Minors and Contracts

A minor is a person under the age of legal majority (18 in most states). Minors may make contracts. However, as a general rule, they cannot be forced to carry out their promises and may cancel or refuse to honor their contracts. Minors who cancel contracts usually must return any goods or consideration still in their possession. This rule is designed to protect minors from being taken advantage of be­cause of their age and lack of experience. However, minors may have a tough time getting credit because of this rule. Many stores require minors to have a parent or other adult cosign any major contract. The adult cosigner is responsible for making payments if the minor backs out of the deal.

Minors may, however, be held to contracts that involve necessities, such as food, clothing, shelter, or medical aid. Minors can be required to pay for the reasonable value of such goods and services.

In most states, a minor who continues making payments on a con­tract after reaching the age of majority is considered to have rati­fied the contract. Once the contract has been ratified, it can no longer be canceled.

Find the equivalents of the following words and expressions
in the text.

Выполнять обещание; затрагивать чьи–то права; условия контракта; взаимное соглашение; подразумевать; компенсация; дееспособный; заключать договор; уклониться от сделки; совершеннолетие; выполнять условия контракта; защитить несовершеннолетних; лицо, подписывающее контракт вместе с другим лицом; медицинская помощь; ратифицировать контракт.

Answer the questions:

1. What is a contract?

2. What happens if one party to a contract does not carry out the promise?

3. Why is it important to understand how contracts are formed and how they affect your rights?

4. What are the elements of a contract?

5. What is mutual agreement?

6. What is an exchangeof consideration? How does it work? Give your own example.

7. Why must people entering into a contract be legally competent?

8. What kinds of agreements are not enforceable in court?

9. Why shouldn’t you be too quick to enter into a contract? Why is it important to read a contract before signing it?

10. Can minors make contracts? What is special about such contracts?

11. What is an adult cosigner responsible for?

Problem–solving:

1.Keith, 16, a drummer in a popular band, goes to a local music store to purchase a new set of drums. The drums cost $750. He offers to put down $150 and make monthly payments on the remain­ing amount. Because Keith is only 16, the manager of the store refuses to sell him the drums. Is this fair? Is this legal?