Suppose that Jack, Hal, and Sophia enter in to a contract for the sale of the business. Jack was drunk at the time that the negotiations took place, and at the time of the signing of the contract. Is the contract valid?

C. The contract is valid unless Jack did not know he was entering into the contract, or lacked the mental capacity to comprehend its nature.

Explanation:

Since the court was not physically present during the signing, the court need to consider the contract at face value. As long as all the signatures there, the contract must be enforced.

The only thing that Jack can do to escape the contract is by proofing to the court that he's drunk to the point of where he became conscious. Probably through recording or by convincing hal or Sophia to vouch for him. This will be the basis for a 'Lacked the mental capacity' defense.

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