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Mental capacity refers to someones ability to understand and appreciate the effect of entering into a contract. Contracts are legally binding, and a person must be of sound mental capacity to be held accountable for the terms of the contract.
What is contractual capacity?
The three types are status-based (e.g., minors), mental or cognitive incapacity (e.g., mental illness), and situational incapacity (e.g., intoxication).
What is the mental capacity of a contract?
People who lack the legal capacity to enter into contracts are minors and people with mental deficiencies. The Restatement Second of contracts defines people with mental deficiencies as those who are unable to act in a legal manner.
What is the meaning of capacity to contract?
With no contractual capacity They cannot perform any legal act. Valid legal acts can, however, be performed on their behalf by their guardians or parents. The curator of the insane person may assist with contractual matters. Contractual capacity refers to the capacity to perform juristic or legal acts.
What is an example of a contractual capacity?
What is an example of legal capacity? A legal capacity example would be a person entering into a contract who is not a minor, is not intoxicated, and does not have a mental incapacity. It means to have the comprehension to enter a contract and understand it.
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Legal capacity, mental capacity and supported decision
by J Craigie 2019 Cited by 68 It is true that mental capacity is a potentially dangerous basis for limiting someones decisional authority. This is because its assessment relies on broad
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