Business Law 380 12. Ralph, a 16-year old minor, is manager for the high school
ID: 454053 • Letter: B
Question
Business Law 380
12. Ralph, a 16-year old minor, is manager for the high school football team. Ralph signed a contract to purchase alcoholic beverages from Liquormart, Inc. for the team party. This contract is:
a) Void as a matter of law because it is illegal to sell alcohol to minors by state law.
b) Void only if Ralph misrepresented his age and told Liquormart he was an adult.
c) Valid and enforceable, but Ralph has the right to disaffirm because he is a minor.
d) Valid and enforceable, if Liquormart knew that Ralph was a minor.
13. Which of the following activities may involve the use of a contract, and/or constitute a sales contract?
a) Purchasing medications from a pharmacy.
b) Hiring a contractor to make home repairs.
c) Purchasing insurance policies from an insurance agent.
d) Selling books to customers in a bookstore.
e) All of the above.
Explanation / Answer
12. Correct answer is option (a)
Void as a matter of law because it is illegal to sell alcohol to minors by state law.
The minimum mental capacity is required by law for a party who enters into a contractual agreement to be bound by it. Generally in the case of minors, it is illegal to sell the alcohol therefore contract is void.
13. Correct answer is option (e) all of the above
Because all the above activities may involve the use of a contract, and/or constitute a sales contract.
A contract for the sale of goods can be made in any manner that shows agreement between the buyer and seller. A contract can be made orally or in writing or through any other conduct by the both parties that acknowledges the existence of a contract.
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