Also known as: lacking legal capacity · lacks legal capacity · legal incapacity · incapacity
Written by attorneys · grounded in primary & secondary sources — see below
A condition that prevents a person from understanding the nature and consequences of a legal act or transaction. The condition renders consent or participation invalid when the person cannot comprehend the essential character of the conduct or obligation. Courts assess the condition at the precise time of the act using cognitive and volitional standards drawn from the governing doctrine.
Lorenzo Lugo mailed an offer to sell his warehouse to Lattice Systems. Before Lattice Systems responded, Lorenzo suffered a stroke that left him unable to understand business matters. The power of acceptance ended when the stroke occurred.
Lily Lopez appointed Linden Bank as her agent to manage rental properties. Months later Lily developed advanced dementia and could no longer direct the bank. The bank's authority terminated exactly as it would have upon her death.
Luis Lopez executed a power of attorney naming Lotus Pharmaceuticals to handle his medical decisions. When Luis later lost capacity after a head injury, the company continued to act under the document. The power remained effective because it had been drafted as durable.
Select any source to read its text and confirm it supports the definition.
Lila Lin arrived at the clinic heavily medicated after surgery. A nurse asked her to sign a consent form for an experimental procedure. Because Lila could not understand the essential character of the invasion, the consent was invalid.
Logan Lane and his partner had a child before marriage. Logan intended to function as a parent but suffered a disabling stroke before the child reached majority. The stroke counted as an intervening event that prevented him from serving in that capacity for class-gift purposes.
Lucia Lopez granted Lakeshore Industries an option to purchase her factory. Before the option expired, Lucia lost capacity after an accident. The offeree's power of acceptance continued because the grant was an option contract.
Yes. When the offeror or offeree loses capacity, the power of acceptance ends under the rule that treats incapacity the same as death for ordinary offers.
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Loss of capacity by the principal suspends or terminates the agent's authority during the period of incapacity in the same manner as the principal's death.
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A power of attorney is durable when the document expressly provides that the agent's authority continues even if the principal later loses capacity.
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Consent is invalid if the person cannot understand the essential character of the conduct at the time of the invasion, applying the same incapacity rules used for other personal interests.
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Yes. The power of acceptance under an option contract continues despite the offeror's death or incapacity unless the contract itself has been discharged.
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