BU231 Chapter Notes - Chapter 8: Natural Person, Rescission, Tim Hortons
Document Summary
Chapter 8: formation of a contract: capacity to contract and legality of object. The burden of proving essential elements of a contract. Once a plaintiff proves that there was an offer, acceptance, and consideration for the promise, the court will ordinarily presume an intention to create legal relations. Two things are present: (1) the defendant has the capacity to make a contract (2) the contract is legal. However, if the defendant proves that she did not have the capacity to enter into the contract or that the contract with legal, she will be released from it. We would not expect a four-year-old child to be able to buy a computer game at that age she would lack the competence or legal capacity to understand the meaning of a legally binding contract. Repudiate: reject or declare an intention not to be bound by. Normally, it is presumed that both parties have capacity to contract.
