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Frequently Asked Questions

What are some valid defenses to breach of contract due to incapacity?

When a breach of contract occurs due to incapacity, there are several valid defenses that can be used to absolve the party who breached the contract from any liability. One such defense is repudiation, where it can be proven that one party of the contract has abandoned, renounced, or refused the contractual obligations. Another defense is revocation, which is valid as long as it was communicated to the other party before the offer was accepted. This involves one party rescinding an offer. A third defense is the lack of capacity, which can be used when the party entering the contract was not legally allowed to do so. This could be the case with a minor or a person lacking mental capacity. However, if a minor commits fraud by misrepresenting their age to the other party, the contract cannot be voided and the minor must uphold their end of the contract. This rule also applies to contracts related to necessities such as food, lodging, clothing, medicine, medical care, education, and legal services.

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