1. Rocky, a mentally disabled fifteen year old, has run out of money while on a trip away from home. Jack gives him food, a place to sleep and his bus fare home in exchange for Rocky's promise in writing to pay Jack $200 to cover these costs. is Rocky's promise enforceable?
2. Sonny, an inexperienced businessman, bought equipment and chinchillas from Division West Chinchilla in order to start a chinchilla ranch. Sony got into the business because Division West told him that Chinchilla ranching was an "easy undertaking and no special skills were required." Sonny lost money operating the ranch. He sued claiming fraud. Result? 3. Warren and Al agreed that Warren would sell Al his small business, including the land on which the business was situated for $500,000. Both Warren and Al knew at the time that the contract was formed that the business was actually worth $800,000. Is this a valid, enforceable contract? What is the one requirement that is essential to render this a legal transaction?