B LAW301 Lecture Notes - Lecture 10: Ultra Vires, Bawlf, Indian Act

• School: University of Alberta
• Department: Business Law
• Course: B LAW301
• Professor: Jeffrey Bone

Document Summary

5 different contractual defects: incapacity to contract, absence of writing, mistake, unfairness during bargaining, illegality. 7 groups who may have no capacity or limited capacity to create a contract: minors, mentally incapacitated persons, intoxicated persons, corporations, associations, indian bands and aboriginal persons, public authorities. Age of majority: age at which a person is held fully accountable in law. Minors: people who have not reached the age of majority. Some minors(cid:3244) contracts are voidable: a minor is entitled to avoid the legal obligations that the contract would have otherwise created. Some minors(cid:3244) contracts are enforceable: contracts for necessary goods and services, employments contracts. Minor has option to accept or avoid a contract. Minor must choose soon after reaching majority. Minors must return benefits they received under the contract (cannot take benefits of a contract and then cancel it with impunity: exemption from consequences). Party is too drunk to understand the circumstances of the contract.