Question 1

Sue, aged 15, bought an expensive calculator from Biggs & Little Office Supplies to use in school, paying for it in full. She paid the normal price and the calculator works as expected. Sue would now like one with some extra functions. Therefore, she can take back the one she bought and get her money back from Biggs & Little, even though she no longer has the instruction manual that went with it.

Accepted Answer

Sue cannot return the calculator and get her money back because she already used it and simply wants one with extra functions. The store's return policy may also require the instruction manual to be included.

Question 2

Mr. Martin, who has been declared bankrupt, decided to rent an apartment for $600 per month, since his house is to be sold to satisfy his creditors. He cannot enter into such a contract, since he lacks the capacity to contract except for necessaries.

Accepted Answer

Mr. Martin's situation suggests that he lacks the financial capacity to enter into a rental contract except for necessaries. While the definition of necessaries may vary by jurisdiction, it typically includes basic living expenses such as food, clothing, and shelter. Therefore, Mr. Martin could potentially enter into a rental contract for an apartment if it is deemed a necessary expense, but this would depend on the specific circumstances and the applicable laws.

Question 3

Gavin ordered a custom-made winter coat from a mail-order catalogue. He is 17. Before the coat arrived, he contacted the seller and told them he did not want it. He has no winter coat. It is likely that he cannot be forced by the seller to take the coat and pay for it.

Accepted Answer

Gavin is a minor and therefore does not have contractual capacity. If he refused to accept the coat before it was delivered and has not used it, he cannot be forced to pay for it. However, it is important to note that his legal guardian or parent may need to be involved in resolving any disputes with the seller.

Question 4

Mariah, a young woman aged 17, went shopping. She purchased a new coat on credit at a clothing store. Later the same day, she took her expensive watch to a jewellery shop to have a new watch band installed. While in the shop, she purchased on credit an additional watch for herself, and a silver bracelet as a gift for a friend. When the merchants later requested payment, Mabel refused to pay. All gifts purchased by minors are non-necessary items, and therefore Mariah is not bound by such a contract.

Accepted Answer

The answer of Mariah, a young woman aged 17, went...

Question 5

Rita, who is 15, makes a contract with Ahmed, who is 30, to babysit Ahmed's two children over March break. If Rita instead goes to Miami Beach with her parents, Ahmed can sue her.

Accepted Answer

A contract between a minor and an adult is usually not enforceable. Therefore, Ahmed cannot sue Rita for breach of contract if she chooses to go to Miami Beach instead of babysitting his children.

Question 6

A public utility corporation was created under legislation that gave it the right to build and maintain power stations, and to raise money within the province to do so. If the PUC enters into a contract to supply power to a group of companies in another province, with the intent to use the money thus raised to build more power stations in the province, that contract is enforceable by the corporations if the PUC decides not to honour it.

Accepted Answer

The answer of A public utility corporation was created under...

Question 7

Moshir ordered a custom-made winter coat from a mail-order catalogue. He is 17. Before the coat arrived, he contacted the seller and told them he did not want it. He has no winter coat. The coat is a necessary.

Accepted Answer

Since Moshir has no winter coat and winter is a necessary season, the coat he ordered is necessary for him. Therefore, the statement is true.

Question 8

Sarah is 18 years old. No matter where she lives in Canada she is fully responsible as an adult for any contracts that she makes.

Accepted Answer

In Canada, the age of majority is 18, which means that Sarah is considered an adult and is fully responsible for any contracts she makes.

Question 9

X sold his retail clothing business to Y. The business was located in a small town, and most of the customers lived within a radius of eight kilometres of the clothing shop. As a part of the sale agreement, X agreed not to set up a similar business in competition with Y for a period of five years or within a radius of eight kilometres of the shop. A court will strike down an unreasonable restriction, and thereby leave the purchaser unprotected from competition from the seller.

Accepted Answer

The answer of X sold his retail clothing business to...

Question 10

Dale, while in a drunken state, purchased a large sailboat from Sonja. If, on his return to a sober state and when made aware of the contract, Dale affirmed it, he could not later avoid the contract on the basis that he was in a drunken state at the time the agreement was made.

Accepted Answer

Dale's affirmation of the contract while in a sober state means that he has accepted its terms, including the fact that he was in a drunken state at the time of the agreement. Therefore, he cannot later use his drunken state as a basis for avoiding the contract.

Question 11

Mariah, a young woman aged 17, went shopping. She purchased a new coat on credit at a clothing store. Later the same day, she took her expensive watch to a jewellery shop to have a new watch band installed. While in the shop, she purchased on credit an additional watch for herself, and a silver bracelet as a gift for a friend. When the merchants later requested payment, Mabel refused to pay. If Mariah accidentally damaged the watch while it was in her possession, the merchant cannot hold her liable for the cost of repair.

Accepted Answer

The answer of Mariah, a young woman aged 17, went...

Question 12

X sold his retail clothing business to Y. The business was located in a small town, and most of the customers lived within a radius of eight kilometres of the clothing shop. As a part of the sale agreement, X agreed not to set up a similar business in competition with Y for a period of five years or within a radius of eight kilometres of the shop. The "five-year; eight-kilometre radius" restriction is probably reasonable, as it protects the goodwill purchased by Y, and does not unnecessarily restrict X's right to set up business elsewhere.

Accepted Answer

The restriction is reasonable as it protects the goodwill purchased by Y and does not overly restrict X's right to set up business elsewhere.

Question 13

Dale, while in a drunken state, purchased a large sailboat from Sonja. If Sonja was unaware that Dale was intoxicated at the time that the contract was made, Dale would not be permitted to avoid the contract.

