Elements of a Contract

Capacity

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In limited situations, the law will allow a party out of an otherwise binding contract.  This will occur if a party lacks the basic ability to understand the consequences of a contract.  The law does not require that they understand, only have the capacity, or ability, to understand.

The law recognizes a lack of capacity for minors, mentally incapacitated, and intoxicated individuals.

Click on each of the following for more information and your assignment:

MINORS                  

MENTALLY INCAPACITATED                

INTOXICATED