BUSINESS ADMINISTRATION
BUSINESS LAW
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Yes
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No
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Detailed explanation-1: -Intoxication always makes a contract voidable. A contract is voidable and therefore can be rescinded if it is based on which of the following? Undue influence occurs when there is a relationship of trust between two parties and the stronger party uses improper persuasion over the weaker party.
Detailed explanation-2: -In many cases, courts will render a contract with a person who is mentally ill or intoxicated as voidable, meaning the contract may be voided by the incapacitated party.
Detailed explanation-3: -The unbound party may repudiate (reject) the contract, at which time the contract becomes void. Typical grounds for a contract being voidable include coercion, undue influence, mental incompetence, intoxication, misrepresentation or fraud.