BUSSINESS LAW
Contract Law
An exchange of promises where promises are enforceable by the court
Contract Formation
Capacity to contract
Intention to create legal relations
Offer and Acceptance
Consideration
Certainty and Completeness
Definition
Minors
Contract made by children are voidable. They cant be enforce against the minor
Zouch D Abbott v Hallet & Parsons. (1765) 97 ER 1103
Contract for necessaries can be enforced
Peter v Fleming (1840) 151 ER 314
Contract for necessaries can't be enforced if the minor already has a good supply
Nash v Inman (1902) 2 KB 1
Beneficial contracts of employment or education can be enforce
Green v Thompson (1899) 2 QB 1
Everyone is initially presumed to have capacity
Mental incapacity: Contracts are voidable if the other party knew, or should have known, of the incapacity
Gibbons v Wright (1954) 91 CLR 423
Intoxication: Contract are avoidable if someone is so intoxicated they cannot understand the nature of contract
Matthews v Baxter (1873) LR 8 Exch 132
Obtaining capacity: Contracts made during incapacity can be ratified or reputated
Harris v Wall (1847) 154 ER 51