UK Contract Law: Capacity of Individuals, Corporations, Minors, and Mentally Impaired., Exams of Contract Law

Download UK Contract Law: Capacity of Individuals, Corporations, Minors, and Mentally Impaired. and more Exams Contract Law in PDF only on Docsity! CONTRACT LAW CONTRACTUAL CAPACITY Contractual capacity determines who has the legal capacity to enter into a contract. In order for a contract to be valid and enforceable, all parties involved must have the mental capacity and legal authority to enter into the agreement. This ensures that the parties are able to fully understand the terms of the contract and be bound by its obligations. There are several key concepts related to contractual capacity in UK contract law, including the capacity of individuals, corporations, minors, and individuals with mental impairments. Each of these concepts plays a crucial role in determining the validity and enforceability of a contract. The capacity of individuals to enter into a contract is governed by the Mental Capacity Act 2005 in the UK. This act sets out the legal framework for determining whether an individual has the mental capacity to enter into a contract. In general, individuals are presumed to have the capacity to enter into a contract unless proven otherwise. However, if it can be shown that an individual lacked the mental capacity to understand the terms of the contract at the time it was entered into, the contract may be deemed voidable. Corporations also have the capacity to enter into contracts in the UK. A corporation is considered a legal entity separate from its owners, and as such, it has the capacity to enter into contracts on its own behalf. However, in order for a contract to be valid and enforceable, it must be