Class Notes (809,124)
Canada (493,535)
Business (3,224)
BU231 (312)

K Law-Formation3.docx

2 Pages
Unlock Document

Wilfrid Laurier University
Valerie Irie

Capacity: -can you make the intention to form yourself legally -until you are 18 do not have capacity to enter into a contract -referred to as infant if under 18 -only other option to make it completely subjective -other part of party knew they were in this state, you might not know they are mentally incompetent, have to demonstrate that you were aware of this fact -willful blindness not allowed, should be raising question is this person mentally competent -word insane, legal term, covers all mental competentence -corporations, considered to be persons in law -some created by statue for specific purpose -if exceed authority considered ultra vires -contract would be void and not enforceable -labour unions not considered to be persons in law -certain situations for example province of Ontario, grants labour unions right to sue/be sued -enemy aliens, loses capacity to enter contracts in Canada -any contract liability to Canada, entire contract will be void -first nations people leaving on reservation have diminished capacity -wards of the crown, massive problem -stuck, hard to un-do this -created relationship where land is not actually owned by natives, it is held in trust for them -government, first nations are beneficiaries -legal title of the land do not have capacity to enter into contract -bankrupts, diminished capacity -in this country have legislation allows for any honest but debtor (unable to meet payments) file bankruptcy, puts them into state of this, once in this state, they lose capacity to enter contracts. -has to stay there until everything is resolved, in limbo of not being able to enter into contracts -creditors can no longer pursue collection against the owed money -assets transferred to trustee -may be worthwhile to continue to operate business for short period of time, trustee has authorization to enter contracts
More Less

Related notes for BU231

Log In


Don't have an account?

Join OneClass

Access over 10 million pages of study
documents for 1.3 million courses.

Sign up

Join to view


By registering, I agree to the Terms and Privacy Policies
Already have an account?
Just a few more details

So we can recommend you notes for your school.

Reset Password

Please enter below the email address you registered with and we will send you a link to reset your password.

Add your courses

Get notes from the top students in your class.