Bus Law Study Guide
Business Law Exam 2 Final Review
Three questions on the exam… #1 Q. Natasha Rostov is asserting rights as a third party donee beneficiary on a contract made by mike…
A. The terms of the contract and the surrounding circumstances show a clear intent to benefit her.
#2 Q. Which of the following statements is correct with regard to anticipatory breach of contract?
A. It occurs when one party indicated with definiteness she/he will not or cannot perform under the terms of the contract
#3 Q. Linda an adult is found to be incompetent by court …
A. Void
Capacity
I. Minors
A. In General, Minors what determines who is a minor… state law state statue. States have jurisdiction over contract laws.
B. Right to Disaffirm; Contracts entered by minors are valid they can cancel contracts but adults cannot cancel contracts. Minors can cancel all contracts. Must cancel the contract before the age of majority. The adult can not cancel the contract only the minor
C. Duty of Restoration
Duty of restoration is that the minor has to give back whatever they have remaining. They are responsible if there is any damage but not responsible for loss of value due to depreciation. Liability for Necessaries
1. Liable for reasonable Value (does not apply to adults only minors)
What if they have a contract if it involves necessary’s… shelter the minor has a contract for a 1 year lease. After a couple of months they say that they are moving out, the minor has no responsibility to pay the further months rent. Because there is nothing to give back. Minor is responsible for the less price or the reasonable value whatever is less money. If they paid more than the market value they may be eligible to get some money back. 2. Station in life E. Misrepresentation of age F. Ratification
Age 17 get in contract age of majority is 19 and the contract goes until 20. So if they want to cancel as a minor they need to cancel before age of majority. Ratification the
Three questions on the exam… #1 Q. Natasha Rostov is asserting rights as a third party donee beneficiary on a contract made by mike…
A. The terms of the contract and the surrounding circumstances show a clear intent to benefit her.
#2 Q. Which of the following statements is correct with regard to anticipatory breach of contract?
A. It occurs when one party indicated with definiteness she/he will not or cannot perform under the terms of the contract
#3 Q. Linda an adult is found to be incompetent by court …
A. Void
Capacity
I. Minors
A. In General, Minors what determines who is a minor… state law state statue. States have jurisdiction over contract laws.
B. Right to Disaffirm; Contracts entered by minors are valid they can cancel contracts but adults cannot cancel contracts. Minors can cancel all contracts. Must cancel the contract before the age of majority. The adult can not cancel the contract only the minor
C. Duty of Restoration
Duty of restoration is that the minor has to give back whatever they have remaining. They are responsible if there is any damage but not responsible for loss of value due to depreciation. Liability for Necessaries
1. Liable for reasonable Value (does not apply to adults only minors)
What if they have a contract if it involves necessary’s… shelter the minor has a contract for a 1 year lease. After a couple of months they say that they are moving out, the minor has no responsibility to pay the further months rent. Because there is nothing to give back. Minor is responsible for the less price or the reasonable value whatever is less money. If they paid more than the market value they may be eligible to get some money back. 2. Station in life E. Misrepresentation of age F. Ratification
Age 17 get in contract age of majority is 19 and the contract goes until 20. So if they want to cancel as a minor they need to cancel before age of majority. Ratification the