Management and Organizational Studies 2275A/B Chapter Notes - Chapter 8: Undue Influence, Unconscionability, Rescission

• School: Western University
• Department: Management and Organizational Studies
• Course: Management and Organizational Studies 2275A/B
• Professor: Philip King

Document Summary

Exceptions to the general rule that a contract is enforceable once it is formed: Have it brought to an end (contract is said to be voidable) If legal problem is so serious that aggrieved party has no choice in the matter, court must declare contract to be void (void contract) b/c considered as never existed. Legal capacity ability to make binding contracts. Law assumes individuals and organizations have the legal capacity to form contracts. Because consent and voluntariness is required, certain kinds of people (ex. children/mentally incapacitated people) are given special legal protection. Age of majority age at which a person becomes an adult for legal purposes (18/19) General rule that minors aren"t obligated by the contracts they make. Have option to fulfill contractual commitments and can enforce a contract against the other party should they be in breach. Contracts usually voidable at the option of the minor alone.