Sample Law Essays On Business Law

Homework Question on Business Law

  • TEXTBOOK TO BE USED
  • Twomey, D. (2014). Anderson’s Business Law and the Legal Environment Comprehensive Volume (22sted.). USA: Cengage Learning.
  1. In the context of contract law, do you think that the legal age of majority should be 18 years old, older, or younger?  At what age should individuals be bound by their contracts and why?
  2. Consider the following case and post your response.

Helen owned a house which she wanted to sell.  During her ownership of the house she told other people that it was haunted and that she had experienced a number of encounters with ghosts in the house.  When it came time for Helen to sell her house, she did not tell prospective buyers about her ghostly experiences.  Jeffrey entered into a contract to buy the house from Helen without knowing about its alleged haunting.  After Jeffrey entered into the contract he learned about the claims surrounding Helen’s house.  Jeffrey wants to rescind the contract now and not go through with the deal.  What do you think?  Does he have a defense?  Why or why not?

  1. Consider and respond to the following hypothetical:

Jay bought the new “XV-3000” model car from Automania, a car dealership.  Neither the car contract nor the salesman mentioned how many miles per gallon the “XV-3000” gets.  After Jay purchased the car he saw a tv ad in which Automania falsely claimed that the “XV-3000”  gets 40 mpg.  In fact, the car only gets 30 mpg.  Jay later realized the truth that the car only gets 30 mpg and he wants to sue Automania to get out of his purchase contract.  Does Jay have a defense to the enforcement of this contract?  If yes, what defense?  If no, why not?

Homework Answer on Contract Law

Capacity is the legal ability to enter into and execute a contract. A person party to a contract should have the capacity to understand what the contract entails. The law has tried to remedy this situation by providing basic guidelines than are meant regulate contractual undertakings. Minors are considered to lack the capacity to enter into contracts. The minors are protected from being party to contracts directly. A contract entered with a minor will be considered void on the face of it. It is my opinion that the legal age of the majority should be 18 years old or older. Minors should not enter into contracts directly. (Twomey and Jennings 283).

Hellen sold a haunted house to Jeffrey but did not disclose very important information regarding the state of the house.  Hellen knew that the house was haunted but did not disclose the information deliberately to Jeffrey. Non disclosure of information deliberately that would have been key to the contract makes it voidable. Jeffrey therefore has a defense because information within the knowledge of the seller of the house was deliberately concealed.

Homework Help

Jay entered into a contract with Automania car dealers for purchase of a new XV- 3000 car. He wants to rescind the contract based on an advert that had information on the same type of car with 40 mpg different from his of 30 mpg. Jay may not be able to get out of the contract because he did not rely on the information contained in the advert before he entered into contract.  The claim in the advert was also false. There is no element of fraud or non disclosure in Jay’s case.