Contract Law: Key Terms and Concepts, Quizzes of Business and Labour Law

Download Contract Law: Key Terms and Concepts and more Quizzes Business and Labour Law in PDF only on Docsity! TERM 1 capacity DEFINITION 1 a persons ability to be bound by a contract TERM 2 individuals who lack capacity DEFINITION 2 1) minors - people below 18 Minors are bound by necessities of life ex) clothing, food, shelter 2) intoxicated persons Hinges on how intoxicated you are and how complicated the agreement is 3) mentally impaired persons TERM 3 Lawful purpose DEFINITION 3 the contract must not be for an unlawful purpose or contrary to public policy TERM 4 5 essential elements for a contract DEFINITION 4 1) offer2) acceptance3) consideration4) capacity5) lawful purpose TERM 5 fraud DEFINITION 5 when someone makes an intentional misstatement about a material fact and the other side justifiably relies on that TERM 6 misrepresentation DEFINITION 6 unintentional misstatement TERM 7 duress DEFINITION 7 Pressured into doing something, usually something that is threatening or against your will TERM 8 undue influence DEFINITION 8 someone who is trusted persuades someone into doing something they wouldnt normally do TERM 9 mutual mistake DEFINITION 9 when both sides are not on the same page, there is a mistake by both parties about some material aspect of the contract, both sides confused about something that is centrally important to the contract TERM 10 Third-party intended beneficiaries DEFINITION 10 If something goes wrong, not only can one of the parties sue the other, but the third party can sue the side that messed up as well