Basic legal things everyone should know

[fnord_too]

Disclaimer: I am not a lawyer (IANAL). Hopefully, some lawyers will chime in with some good items, but you don't have to be a lawyer to know the law, so if you have some good advice or knowledge please share it. Also, everything I am writing is specific to the US.

So, I will start with a couple of contract items everyone should really know. Contract law covers a lot more than you may think. When you go into a convenience store and buy a drink, you are executing a contract.

First thing: in order to have a valid contract there must be bargain and consideration. What that means is that both sides have to get something out of the deal. It also means that gift promises are not enforceable. So if I say I am going to give you half of my cash if I win the wsop me this year, I don't have to. We don't have a contract because there was no bargain and consideration. If I say I will give you half if you buy my dinner tonight, then there was bargain and consideration.

Second thing: minors can void any contract they enter into. This may affect a lot of posters. What does this mean? If you are 16, buy a lizzard at the pet store, and it dies, you can take it back and get your money back. (Note: you may have to go to court because the store clerk/manager has no clue that you can legally just void that contract. And you would have to give them their now dead lizard back.) If you buy a car and wreck it, same thing. (Though no dealership is going to sell you a car without having an adult co sign). This protection extends to a reasonable time after you turn 18, though I think that is only for contracts entered before you were 18. (So you enter a contract, turn 18, and you still have a little time to void it, though it is very fuzzy just how much).

General advise: get it in writing! Even though oral contracts (and there are even things called implied contracts) are binding, it is much harder to arbitrate them if there is no record. If you care about the agreement, you should probably take a couple of minutes to write it down on paper and have both sides sign it. This does not have to be fancy or drawn up by a lawyer, it is just there to document what you were both intending. (Though there will probably still be room for interpretation if the agreement is more complex than something like a simple sale).

If you were drunk or otherwise mentally incapacitated at the time you entered a contract, you can probably void it if you can prove it. I am a bit fuzzy on exactly what the requirements to void a contract by this mechanism are.

Also, a lot of 'contracts' are not binding. Often people and companies have you sign non binding contracts to dissuade you from suing. Though the agreement you signed will not hold up in court, the hope is that you will not even try to litigate because you don't realize you have that option.

Oh, and you cannot really bury things in the fine print. I am a bit fuzzy on what is considered incorrigible, but if a judge finds something in the contract incorrigible I believe that is grounds for the wronged (duped) party to void the contract. Oh, and one side having the right to void the contract does not give the other side the same right. So if I am 17, and you offer me a way too sweet deal on something and I enter a contract with you, just because I can void the contract because I am a minor does not mean you can.

Edit - one thing about the minor voiding a contract. AFAIK a minor cannot enter into a contract with the intent of exploiting this. For instance one could not buy a car with the intent of using it in a demolition derby then voiding the contract. If they do, I believe they forfeit their right to void the contract. But intent is kind of hard to prove...

[traz]

but how do I get her to sign a prenup!

[DrewDevil]

No, you can't just "get out" of your lease because you want to move somewhere else.

There probably isn't a 3-day grace period where you can get out of a contract you just signed.

The Bill of Rights restricts the actions of governments, not private people or companies, so it was not "censorship" when ClearChannel elected not to play any more Dixie Chicks songs.

If you are driving after drinking and get pulled over, if there is any possibility you will fail any of the roadside tests, including the breathalyzer, refuse all the tests and do not speak to anyone but your lawyer.

A person who represents himself has a fool for a client.

[Rococo]

[ QUOTE ]
No, you can't just "get out" of your lease because you want to move somewhere else.

[/ QUOTE ]

No, but your landlord does have a duty to mitigate in most states, which means that he can't let your apartment lie empty, without trying to rent it, and then come after you for the balance of the lease. In practice, people break housing leases all the time. Just ask any NYer.

[DrewDevil]

[ QUOTE ]
[ QUOTE ]
No, you can't just "get out" of your lease because you want to move somewhere else.

[/ QUOTE ]

No, but your landlord does have a duty to mitigate in most states, which means that he can't let your apartment lie empty, without trying to rent it, and then come after you for the balance of the lease. In practice, people break housing leases all the time. Just ask any NYer.

[/ QUOTE ]

Agreed, but I get asked over and over again how to get out of a lease with no consequences (zero extra rent, no breakage fees, possible loss of deposit, etc.), and are then mystified when I tell them it doesn't quite work that way.

[dreq]

My mechanic is my hero. This is how he got her to sign a pre-nup. He put it on the breakfast table the Monday morning before the wedding. The wedding was immediately called off. By Monday afternoon she took it to her attorney. Tuesday afternoon, she brought it back with only minor changes, signed. Wednesday morning he signed it in the presence of his attorney.

[pig4bill]

[ QUOTE ]
My mechanic is my hero. This is how he got her to sign a pre-nup. He put it on the breakfast table the Monday morning before the wedding. The wedding was immediately called off. By Monday afternoon she took it to her attorney. Tuesday afternoon, she brought it back with only minor changes, signed. Wednesday morning he signed it in the presence of his attorney.

[/ QUOTE ]

Outstanding! He waited till she was pot committed.

[eviljeff]

[ QUOTE ]
So if I say I am going to give you half of my cash if I win the wsop me this year, I don't have to.

[/ QUOTE ]

IANAL. this is not necessarily true. it's true that no contract exists because there's no consideration, but you may be required to pay due to promissory estoppel.

promissory estoppel protects someone who reasonably relies on a promise. for example, Company A decides to generously offer a lifelong pension to Bob for his previous years of hard service. Bob quits. 10 years later, board at A changes and decides to stop paying Bob because there's no contract. promissory estoppel applies here.

[ QUOTE ]
If I say I will give you half if you buy my dinner tonight, then there was bargain and consideration.

[/ QUOTE ]

a court would likely not enforce this if the disparity between items exchanged is great. here, this seems to be a "token" consideration (giving tens of thousands of dollars in equity for a dinner).

[SackUp]

[ QUOTE ]
If I say I will give you half if you buy my dinner tonight, then there was bargain and consideration.

[/ QUOTE ]

a court would likely not enforce this if the disparity between items exchanged is this great. here, this seems to be a "token" consideration (giving tens of thousands of dollars in equity for a dinner).

[/ QUOTE ]

an acorn is sufficient for consideration. in this example the dinner could be much larger than half his wsop winnings if the dude goes busto so the dinner could be the much better deal. if this wasn't the case than no sports book would ever have to pay off people who put $1 on a longshot as the disparity would be so great.

[schaef]

[ QUOTE ]
[ QUOTE ]
If I say I will give you half if you buy my dinner tonight, then there was bargain and consideration.

[/ QUOTE ]

a court would likely not enforce this if the disparity between items exchanged is this great. here, this seems to be a "token" consideration (giving tens of thousands of dollars in equity for a dinner).

[/ QUOTE ]

an acorn is sufficient for consideration. in this example the dinner could be much larger than half his wsop winnings if the dude goes busto so the dinner could be the much better deal. if this wasn't the case than no sports book would ever have to pay off people who put $1 on a longshot as the disparity would be so great.

[/ QUOTE ]

An acorn, or whatever, can be consideration, but intent of the parties is relevant. Though a court can't pass judgment on the value someone attaches to something, consideration can be deemed "nominal." In practice, an acorn for $1000 or whatever would never be valid consideration.

The comment on promissory estoppel is good, though there's a little more to it. For example, reliance must be reasonable forseeable.