Capacity and Legality

What are the three elements a plaintiff must prove to establish a contract?

Offer, Acceptance, and Consideration.

What is presumed once the elements of a contract are proved?

Intention to create legal relations, capacity to contract, and legality of the contract.

What is legal capacity in the context of contracts?

The competence to bind oneself legally.

Who may lack the required capacity to contract?

Minors, people with diminished mental capacity, elderly individuals, and those with cognitive disabilities.

At what age is a person considered a minor in Saskatchewan?

18 years old.

What is the general rule regarding contracts made by minors?

A contract made by a minor is not binding on the minor but is binding on the other party.

What are necessities in the context of contracts for minors?

Items such as food, legal advice, shelter, medical attention, clothing, and transportation to work.

Under what circumstances are minors bound to contracts for necessities?

Minors cannot repudiate contracts for necessities.

What is the rule regarding minors and beneficial contracts of service?

Minors are bound to beneficial contracts of service that are not exploitative.

What happens if a minor repudiates a contract for non-necessities?

They must return the goods to the seller in whatever condition they are in.

Can a minor recover money paid for a non-necessity contract?

No, a minor who benefits from a non-necessity contract cannot recover monies already paid.

What is the implication of a contract being voidable by a minor?

The minor can choose to affirm or repudiate the contract upon reaching the age of majority.

What is the significance of the 'continuous or permanent nature' of a contract for minors?

Such contracts can be voidable by the minor upon reaching the age of majority.

What must a minor do to repudiate a contract of a continuous nature?

They must act quickly to void the contract.

What is the legal standing of corporations in contract law?

Corporations are legal entities capable of entering into contracts through their agents.

What makes a contract illegal?

If the object or purpose of the contract offends public good or violates a statute.

What is the general rule regarding illegal contracts?

Illegal contracts are unenforceable.

What happens if only part of a contract is illegal?

The illegal section will be severed, and the remaining portion will remain enforceable.

What is the outcome if a minor engages in negligence while executing a contract?

The minor may still be liable for torts.

Can an adult recover money lent to a minor for non-necessities?

No, the adult cannot recover the debt if the funds were used for non-necessities.

What is the test for determining necessities for minors?

It is a subjective-objective test considering individual circumstances and objective necessity.

What must a minor do if they want to void a contract after reaching the age of majority?

They must ratify (reaffirm) the contract upon reaching the age of majority.

What is the legal implication for a minor who benefits from a contract for necessities?

They cannot repudiate the contract and are bound by it.

What is the legal consequence for a minor who purchases items on credit for non-necessities?

They can repudiate the contract and return the items.

In the example of Joe purchasing a vehicle on credit, what is the enforceability of that contract?

The contract is likely unenforceable as it is for a non-necessity.

What happens if an elderly person makes an online purchase in error?

They may be able to void the contract if they can demonstrate lack of comprehension.

What options does John have after breaking the leg of a hockey player under contract?

John may seek payment for the contract, but the contract is illegal and unenforceable.