Contract Law

In court you need to establish that the consuming public is not likely to be confused as to the source of the game

In.

Capacity refers to a person’s ability to be bound by a contract. The courts generally treat three classes of people as lacking the capacity to be bound by their contracts. These are

- minors

- intoxicated individuals

- mentally incompetent individuals.

Minors are those individuals who have not attained the age of majority, which is determined state by state. If a person is a minor, they can enter into a contract, but can disaffirm the contract prior to reaching the age of majority or within a reasonable time after they reach it. This means the contract is voidable by the minor. However, the contract is not voidable by the other party, unless that person is also a minor. If the contract is voided, the minor is entitled to a return of its consideration and must return what it received in exchange if it still has it. If the minor reaches the age of majority and does not disaffirm within a reasonable amount of time, they are said to ratify the contract, which makes it no longer voidable. A limited exception to this rule applies to necessaries purchased by the minor. This contract can still be disaffirmed, but the minor is liable or responsible for what they used.

Similarly, if a person is too intoxicated to understand the nature and the purpose of the contract, the contract will be voidable by the intoxicated person, or can be ratified when they are sober. The courts are more prone to allow a person to disaffirm their contract if they were involuntarily intoxicated, meaning that it was not their own doing. It is more difficult for a person to disaffirm a contract if their intoxication was voluntary.

If a person lacks mental capacity, their ability to enter into a contract depends on whether they have been adjudicated, which means a court has declared the individual to be incompetent. If a person is...