Minor Contracts And Voidability

Summary

Contracts with minors in Arizona are typically voidable, meaning the minor can choose to honor or void the contract. In the case of John, a 16-year-old who purchased a car, the contract is voidable at his discretion. For Hideo and Ivans land sale, the agreement is unenforceable due to lack of specificity. Jericas non-compete clause is likely valid as she adhered to the one-year restriction. Johns construction contract with Daniel may allow for payment reduction due to breach of terms. Jessies firing for union activities could be wrongful termination. Taios employment refusal may involve a BFOQ defense. Title VII protects against discrimination, including pregnancy. Elliots partnership liability may involve shared debt responsibility. The duty of loyalty prohibits self-benefiting decisions. A registered agent serves as a businesss state presence. Levitt Corporations stock issuance involves authorized shares. The business judgment rule protects good faith decisions. Albertos actions may breach the duty of openness. Tamika can access corporate records with a proper purpose.

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Hideo owns * acres of land. Hideo offers to sell the land to Ivan for $*,* per acre. Ivan replies that he does not need * acres of land, but would like to buy * acres at $*,* per acre. Hideo agrees to sell his land but does not identify which * acres. Later, Hideo refuses to sell any land to Ivan. What is the result?
In this situation, the agreement between Hideo and Ivan is not enforceable because it lacks specificity. For a contract to be valid, the subject matter must be clearly defined. Since Hideo did not specify which * acres he would sell to Ivan, the contract is considered too vague to be enforced. Therefore, Hideo is not legally obligated to sell any land to Ivan.
Jerica is a CPA with an excellent reputation and client base. Jerica sells her tax preparation business to Kerem, and the sales contract includes a non-compete clause restricting Jerica from opening a similar business for one year within a *-mile radius of her former office. If Jerica opens a tax preparation office five miles away after one year, a court would probably
In this scenario, since Jerica waited one year before opening a new tax preparation office, she is likely in compliance with the non-compete clause. The court would probably rule in Jerica's favor as she adhered to the one-year restriction.
Is there anything specific you need help with regarding non-compete clauses or any other legal issues?
John agreed to pay Daniel $*,*,* for the construction of a home with *-foot ceilings. When the home was completed, it was discovered that the home was built with *-foot ceilings. John has to pay Daniel how much for the construction of the home?
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John may have grounds to seek a reduction in the payment or compensation due to the breach of contract terms. The resolution can depend on various factors including the specifics of any written agreement and the jurisdiction's laws.
Does John want to pursue a breach of contract claim against Daniel?
Jessie is a manager in charge of hiring at a local chain restaurant. Fellow employees have been talking about forming a union, and Jessie wants to get involved, so Jessie starts holding organizing events offsite after hours. The store manager finds out, and Jessie is fired. Have Jessie’s rights been violated?
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It appears Jessie might have a case for wrongful termination. In general, employees have the right to engage in union organizing activities, and firing someone for such activities could be considered a violation of labor laws.
Does Jessie want to pursue a wrongful termination claim or need more details on labor rights?
Taio was refused employment at a Christian bookstore because he was not a "born-again Christian." If Taio brings a Title of the Civil Rights Act of * action against the bookstore, the bookstore's best defense would be
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One potential defense the bookstore might use is the Bona Fide Occupational Qualification (BFOQ) defense. This defense allows employers to hire individuals based on religion if it is reasonably necessary to the normal operation of that particular business.
Do you need more details on BFOQ or assistance with another issue?
Title VII of the Civil Rights Act of * is violated if employers permit a work environment that is hostile toward people who are in the following protected categories:
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Title VII of the Civil Rights Act of * prohibits employment discrimination based on race, color, religion, sex, and national origin. If an employer permits a hostile work environment towards individuals in these protected categories, it is considered a violation.
Is there a specific situation or issue related to a hostile work environment that you need assistance with?
what about pregnancy
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Pregnancy discrimination falls under the category of sex discrimination under Title VII of the Civil Rights Act of *. Employers are prohibited from discriminating against employees or job applicants based on pregnancy, childbirth, or related medical conditions.
Is there a specific situation related to pregnancy discrimination you need help with?
Elliot and Brandwon operate a record label, Surf Dreams, in Riverside County, California. They have not filed any paperwork with the state, but they have been jointly operating the business for ten years. In June *, Brandwon took out a loan from a bank in the company’s name for $*,*. Brandwon then disappeared, and the bank came after Elliot for repayment
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It seems like Elliot might be facing a complex legal issue here, as the bank is coming after him for a loan taken out by Brandwon. This could potentially involve issues related to business partnerships and liability.
Would you like to be connected to local lawyers who can better assist you with your case?
