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contractual capacity


contractual capacity, defined:

the ability of an individual to enter into a legally binding contract. A party's contractual capacity me be affected by age, mental capacity, metal illness, intoxication and other factors defined by law.

contractual capacity, as it might be used:

The court held that, even if plaintiff lacked contractual capacity due to alcohol ingestion at the time she executed the agreement, she ratified the agreement during a time when she had regained contractual capacity.
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