Paralegal Exam Prep

Category - Contracts

Jill's father, Joe, bought her a brand new blue car for her 17th birthday. Jill's father paid $30,000 for the car. Jill loved the car, but wished that it were red. She stumbled upon a cute, used red sports car that was for sale for just $10,000. Jill decided to sell her brand new blue car to her Aunt Jeanne for $11,000. When Joe found out about Jill's agreement with Aunt Jeanne, he was outraged. He demanded that Aunt Jeanne return the car to Jill and that Jill return the money to Aunt Jeanne. Aunt Jeanne refused. Will a court allow Jill to get out of the contract?
  1. No. Even though Jill is a minor, it is clear that she knew what she was doing when she entered into the agreement.
  2. No. Even though Jill is a minor, because Jill is the legal owner of the car she has the capacity to enter into an agreement to sell it.
  3. No. Even though Jill is a minor, because she has a driver's license, the court will deem her capable of entering into an agreement to sell a car.
  4. Yes. Because Jill is a minor, if she chooses to void the contract, the court will permit it.
  5. Yes. Because Jill is a minor, the contract is void.
Explanation
Answer: D. Yes, the court will allow Jill to get out the contract. Because Jill is a minor, if she chooses to void the contract, the court will permit it. Contracts entered into with a minor are not automatically void. A court will void a contract with a minor if the minor wants the contract voided.
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