Can you provide me with more details about the issue?
who is liable
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In the situation where Brandwon took out a loan in the company’s name and then disappeared, typically, both partners might be liable for business debts if they are operating as a general partnership, especially if no formal paperwork was filed. However, specifics can vary.
Would you like more information on partnership liability or assistance with another legal issue?
Nicolas owns a bookstore in a small town in Montana. Nicolas has run the business as a sole proprietorship for years because there is little liability involved. When his sibling, Manny, moves back to town, the two agree to work together to build the bookstore. Manny invests some money, and the two manage the store together. What is the legal status of the store?
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It sounds like the bookstore has transitioned from a sole proprietorship to a partnership. Here are some key points:
- Partnership Formation: By investing money and managing the store together, Nicolas and Manny have likely formed a partnership.
- Liability: Both partners may now share liability for the business's debts and obligations.
Do you need more information on partnership agreements or how to formalize this arrangement legally?
The phrase "piercing the company veil" applies to which type of organization?
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The phrase "piercing the corporate veil" typically applies to corporations and limited liability companies (LLCs). It refers to a situation where courts set aside limited liability and hold the organization's shareholders or directors personally liable for the company's actions or debts.
Do you need information on how this might apply to a specific situation?
When a partner leaves a partnership, whether it be voluntary or by expulsion, death, or bankruptcy, it is called
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The process of a partner leaving a partnership, whether voluntarily or by expulsion, death, or bankruptcy, is generally referred to as "dissolution of partnership."
Is there a specific aspect of partnership dissolution you need help with?
Which of the following describes the duty of loyalty? It requires managers to make decisions they reasonably believe to be in the best interest of the managers of the corporation. It prohibits managers from making a decision that benefits them at the expense of the corporation. It requires consideration of the interests of the surrounding community. It requires using care that an ordinarily prudent person would take in a similar situation.
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The duty of loyalty is best described by the statement: "It prohibits managers from making a decision that benefits them at the expense of the corporation."
Is there a specific situation related to a breach of duty of loyalty you need help with?
Someone hired by a business to serve as its official presence in the state is called a/an:
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In Arizona, someone hired by a business to serve as its official presence in the state is called a "registered agent."
Do you need more information on the role and responsibilities of a registered agent?
The Levitt Corporation charter authorizes a maximum of *,* shares of stock. The board of directors for Levitt Corporation seeks to do a stock offering and raise as much money as possible. To do so, it decides to issue all *,* shares. This stock is referred to as
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The stock issued by Levitt Corporation in this scenario is referred to as "authorized shares." These are the total shares that the corporation is legally allowed to issue as outlined in its charter.
Is there anything more specific you need help with regarding stock offerings or corporate governance?
The business judgment rule provides that managers are not liable for decisions they make in which of the following situations? Even if there is a conflict of interest In good faith and to advance the best interests of the corporation In good faith and with due diligence In the best interests of the individual director
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Managers are generally not liable for decisions made in the following situation:
- In good faith and with due diligence
Is there anything specific you need assistance with related to the business judgment rule or corporate governance?
Alberto owned * percent of the shares of Group of Fishermen Inc. Group of Fishermen had a particularly bad year on the ocean and as a result was looking to sell some of its fishing boat fleet. Alberto arranges to sell ten boats to Fishermen’s Friends LLC at a substantial discount. After the sale has been completed, the rest of the board of directors learns that Alberto purchased * percent of Fishermen’s Friends. In what way has Alberto violated the business judgment rule? He did not breach the duty of self-dealing. He has breached the corporate opportunity doctrine. He has breached the duty of corporate respect. He has breached the duty of openness.
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It seems like Alberto may have breached the duty of openness. The duty of openness requires directors to fully disclose any personal interest in transactions involving the corporation to avoid conflicts of interest.
Would you like to know more about the duty of openness or need assistance with another legal issue?
Tamika owns *,* shares of stock in Temperan Inc. Tamika wants to obtain corporate records, including the corporation's minute book and accounting records. Under the Model Act, Tamika is entitled to this information if she requests it in good faith and she
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Tamika's entitlement to corporate records is governed by the Model Business Corporation Act. Here are some key points:
- Shareholders are entitled to inspect corporate records if they request them in good faith.
- Tamika must provide a proper purpose for the request.

Is there a specific aspect of this process you need more information on?
Tamika owns *,* shares of stock in Temperan Inc. Tamika wants to obtain corporate records, including the corporation's minute book and accounting records. Under the Model Act, Tamika is entitled to this information if she requests it in good faith and she has a proper purpose. owns at least * percent of the company or $*,* of stock. is an employee of Temperan. is a controlling shareholder.
