Asked by Sally Suzie on Apr 29, 2024

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If a minor sells property that the buyer then resells to a good faith purchaser for value and the minor then disaffirms the sales contract, under both the traditional view and the UCC, the minor can recover the property from the good faith purchaser for value since the minor has the power of avoidance and both purchasers had only voidable title.

Voidable Title

A legal concept that refers to a situation where the transfer of title to property can be invalidated by one of the parties involved, often due to misrepresentation or fraud.

Good Faith Purchaser

An individual who buys property without knowledge of any existing claims or defects against it, thereby acquiring legal rights to the property.

Minor

A person under the legal age of majority, often under 18, thus restricted in certain legal capacities.

  • Understand the concept of contractual capacity and how it applies to minors.
  • Understand role of good faith purchasers in the context of contracts voided by minors.
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JR
Jordan RichardsonMay 06, 2024
Final Answer :
False
Explanation :
Under the traditional view, a minor can disaffirm the contract and recover the property even from a good faith purchaser for value because the minor's disaffirmance voids the contract ab initio, leaving the good faith purchaser without valid title. However, under the UCC, when a minor sells goods to a buyer who then resells the goods to a good faith purchaser for value, the good faith purchaser generally obtains good title, protecting their interest over the minor's right to disaffirm. This difference reflects the UCC's aim to promote good faith purchases and commercial certainty.