Accepted Answer

If Dale was intoxicated at the time of the contract and Sonja was not aware of his level of intoxication, the contract may be voidable at Dale's option. Intoxication can affect a person's ability to understand the terms of the contract and make an informed decision. However, if Sonja knew or should have known that Dale was intoxicated, the contract would be voidable at Sonja's option.

Question 14

Samuel, who has been declared bankrupt, decided to rent an apartment for $800 per month, since his house is to be sold to satisfy his creditors. Assuming this is a contract for necessaries, Samuel must tell the landlord that he is a bankrupt or he cannot make the contract.

Accepted Answer

The answer of Samuel, who has been declared bankrupt, decided...

Question 15

Alex is asked by Greta why minors cannot generally be sued for breach of contract. "It's because they don't have much money, usually, and it would be unfair to let a big corporation take it away from them," he says.

Accepted Answer

The reason for minors generally not being held liable for breach of contract is because they are considered legally incapable of entering into a binding contract. It has nothing to do with their financial status.

Question 16

X sold his retail clothing business to Y. The business was located in a small town, and most of the customers lived within a radius of eight kilometres of the clothing shop. As a part of the sale agreement, X agreed not to set up a similar business in competition with Y for a period of five years or within a radius of eight kilometres of the shop. The agreement which restricts X's right to set up a business in competition with Y will only be enforceable if it is reasonable and necessary.

Accepted Answer

The enforceability of a non-compete agreement depends on its reasonableness and necessity. In this case, the radius of eight kilometres is reasonable as it covers the majority of the customers, and the five-year duration is also reasonable. Therefore, the agreement would be enforceable if it is found to be necessary to protect Y's legitimate business interests.

Question 17

Jack, who is 16, makes a contract with Thomas, who is 24, to cut Thomas' lawn all summer. If Jack breaches the contract, Thomas cannot sue him.

Accepted Answer

The answer of Jack, who is 16, makes a contract...

Question 18

Dale, while in a drunken state, purchased a large sailboat from Sonja. Dale may avoid the contract with Sonja, if, on his return to a sober state, he promptly repudiates the contract, and can prove that Sonja was aware that he, Dale, was intoxicated at the time the contract was made.

Accepted Answer

This is a valid defense to the contract known as intoxication, which can impair one's ability to enter into a contract. If Dale promptly repudiates the contract upon returning to a sober state and can prove that Sonja knew he was intoxicated at the time, he may be able to avoid the contract.

Question 19

X sold his retail clothing business to Y. The business was located in a small town, and most of the customers lived within a radius of eight kilometres of the clothing shop. As a part of the sale agreement, X agreed not to set up a similar business in competition with Y for a period of five years or within a radius of eight kilometres of the shop. If the restrictive covenant was considered to be unreasonable by the court, the restriction would be amended to make it reasonable.

Accepted Answer

The answer of X sold his retail clothing business to...

Question 20

Mariah, a young woman aged 17, went shopping. She purchased a new coat on credit at a clothing store. Later the same day, she took her expensive watch to a jewellery shop to have a new watch band installed. While in the shop, she purchased on credit an additional watch for herself, and a silver bracelet as a gift for a friend. When the merchants later requested payment, Mabel refused to pay. The merchant was entitled to a return of the goods sold when Mariah repudiated the agreement to purchase the watch and silver bracelet.

Accepted Answer

The answer of Mariah, a young woman aged 17, went...

Quiz 9: The Requirements of Form and Writing

Mr. Martin, who has been declared bankrupt, decided to rent an apartment for $600 per month, since his house is to be sold to satisfy his creditors. He cannot enter into such a contract, since he lacks the capacity to contract except for necessaries.

Gavin ordered a custom-made winter coat from a mail-order catalogue. He is 17. Before the coat arrived, he contacted the seller and told them he did not want it. He has no winter coat. It is likely that he cannot be forced by the seller to take the coat and pay for it.

Rita, who is 15, makes a contract with Ahmed, who is 30, to babysit Ahmed's two children over March break. If Rita instead goes to Miami Beach with her parents, Ahmed can sue her.

Moshir ordered a custom-made winter coat from a mail-order catalogue. He is 17. Before the coat arrived, he contacted the seller and told them he did not want it. He has no winter coat. The coat is a necessary.

Sarah is 18 years old. No matter where she lives in Canada she is fully responsible as an adult for any contracts that she makes.

Dale, while in a drunken state, purchased a large sailboat from Sonja. If, on his return to a sober state and when made aware of the contract, Dale affirmed it, he could not later avoid the contract on the basis that he was in a drunken state at the time the agreement was made.

Dale, while in a drunken state, purchased a large sailboat from Sonja. If Sonja was unaware that Dale was intoxicated at the time that the contract was made, Dale would not be permitted to avoid the contract.

Samuel, who has been declared bankrupt, decided to rent an apartment for $800 per month, since his house is to be sold to satisfy his creditors. Assuming this is a contract for necessaries, Samuel must tell the landlord that he is a bankrupt or he cannot make the contract.

Alex is asked by Greta why minors cannot generally be sued for breach of contract. "It's because they don't have much money, usually, and it would be unfair to let a big corporation take it away from them," he says.

Jack, who is 16, makes a contract with Thomas, who is 24, to cut Thomas' lawn all summer. If Jack breaches the contract, Thomas cannot sue him.

Dale, while in a drunken state, purchased a large sailboat from Sonja. Dale may avoid the contract with Sonja, if, on his return to a sober state, he promptly repudiates the contract, and can prove that Sonja was aware that he, Dale, was intoxicated at the time the contract was made.