Seven Law Questions - Essay Example

In question 1, capacity refers to the mental ability of a person to understand the rights and obligations entitled to him or her in a contract, therefore, being presumed to comply with its terms. Della and Perry possessed the capacity to enter into a legal contract because their alcohol influence did not compromise their ability to understand the obligations of the contract because they even took notes regarding the job. The rule in Restatement of Contracts says that once the previously intoxicated person becomes sober, he or she can disaffirm the contract.
In question 2, Jasmine can disaffirm the earrings, tickets to a concert, and down payment for the used car due to her age. The case would not be any different if the items were used or she waited for one month before returning them as long as the time agreed on in the contract did not elapse. For instance, she could return the tickets to the concert after one month provided that they had not expired.
In question 3, the contract can be ratified through Jasmine's writing or by starting to confirm that she intends to be bound by the terms of the contract. Moreover, the action of her continuing to make the monthly payments can be termed as ratification of the contract. Her mother would be liable for the contract if Jasmine fails to adhere to its terms and the court proves that she failed to supervise her daughter properly; a factor that caused her to expose others to an unreasonable risk of harm.
In 4 (a), the contract is not enforceable because it exceeds the legal maximum interest rates which are set to facilitate business transactions while keeping the economy healthy. In 4 (b), in most States gambling is illegal because it might run afoul of some applicable criminal laws hence any contract involving it is unenforceable. This factor renders the purchase of the slot machine to be used for gambling unenforceable. In 4 (c), the contract is enforceable because it involves revenue generation but the contractor would be expected to pay a fine for working without a license. In 4 (d), the contract is unenforceable because it compromises the safety standards that are set to protect the health of the users.
In question 5, Alex can make use of substantive unconscionability as a legal defense in arguing that the contract with his former employer provided unfair benefits. He would term the contract to have prevented the achievement of equal benefits for both him and his former employer. In question 6, the exculpatory clause is a legal provision that releases one of the contracting parties from liability regardless of the injury caused or the party at fault. On the other hand, public interest refers to any essential activity that is generally acceptable and that promotes the well-being of society. In Kevin’s case, the exculpatory clause is acceptable because the services that his business renders are not related to the public interest and also it is not a must for people to participate in them. Therefore, if the parents agree to the exculpatory clause, it becomes enforceable. Read More