Reference no: EM133313139
Assignment:
Book: Essentials of Business Law and the Legal Environment. 13th Edition
1. Explain the outcome of each of the following transactions.
a. On March 20, Andy Small turned seventeen years old, but he appeared to be at least twenty-one. On April 1, he moved into a rooming house in Chicago and orally agreed to pay the landlady $800 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.
b. 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 top 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.
c. 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.
2. Jones, a minor, owned a 2016 automobile. She traded it to Stone for a 2017 car. Jones went on a three-week trip and found that the 2017 car was not as good as the 2016 car. She asked Stone to return the 2016 car but was told that it had been sold to Tate, who did not know that the car had been obtained by Stone from a minor. Jones thereupon sued Tate for the return of the 2016 car. Is Jones entitled to regain ownership of the 2016 car? Explain.
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