American Business Law Research Paper

It is important to note that more and more people are depending and turning to online auction with nice intentions and hopes of obtaining goods. However, as they become popular so are they becoming sites targeted by unscrupulous, malicious people. According to the Internet Fraud Watch this sites have been known to stage the most fraud complaints. One of the fraud cases is considered when one considers Kid-Bids or transactions with minors. Hence as they are considered in the natural world, online Kid-bids can be revinded.

There is a possibility of a minor below the age of eighteen to disaffirm any form of contract that is entered between the child and the second person at the age of majority. This means that a child has the capability of making or bidding a contract as void by the fact that the child is under the age of eighteen. Any contract the law has not forbidden qualifies a child to participate in it. Therefore a person with a majority age cannot rescind any contract that is made between them and a minor.

Otherwise illegal contracts are considered as null and void (American Association of Law Libraries 1922). Drawbacks in online auctions The online auctions do not in any way provide the kind of clients with whom interaction would be face to face and in essence evaluate the items before entering in any kind of purchasing. This is a clear door to provision of fake items for auctioning. Secondly not all businesses are allowed in a particular auction site for bidding or to take part in auctioning.

Therefore other costs are incurred while establishing companies auction websites and in addition hiring more staff trained in this field in order to take part in the auction. How performance discharges contractual duties In order for the above to happen there are a number of conditions that need to be met first. They include the conditions for precedent, subsequent and those of concurrent I. e the express, implied in fact and those implied in law. The contracts are considered to come to an end whenever both parties have completed and fulfilled their respective duties as agreed in the contract.

The types of performance discharged in this form are the complete performance, performance geared towards the satisfaction of one of the parties or another third party and finally the substantial performance which include the minor breach. Substantial breach and remedies for minor breach Substantial performance or breach occurs when a party given a contractual duty fails to completely perform and hence when another party takes the contract, then the first party is considered to have substantially performed. The contract still remains in form event to the second party which has also the duty to perform its duties.

The company may also be required under the terms to recover those damages so accrued by the previous party incapacity to perform fully. A breach is considered as minor even though there was failure so displayed by the failing party to perform. The second party still has the ability to receive the service or item so specified in the contract. Some of the remedies that exist for minor breach would be damages, specific performance, reformation, rescission and restitution and finally the recovery that is based on quasi contract (American Association of Law Libraries 1922).