California First-Year Law Students' Exam (Baby Bar) — MCContractsMedium
A college student, aged 17, signs a lease agreement for an apartment. The lease is for one year, with rent of $1,000 per month. After three months, the student decides to move out and disaffirms the lease. The landlord sues for the remaining nine months' rent. What is the likely outcome?
- AThe student is only liable for the reasonable value of the apartment for the three months occupied, as it is a necessity.
- BThe student is liable for the remaining rent, but only if the landlord can prove actual damages.
- CThe student is liable for the full remaining nine months' rent, as a lease is a binding contract.
- DThe student is not liable for any further rent, as minors have the right to disaffirm contracts.
Show answer & explanationAnswer & explanation
Correct answer: D. The student is not liable for any further rent, as minors have the right to disaffirm contracts.
Minors generally lack the capacity to enter into contracts and can disaffirm them, even for necessities like housing, typically only being liable for the reasonable value of benefits received up to the point of disaffirmance. However, the question states the student disaffirms, meaning they are not liable for *further* rent.
Why the other options are wrong
- A. This is incorrect as a general statement of liability for future rent; upon disaffirmance, future obligations cease. While a minor might be liable for the reasonable value of necessities already received, the question focuses on the remaining nine months' rent *after* disaffirmance.
- B. This is incorrect. The issue is capacity, not the landlord's ability to prove damages.
- C. This is incorrect. Minors have the right to disaffirm most contracts.
Minor's Capacity to Contract
Minors (individuals under the age of majority, usually 18) generally lack the capacity to enter into binding contracts and may disaffirm most contracts at their election.
- Contracts are voidable by the minor.
- Minor must return any consideration received (if possible).
- Exceptions for 'necessities' (food, shelter, medical care), where minor must pay reasonable value.
Memory trick: Capacity is like a mental 'permit to contract' – if you don't have it, the contract's shaky.