Question

Percy is a rich boy whose parents supply him with every conceivable necessity of life. While still a minor, Percy buys a coat on credit from a men's store for $5000. After wearing the coat for a while, Percy decides that it bores him and that he'd like to disaffirm. Which of the following is most likely to be true? Assume that Percy is still a minor. Percy can disaffirm the contract, and he must return the coat. Percy cannot disaffirm the contract, but he only is liable for the reasonable value of the coat. Percy cannot disaffirm the contract, and he is liable for the full price of the coat ($5000). Percy can disaffirm the contract and he need not return the coat.

Answer 1

Answer: The answer is A, Percy can disaffairm the contract and return the coat.

Explanation:

This question is based on the law of contract. The contract can be defined as an agreement between the buyer and the seller in which the seller agrees to transfer the property in goods for money consideration known as price.

Therefore for a contract to be valid it must have the following requirement that are essential

Offer: There must be offer from the offeror to the offeree.

Acceptance: The other party must be willing to accept the offer.

Consideration: All simple contract must be supported by value consideration known as price.

Intention to create legal relations: The parties to the agreement must be willing to enter into an agreement that can be enforceable by law.

Capacity : The person entering into a contract must have the legal capacity to do so at the time of entering into the contract. In other words, such a person must be of legal age.

However, in the case of Percy he was still a minor as at the time he enter into the contract. He was not of legal age, an according to the law of contract any contract enter into with a minor except for food is null and void in the view of the law.

Answer 2

Answer:

The answer is: Percy can disaffirm the contract, and he must return the coat.

Explanation:

Minors (people under 18 years of age) are not allowed to participate in any kind of contract except for essential items like medicine or food. In order for a contract to be enforceable, Percy's parents must give prior consent.

So Percy can choose to either continue with the contract or void it, but if he decides to void the contract he must return the coat he bought.