Eddie, a 16 year old minor, buys a car from Ace Auto and then damages the car in an accident. To disaffirm the contract and satisfy his duty of restitution, Eddie mustA. do nothing. B. only return the car. C. only pay for the damage. D. return the car and pay for the damage.

Answer: D - Pay for the car damage and return the car

Explanation:

To disaffirm a contract means to deny the responsibility of the contract. This is usually used in contract law for minors and is the first right given to minors to utilise their power to deny the responsibility bound by a contract. A minor in a contract law is someone below the age of 18. The contract would remain valid unless a minor disaffirms at a given matured age, makes restitution and must be within a reasonable time then possible consideration could be given. Unless a minor is emancipated (relieved of been considered a minor legally because you display independency of a legal guardian), they have contractual rights.

In Eddy's case, he's still a minor and can only disaffirm at age of maturity which he turns in two years time. Hence Eddy is still legally bound by the contract and would pay for the damage of his car (meaning he can't return the car without paying to avoid the contractual responsibilities)

And even if he chooses to disaffirm at 18, it wouldn't be granted because the damage wasn't within the time he turned 18. He would still pay for the damage

Answer: Return the car and pay for the damage (D)

Explanation:

To disaffirm a contract means to avoid the obligations in a contract. A contract can be disaffirmed by a minor when he shows an intent that he or she isn't bound by it. Contracts can be disaffirmed by minors before they reach eighteen years. When a minor disaffirms a contract, all properties transferred to the minor can be gotten back.

In the scenario explained in the question, even though Eddie had damaged the car, he can disaffirm the contract and satisfy his duty if restitution by returning the car and paying for damage.