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Tamika is entitled to the corporate records if she requests them in good faith and has a proper purpose. Additionally, under the Model Business Corporation Act, she must own at least * percent of the company or $*,* worth of stock.
Does Tamika need help drafting the request for corporate records or any other specific legal issue related to this?
A corporation must obtain shareholder approval before the company sells off a major portion of its business to another company. opens additional offices. hires or fires a significant number of employees. expands into foreign markets.
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In Arizona, a corporation generally must obtain shareholder approval before it:
- Sells off a major portion of its business to another company.
Would you like more detailed information on corporate governance or another specific legal issue?
The shareholders of New Energy Inc., a solar panel producer, received an offer from A New Day LLC, another solar producer, to buy all the shares of the company. Jayden believes that the offer is too low and is looking to gather information. In doing so, he can only gather information from public sources. inspect New Energy’s books and records to determine the value of the stock. inspect the books and records of both New Energy and A New Day to determine the fairness of the transaction. inspect only the records of A New Day and not New Energy.
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Jayden can inspect New Energy’s books and records to determine the value of the stock. He cannot inspect the books and records of A New Day LLC or only gather information from public sources.
Would you like more details on the process of inspecting corporate books and records?
Under Regulation Crowdfunding, a privately held company can sell how much in securities in any *-month period?
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Under Regulation Crowdfunding, a privately held company can sell up to $* million in securities in any *-month period.
Would you like to be connected to local lawyers who can better assist you with your case?
"Material" as defined by the courts in securities lawsuits means:
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"Material" information in securities lawsuits refers to any information that a reasonable investor would consider important in deciding whether to buy or sell securities. This could include financial performance, mergers, acquisitions, or other significant business events.
Is there a specific issue related to securities or material information you need assistance with?
Rita is a waiter at a restaurant in New York City’s financial district. As Rita is cleaning up the tables following the lunch rush, she finds a signed merger agreement between two large companies. Rita shows the restaurant manager, who recognizes that the stock of the company is about to rise significantly. Both the manager and Rita invest, but the manager was wrong, and they both lose money. Which of the following statements is true? By using the nonpublic information, they have committed insider trading, regardless of whether they made a profit. Because they did not make a profit, neither the manager nor Rita has committed insider trading. Neither Rita nor the manager has committed insider trading because neither owes a fiduciary duty to the company. Rita, because she found the nonpublic information, has committed insider trading but the manager has not.
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By using nonpublic information, both Rita and the manager have committed insider trading, regardless of whether they made a profit. Insider trading involves the use of confidential information to make investment decisions, which is illegal.
Do you need more information about insider trading laws or any other specific legal issue related to this?
Under the Robinson-Patman Act, what must a plaintiff demonstrate to prove a case of illegal price discrimination?
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To prove a case of illegal price discrimination under the Robinson-Patman Act, a plaintiff must demonstrate the following:
- The defendant made sales to two or more purchasers
- The sales involved commodities of like grade and quality
- The defendant discriminated in price between the purchasers
- The effect of the discrimination may substantially lessen competition or tend to create a monopoly
Is there a specific aspect of this law you need more details on?
Seafood House was a chain of restaurants in Cape Cod, Massachusetts. It was the primary buyer of seafood in the region, and as a result, had wielded its market power to negotiate a relatively cheap price on most seafood. The Peppery Crab was a national chain of seafood restaurants that wanted to get into the Cape Cod market. It negotiated a price with the seafood producers that was higher on the condition that Seafood House must also pay that price. The fish producers agreed. Is this scheme legal? Yes, because the Peppery Crab is a competitor, it can use its market power to put pressure on a competitor. Yes, Seafood House had previously negotiated a low price, and the new price was closer to the market equilibrium. No, this is an example of predatory pricing and is illegal under the Sherman Act. No, this is an example of horizontal price-fixing and is illegal under the Sherman Act.
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The scheme described is likely to be considered illegal under the Sherman Act as it constitutes horizontal price-fixing. Here are some key points:
- Horizontal Price-Fixing: Agreements between competitors to fix prices are illegal under the Sherman Act.
- Predatory Pricing: This could also be seen as predatory pricing if the intent is to harm a competitor by unfairly raising their costs.
Would you like more detailed information on the Sherman Act or assistance with another legal issue?
Sharp Lead LLC and The No. * Pencil Company produce the majority of pencils that are used in American elementary schools. To keep prices down for incoming students, the two companies agree that they will charge only * cents per pencil. Is this a violation of antitrust laws?
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This situation involves potential antitrust issues under U.S. law. Agreements between competitors to fix prices are generally illegal under antitrust laws, specifically the Sherman Act. Here are some key points to consider:
- Price Fixing: Agreements between competitors to set prices can be considered illegal price-fixing, a violation of the Sherman Act.
