In fact, California law is clear on these matters:
California Codes Civil Code Sections 38 & 39
- A person entirely without understanding cannot make a contract of any kind.
- A contract of a person of unsound mind, but not entirely without understanding, made before the person's incapacity has been legally determined, is not binding.
- A person is presumed to be of "unsound mind" if he or she is unable to manage their financial resources or resist fraud or undue influence.
- However, "substantial inability" may not be proved solely by isolated incidents.
In a marketing environment like that, with the state poised to come down on the consumer's side, it's better to err on the side of caution.
