CONTRACT ANALYSIS 8 Running Head: CONTRACT ANALYSIS 1 Legal Analysis of Contract Case Study Rachelle Sepich Liberty University Summary of Contractual Issue Marshall and I have an existing business relationship in that I manufacture and supply products that Marshall needs. Generally, the relationship has gone well except for Marshall?s late payments from time to time. Astoundingly, Marshall prepared a contract which was presented as a technicality intended for documentation of commitment between our companies to continue doing business with one another (Kubasek et al., 2016, p. 249). Marshall provided this substantive unconscionability contract to my son with undue influence in his assertions (Kubasek et al., 2016, p. 251). It?s …show more content…
making the contract a ?binding agreement? (Kubasek et al., 2016, pp. 193-194). That said, what does the law mean when that contract is signed by a minor? Or better yet, what does the Bible say about honoring commitments for the believer and unbeliever? ?As a general rule, parents are not liable for the contracts entered into by their minor children? (Kubasek et al., 2016, p. 226). Cercel and Scurtu advised civil law regulates that there is "limited legal capacity of minors between 14 and 18 years of age" given the assumed insufficient psychological magnitude to exercise legal rights (Cercel, S., & Scurtu, S., 2015). Despite the fact that my son was turning 18 soon and irrespective of Marshall?s awareness to my son?s age, my son was only 17 and was not authorized to act on my behalf. Marshall misrepresented the importance and neglected to expound upon the legal ramifications before executing an agreement with my son. First, grossly minimizing that his contract would be a "formality" and implying that I was aware of the terms and conditions disclosed. As an unbeliever, I can only assume that he either intended to deceive or has no appreciation for the impact his words would have had on my son. Third, implementing such an agreement would force an unjustified and indefinite reliance to work together. Lastly, an agreement of this nature would impede my ability to do business (i.e. sell my company to avoid loss of customers and imminent
Most time, acceptance would be made in clear and loud matters, such as saying “Yes, I accept.” But silence would constitute acceptance of an offer where the common-law and statutory law allows. Supreme Court of Nebraska has confirmed in Joseph Heiting and Sons v. Jacks Bean Co that acceptance may be established by silence or inaction of an offeree and acceptance occurs when the buyer/offeree “does any act inconsistent with the seller/offeror’s ownership...” Neb. U.C.C. section 2-606(1)(c). In Joseph Heiting and Sons v. Jacks Bean Co, 463 N.W.2d 817, 236 Neb. 765 (Neb.,1990), Heiting (Plaintiff) offered to sell its beans at the posted price on September 30, 1987, but was never informed of acceptance or rejection of the offer. Heiting and Jacks
Firstly, we have to distinguish whether Jack makes an invitation to tender or an invitation to treat. According to Harvela Investments Ltd v. Royal Trust Co of Canada (CI) Ltd (1986), the usual analysis is that an invitation to tender for a particular project is simply an invitation to treat. ' However, in the case of Harvela Investments Ltd, the invitation to tender is treated as an offer implicating legal obligations. I believe that Jack was making an invitation to treat rather than an invitation to tender, constituting an offer, for several reasons; firstly, the terms of the invitation are vague, with no specification of time for which acceptance of the most competitive tender ' will remain open till; secondly, I infer that the lack
A contract is defined as, “a legally enforceable exchange of promises or an exchange of a promise for an act that assures that parties to the agreement that their promises will be enforceable (Kubasek 2015).” Contracts are essential for businesses to conduct business with one another. Before delving too far into the Muscadine grape case, it is also important to note that a sale is the, “passing of title to goods from buyer to seller for a price (Kubasek 2015)” and that a good is considered, “tangible personal property (Kubasek 2015).” Muscadine grapes and their by-products are the goods in question. When considering any legal case it is important to first consider the facts and the issues that are being considered.
* Minors are defined as individuals under the age of majority to contract. This is the age at which a person is entitled to the management of his/her own estate (18 in most states).
Contractual capacity is, “The legal capability to form a binding contract. A number of classes of people lack contractual capacity, and these include minors…” (BusinessDictionary.com, 2010). A minor’s capacity to contract and the lack of an employee’s capacity to bind a company by contract could be used in defense against a breach of contract.’ Consideration is necessary for any contract to exist. A promissory estoppel is used when consideration requirements are absent (Kubasek, Brennan, & Browne, 2015, p.250).
There are many ideas about the correct basis for contractual obligation. They include promise, consideration, and cause. All jurisdictions follow at least one. In Thomas E. Davitt’s The Elements of Law, the author articulates a very credible argument for the basis for contractual obligation being one of those named above. Davitt simplifies the arguments for all of these and names one correct basis: the promise itself. Generally Thomas E. Davitt, S.J., The Elements of Law, 272 (1959). This paper will argue in favor of Davitt’s writings. The basis for contractual obligation is the promise itself. In order to effectively argue in favor of one basis over the possible others, it is necessary to discuss and rule out the others.
Outside the United States, the situation is similar. In China, the government provides detailed regulations for contracts made by minors. According to Chinese Contract Law, ‘The party shall, when making a contract, have corresponding capacity for civil rights and civil conduct’ (Article 9, Contract Law for PRC). Minors are considered as adults only if they reach 16 years of age and make a living on their own. In South Africa, a minor is a person who is under 16 years of age, which is different from China and U.S.
During my research of contract law I discovered a publication that highlighted all the legal aspects of binding legal contracts. There are several reasons that I judge may rule a contract unenforceable, one of which relates to nondisclosure due to lack of capacity, this immediately required more study. According to the publication “It's expected that both (or all) parties to a contract have the ability to understand exactly what it is they are agreeing to. If it appears that one side did not have this reasoning capacity, the contract may be held unenforceable against that person. The issue of capacity to contract usually comes up when one side of the agreement is too young or does not have the mental wherewithal to completely understand the agreement and its implications” (Stim 2000). I knew that Mrs. Doe would try to use her son’s age as a reason not to honor the contract. I personally believe that if Mrs. Doe actually had
1. Competent parties. A court will not uphold a contract entered into by parties the law does not believe have the capacity to take on such a legal responsibility, such as minors or people who are mentally incapacitated.
Marshall received a signature on a contract from a seventeen year old minor in which he hopes to enforce. From a legal standpoint, minors have a limited ability to enter into contracts. The seventeen year old minor employee can void the contract he signed at any time. Minors have the option to do this because of laws made to protect them