BUSI 2601 Chapter Notes - Chapter 8: Perjury, Undue Influence, Insurance Law
21 Jun 2016
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Document Summary
A number of legal doctrines developed through common law and statute that are exceptions to the general rule that a contract, once formed, is enforceable. It categorizes these doctrines on the basis of there being: an unequal relationship between the two parties, misrepresentation or important mistakes concerning the contract, a defect within the contract itself. Voidable contract: a contract that, in certain circumstances, an aggrieved party can choose to keep in force or bring to an end. Void contract: a contract involving a defect so substantial that it is of no force or effect. Legal capacity: the ability to make binding contracts. Certain kinds of people, because they aren"t able to give true consent to their agreements, are given the benefit of special legal protection. (ex. children, those with mental incapacities) Age of majority: the age at which a person becomes an adult for legal purposes. Minors are not obligated by the contracts they make.
