Capacity to contract means
A) the ability to make an offer, or accept and offer.
B) the ability to make a promise.
C) the competence to enter into a legally binding contract.
D) the ability to comprehend the terms of a contract.
E) the ability to pay damages in the event of a breach of contract.

Question

Quizplus · Accepted Answer

Capacity to contract refers to the legal ability of a person to enter into a legally binding contract. This requires the person to have the mental capacity to understand the terms of the contract and the legal consequences of entering into it. It also requires the person to be of a certain age, typically 18 years old, and not under the influence of drugs or alcohol when entering into the contract.

Capacity to Contract Means