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June, an alcoholic, has an account with the liquor store ( she pays the account

ID: 424167 • Letter: J

Question

June, an alcoholic, has an account with the liquor store ( she pays the account each fortnight on payday). June recently purchased 2 bottles of very good quality whisky while intoxicated. The retailer, who realised that she was drunk and unable to understand what she was agreeing to, charged her double the usual price and she signed the account. Upon sobering up, June realized what happened and seeks your advice as whether she must pay the full amount when she goes in to pay her account.on pay day. Must she pay a reasonable price?

Explanation / Answer

June couldn't have entered into any contract (agreeing is a type of contract) because of Incapacity, which means a person who is not mentally sound, which can include also being intoxicated. And thus a person who is intoxicated cannot legally enter into a contract and intoxication thereby makes the contract voidable. Therefore June has to pay only the reasonable price not the price she agreed to pay while intoxicated.