing or writing to the seller but she is still legally bound by the contract made.

Q2) This issue is governed under the Law of Contract, under the formation of contract and specifically contractual capacity. Contractual capacity states that generally children under sixteen years of age have no capacity and the contract is void. However, the exception to this rule that would make the contract valid; if transaction is commonly entered into by persons if his age and circumstances and if the terms are not unreasonable. Furthermore, children under 16 are protected against ‘Prejudicial Transactions’ and can have contracts put aside by the courts

In this case James entered into a contract which is commonly entered into by persons of...

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