C5 - Factors affecting contract validity

Sarah, aged 17, agrees to buy a used car from Mark for $5,000. Later, she discovers the car has a major engine defect. Can Sarah avoid the contract?

• Yes, because she is a minor and cannot enter into binding contracts.

• Yes, because the car is defective, regardless of her age.

• No, because she freely entered the contract and the defect is not her fault.

• No, because used car sales are not subject to consumer protection laws.

John tells Michael his antique painting is worth $10,000, knowing it's actually a copy worth $100. Michael buys it for $10,000. What type of misrepresentation occurred?

• Innocent misrepresentation

• Negligent misrepresentation

• Fraudulent misrepresentation

• No misrepresentation occurred

Linda signs a contract to sell her house to David, pressured by his threats to reveal a compromising video of her. What legal concept applies?

• Illegality

• Incapacity

• Mistake

• Duress

Both Tom and Mary believe a signed contract is for 10 widgets, when it actually says 20. What type of mistake exists?

• Unilateral mistake

• Mutual mistake

• Common mistake

• No mistake occurred

A bakery sells expired pastries without labeling them. A customer gets sick and sues. What legal concept is involved?

• Illegality

• Incapacity

• Mistake

• Duress

A company falsely advertises its product as "miracle weight loss." What type of misrepresentation is this?

• Innocent misrepresentation

• Negligent misrepresentation

• Fraudulent misrepresentation

• No misrepresentation occurred

A car dealer accidentally lists a car price at $1,000 instead of $10,000. A buyer notices the mistake and buys it. Can the dealer avoid the contract?

• Yes, because it was a unilateral mistake.

• Yes, because the price is too low and unreasonable.

• No, because the buyer acted in good faith.

• No, because car sales are final.

An elderly man with dementia signs a contract to invest all his savings, unaware of the risks. What legal concept applies?

• Illegality

• Incapacity

• Mistake

• Duress

A construction company offers bribes to win a government contract. What legal concept is involved?

• Illegality

• Incapacity

• Mistake

• Duress

A lawyer convinces their client to sign a contract that unfairly benefits the lawyer. What legal concept applies?

• Illegality

• Incapacity

• Mistake

• Undue influence