LW 221 Study Guide - Midterm Guide: Section 15 Of The Canadian Charter Of Rights And Freedoms, Status Quo, Profit Margin
Document Summary
Business law test 2: chapter 15, 16, and 13. Capacity means the legal ability of a party to enter a contract in the first place. Problems with capacity and consent make a contract voidable. When a contract is voidable, one party has the option either to enforce or terminate the agreement. Capacity: is the legal ability to enter into a contract. Minors:(under the age of 18): because a minor lacks legal capacity, she normally can create only a voidable contract. Disaffirm- to give notice of refusal to be bound by an agreement. Consent refers to whether a contracting party truly understood the terms of the contract and whether she made the agreement voluntarily. Element one: intentional or reckless misrepresentation of fact. Opinions and puffery do not amount to fraud. The injured party must demonstrate that the statement was material, or important.
