Contractual Capacity

Contractual Capacity

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1. When a minor makes a contract, what is its legal effect?

  • The contract is valid when made but the minor can choose not to be bound by it subject to various exceptions.
  • The contract is invalid - subject to various exceptions.
  • The contract is valid and binding on the minor unless the other party chooses not to enforce it - subject to various exceptions
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2. All contracts made with intoxicated and mentally incapable persons are unenforceable

  • False
  • True

3. A contract entered into with a corporation, which is outside the purpose specified in the statutes. is ultra vires and therefore void

  • False
  • True

4. Which case example can be used to support contracts for necessaries

  • Doyle v White City stadium Ltd (1935)
  • Nash v Inman (1913)
  • Roberts v Gray (1913)

5. Which case example can be used to support beneficial contracts of service

  • De Francesco v Barnum (1890)
  • Roberts v Gray (1913)
  • Steinberg v Scala (1923)
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