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Lecture

ADMS 2610 Lecture Notes - Natural Person, Ais People, International Tropical Timber Organization


Department
Administrative Studies
Course Code
ADMS 2610
Professor
Robert Levine

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2610
January 22, 2014
Capacity:
1) minor (anyone in Canada under 18)
-necessary goods; food, shelter
-the minor cannot get out of the contract
-non necessary goods; ipod, watches
-the minor having the option of terminating the contract as long as they return the
stuff in the same state of purchase
2) drunken individuals
-enter contract when impaired; have option of terminating the contract but must be done
immediately
3) mental incompetents
-mental capacity is low, don't understand the nature of quality around them, they have
the option of bringing the contract to an end; contract is voidable
4) corporation
-legal entity given by the statue as a natural person
-enter into a contract in its own name, sue/ sued in its own name
5) labour unions
-collective agreement; employer of some kind hire number of individuals to unionize
6) licensed vs non licensed
-contract is binding when they are licensed; plumber
-unlicensed; don't have to pay but pay for the fees being charged, but the supplies they
had
Legality
a contract must be legal cannot be contrary to law or public policy
Requirements of form and writing
Simple vs formal contracts
specific form attached to it, with witnesses who sought the contract - formal contract
simple contract is between 2 individuals; individual and corporation; individual and
government
Parole evidence rule
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A) the written contracts prevails
B) no evidence can be used to vary contradict or alter the terms of a written contract
-e.g. A needs house painted and finds painter B; B said ill paint your house for $500;
said will paint the house with top quality paint but used low quality, and it was not written
in the contract.
Exceptions to rule
1) condition precedent
-condition precedent; refers to an event or state of affairs that is required before something else
will occur;
-if condition precedent is satisfied it is a binding agreement; if not then it is not a
agreement
2) collateral agreement
-arguing that the term inducement using top quality paint forms the consideration for
entering the contract to paint the house; allows A to sue B for the damages
3) previous dealings of the parties
-A and B have been dealing together for a period; A sells steal and B always ordered
best quality steal for a price; One occasion B makes the order; the order is written up
that A will supply B with steal; B got low quality; B sues A and then the court preceding
looks at their previous dealings and incorporate the line " A will supply B with top quality
steal"
4) intention of the parties
-major terms of the contract is ambiguous and vague
-e.g. opening up a store; but what kind of store; grocery or auto mechanic store
5) custom and usage of the trade
-2 individuals negotiating for the purchase of the sale the quantity of steal over a period
time but not lengthy; A negotiates with B; where B will buy steal from A but there are no
prices; court will look at the market to determine how much will be paid
Statute of frauds (2 types of provision)
1) land
-agreement and contract with respect of land must be in writing and signed by the
parties
-if its in verbal and oral; the contract in respect of land exist but cannot enforce it in the
court of law
-A sells B his house for 400k, agreement is oral; then the next day A does not want to
sell it; so B sues A but court can't help B because it is not in writing
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