BSEN 395 Lecture Notes - Lecture 3: Natural Person, Insurable Interest, Indian Act

• School: University of Calgary
• Department: Business and Environment
• Course: BSEN 395
• Professor: Rob Malach

Document Summary

Chapter 9-legal capacity to contract and the requirement of legality. The ability to enter into a contract. Not all persons can enter into contracts. The law protects those who may lack the ability to appreciate the nature of their acts. Protects those who would not be in an equal bargaining position. A person who has not reached the age of majority. Common law: a person under age of 21. Statute: sets the age of majority in each province; in alberta it is 18 years of age. Public policy says minors should not be bound by their promises. Contract is enforceable by the minor but not against the minor (voidable at the option of the minor) Necessaries: food, clothing, shelter, certain types of transportation, and other necessaries. **necessities of life, reasonable price, and according to their station in life** Minor already has an adequate supply of such goods. Price must be reasonable for goods provided: beneficial contracts** not testing.