Do now question: what could make a contract illegal? Case study found on page 169
Do now: continued examples of illegal contracts – Invalid sellers license (Tabaco, alcohol) – Illegal gambling (any type of gambling without government regulation) – Agreements to pay usurious interest ( states have maximum interest rates, and have guild lines for amount of time ) – Agreements involving illegal discrimination EX) anyone who refuses to provide business to anyone or a certain race or ethnicity.
Agreements made without a requirement competency license In trades such as plumbing, barbers, and electrical workers, teachers, real estate, lawyers…..etc. – License are needed to preform – Without a proper license any contract with that specific party, that contract is not legal.
Agreements that obstruct legal procedures What can people do to alter the justice system to swing things in their favor? – Pay non-expert witness in a trail to testify, or pay for false testimony – Bribe jurors – Compounding a crime ( pay a party to not present evidence to prosecuting party.) – If caught doing any of these major jail time will be issued
Contracts that affect a marriage negatively If there is a contract that would effect a marriage negatively its illegal. – Ex) mimi is an illehal immagrantand bill is a legal u.s. citizen. It would be illegal contract if mimi pays bill 5000 in exchange for his promise to marry her so she could become a citizen.
Price fixing Price fixing is when a group of competitors come together to deliberately raise the price Crime under federal law Bid rigging is another type of price fixing
Resale price maintenance Manufactures may suggest a retail price but they cannot personally contact a business this would be price fixing
Allocation of markets Dividing a market has the same negative affects on competition as price fixing
questions All contracts that involve a illegal act are unenforceable? True or false? Contracts where one person pays another to commit a felony are unenforceable? True or false? Charging a interest rate that is higher than the law permits is called?