Legal Capacity in Contract Law

If a person lacks the legal capacity to enter into a contract, the contract may be voidable at their option, and they may not be bound by its terms.

A person who has the legal capacity, meaning they are competent, is able to enter into a contract.

Factors such as mental capacity, age, and any legal disabilities can determine an individual's legal capacity to enter into a contract.

<p>To be competent to enter into a contract, a person must have reached the age of majority, be of sound mind, and not be under the influence of drugs or alcohol.</p> Signup and view all the answers

<p>Competent individuals who have reached the age of majority and are of sound mind are able to enter into a contract.</p> Signup and view all the answers

<p>Legal capacity is essential for entering into a contract as it ensures that the parties involved have the mental capacity and understanding to make binding agreements.</p> Signup and view all the answers