Legal Question in Civil Litigation in New York
a person almost 18 years old convinced someone to back her up to buy a car, the sales person realized she looked a little young but sold her the car anyway sense she had cash and a 3rd person who promised to take care of things if they were any problems. the owner of the car was arrested 1 year later and wanted to returm the car to pay for her bail stating that the contract was a void from the beginning, my questions are:
a)can she dissafirm the contract?
b)is it void or voidable?
C)can the company hold the 3rd perdon liable for the contract?
d)can the company rescind the contract uopn finding out she was 17?
1 Answer from Attorneys
A) No, she cannot disaffirm the contract. Generally, minors who enter into contracts are not obligated to perform the duties under the contract, nor deliver services agreed upon, as the contract(s) are deemed to void under contract principles. However, whenever a minor enters into a contract for necessaries such as a lease for an apartment or a contract to buy a car, the minor will be held to perform the duties under the contract, or deliver agreed upon services.
B) The contract here is voidable.
C) No. The company cannot hold the 3rd party liable under a contract theory of recovery. Depending on the circumstances, the company may be able to pursue a remedy under an equitable theory of recovery if it can show that it entered into the contract with the minor because it detrimentally relied on the statements of the 3rd party. Absent this or a novation, a voluntary substitution of the 3rd party to assume responsibility of the debt, the company hold the 3rd party liable for the contract.
D) Yes, the company can rescind the contract with the minor. The contract here is voidable at the election of the company.
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