- Market Impact: If the agreement restricts competition and harms consumers, it could be deemed unlawful.
Do you need more detailed information on antitrust laws or assistance with another specific legal issue?
Bapple Inc. created an automatic translator app for smart phones that was far better than any of the options provided by its competitors. Slowly, its competitors began to go out of business, and Bapple Inc. took control of over * percent of the market. The Federal Trade Commission brought an antitrust case against Bapple. Bapple’s best defense will be that it
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Bapple Inc.'s best defense in an antitrust case brought by the Federal Trade Commission would likely be that it achieved its market dominance through innovation and superior products, rather than through anti-competitive practices.
Would you like more information on antitrust defenses?
Two large telecommunications companies enter into merger discussions whereby they would combine, giving them substantial control over the industry. Which federal law would be impacted by such a merger?
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The federal law impacted by such a merger would be the Sherman Antitrust Act and the Clayton Act. These laws are designed to prevent monopolies and promote competition.
Would you like to be connected to local lawyers who can better assist you with your case?
Mariana owns a U.S. patent only on a new type of dog collar that provides GPS positioning, allowing owners to find lost dogs. What does Mariana currently have the right to do with the U.S. patent?
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Mariana currently has the following rights with her U.S. patent:
- The exclusive right to make, use, sell, or distribute the patented dog collar.
- The right to license others to make, use, or sell the dog collar.
- The right to take legal action against anyone who infringes on her patent.
Is there anything specific you need help with regarding Mariana's patent rights?
David designed a dating app that he hopes will be his ticket to becoming a tech millionaire. He shares the software code for the app with a potential investor, Paul. Paul likes the concept so much that he decides to develop his own app using Paul's software code without Paul's
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It appears David may have a strong case for copyright infringement or misappropriation of trade secrets. Would you like to be connected to local lawyers who can better assist you with your case?
Can you give me a bit more information about the issue?
To determine if an invention is obvious in the context of receiving a patent, what do the patent office and courts look at?
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To determine if an invention is obvious, the patent office and courts generally consider:
- Prior art (existing knowledge and inventions)
- Differences between the invention and prior art
- The level of ordinary skill in the relevant field
Is there a specific aspect of this process you need more details on?
To determine if an invention is obvious in the context of receiving a patent, what do the patent office and courts look at? The difference between it and existing technologies to see if that difference would be unexpected to someone unskilled in the field at the time of patenting The difference between it and existing technologies to see if that difference would be unexpected to someone skilled in the field at the time of patenting The difference between it and existing technologies to see if that difference would be unexpected to someone skilled in the field at the time of the invention The difference between it and existing technologies to see if that difference would be expected to someone unskilled in the field at the time of the invention
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To determine if an invention is obvious, the patent office and courts look at:
- The difference between it and existing technologies to see if that difference would be unexpected to someone skilled in the field at the time of the invention.
Do you need more information on patent laws or assistance with another legal issue?
Mohan’s bottling company has created a new and modern looking bottle in which to sell its products, Mohan’s Elixirs—a new type of non-alcoholic beverage for adults. Mohan wants to protect the iconic look of the company’s bottle. What type of patent should Mohan seek?
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Mohan should seek a design patent to protect the iconic look of the company’s bottle.
- Design patents cover the ornamental design of an object.
- They protect the visual characteristics and appearance of a product.
Do you need more information on the process of applying for a design patent?
Monstruo is a beverage company based in El Paso, Texas. A bootmaker in Colorado also adopted the Monstruo name, and now the two companies are in a trademark infringement dispute. Which of the following statements is true? Monstruo is too generic a name to be trademarked. Whichever company registered the mark first will win the dispute. Whichever company used the mark first will win the dispute. There is no trademark dispute because there is little likelihood of public confusion given the different products.
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To provide accurate information:
- The statement "Whichever company used the mark first will win the dispute" is generally true in trademark law. The first company to use the mark in commerce usually has priority over it.
Would you like more details on trademark disputes or assistance with another legal issue?
Kingston owns a small family farm in Iowa. The farm is surrounded by a large agribusiness, and one summer Kingston notices some new plants growing on the family farm. Kingston receives a letter from Monplanto Inc. saying that the seeds are patented and that Kingston must remove them immediately. Which of the following statements is true? Plants cannot be patented, so Kingston doesn’t have to remove the plants. Because the seeds blew onto Kingston’s property, and Kingston didn’t intentionally steal the seeds, Kingston can keep the plants. Kingston must remove the patented plants. Kingston may grow the plants but must sell the output to Monplanto Inc.
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Kingston must remove the patented plants. According to patent law, even unintended possession of patented seeds or plants requires removal to avoid infringement.
Would you like to know more about patent infringement and potential legal defenses?