Explain the outcome of each of the following transactions.

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Explain the outcome of each of the following transactions.

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Explain the outcome of each of the following transactions.

On March 20, Andy Small became seventeen years old, but he appeared to be at least twenty-one. On April 1, he moved into a rooming house in Chicago where he orally agreed to pay the landlady $300 a month for room and board, payable at the end of each month. On April 30, he refused to pay his landlady for his room and board for the month of April.

Explain the outcome of each of the following transactions.

On April 4, he went to Honest Hal’s Carfeteria and signed a contract to buy a used car on credit with a small down payment. He made no representation as to his age, but Honest Hal represented the car to be in A-1 condition, which it subsequently turned out not to be. On April 25, he returned the car to Honest Hal and demanded a refund of his down payment.

Explain the outcome of each of the following transactions.

On April 7, Andy sold and conveyed to Adam Smith a parcel of real estate that he owned. On April 28, he demanded that Adam Smith reconvey the land although the purchase price, which Andy received in cash, had been spent in riotous living.

Explanation & AnswerSolution by a verified expert

On April 1, he moved into a rooming house in Chicago where he orally agreed to pay the landlady $300 a month for room and board, payable at the end of each month. On April 30, he refused to pay his landlady for his room and board for the month of April.
Explanation

Individual A has used basic necessities such as food and shelter from the landlady. Because of this reason, Individual A is liable to pay the landlady a reasonable price for the basic necessities used.
 
This price can be less than the already agreed-upon price of $300 per month. Nevertheless, the landlady can get a reasonable amount from Individual A.

Verified Answer

The landlady can sue Individual A on the grounds of liability for necessities. But the agreed-upon rate of $300 may not be recovered since only the reasonable value for the necessities used by a minor can be recovered.

 
 
On April 4, he went to Honest Hal’s Carfeteria and signed a contract to buy a used car on credit with a small down payment. He made no representation as to his age, but Honest Hal represented the car to be in A-1 condition, which it subsequently turned out not to be. On April 25, he returned the car to Honest Hal and demanded a refund of his down payment.

Explanation

As a minor, Individual A can disaffirm the contract anytime. It causes Individual H to be liable to pay back the down payment to Individual A. Individual H cannot ask for the balance amount of the car from Individual A either.
 
If Individual A had misrepresented their age in front of Individual H, a refund for the down payment would have been possible, which is not the case here. Individual H is also liable to Individual A for fraudulent inducement if Individual H was aware of the poor condition of the car at the time of making the contact.

Verified Answer

Individual A can get the down payment refunded from Individual H if Individual A disaffirms the contract.
 
Since Individual A has not misrepresented the age, the liability for misrepresentation of age cannot be considered.

 
 
 
 
 

Explain the outcome of each of the following transactions.

On April 7, Andy sold and conveyed to Adam Smith a parcel of real estate that he owned. On April 28, he demanded that Adam Smith reconvey the land although the purchase price, which Andy received in cash, had been spent in riotous living.

Explanation

A minor cannot disaffirm from a contract if it involves the sale of land. Here, Individual A sold the property that they owned, in return for the purchase price.
 
Individual A can ask the buyer for conveyance only after Individual A reaches the age of maturity. Individual A is only liable for the repayment of the purchase price if it is still present with Individual A, when they become an adult.

Verified Answer

Individual A cannot ask the buyer to reconvey the land; doing so would be an act of disaffirmance, which Individual A can do only after reaching the age of maturity, in the case of the sale of land.

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