Question

We learned in Chapter 14 about the one-sided power of a minor to either disaffirm a contract or ratify it upon reaching the age of majority. We also learned that in many states (including Illinois), liability waivers signed by a parent/guardian on behalf of a minor are unenforceable (i.e., the minor's claim against a third party cannot be waived by a parent or guardian). Some jurisdictions have recognized limited exceptions to this rule. I've included some additional resources relevant to Illinois law below if you are interested.

Think about that from the perspective of a business that provides some sort of service to children, for example a trampoline park (remember when those were a thing before the pandemic?), an arcade, a children's museum, a waterpark -- the list could go on. Those businesses have an adult (the child's parent or guardian) feely and voluntarily sign a document after carefully reviewing it, or at least having the opportunity to do so. But the common law does not allow parents/guardians to waive a cause of action that is personal to the minor, and the minor him/herself is not able to enter into an enforceable contract. This seems especially unfair when you consider that the parent/guardian is, practically speaking, the party that will initiate a lawsuit against the business if the child is injured, even though the money from a successful suit will go to the child (usually in trust until the child is an adult). This is clearly not an ideal position for the business to be in, especially in terms of minimizing risk and increasing certainty.
Can you think of a different approach to this problem?

Answer 1

Businesses providing services to minors can mitigate legal risk by implementing strict safety measures, investing in insurance, providing thorough staff training, and clearly communicating risks to parents and children.

Step-by-step explanation:

From the perspective of a business that provides a service to children, such as a trampoline park or waterpark, dealing with the one-sided power of a minor to disaffirm a contract creates a significant legal challenge, particularly given that liability waivers signed by parents or guardians in many states are unenforceable. To tackle this problem, businesses could adopt a different approach, such as implementing rigorous safety standards and practices to minimize the occurrence of injuries, thereby reducing the likelihood of litigation. Additionally, they may consider investing in comprehensive insurance policies to cover potential liabilities and maintain financial protection. Enhancing staff training to handle emergencies and communicating the risks involved to both parents and children might also aid in increasing certainty around the business's safety record, indirectly discouraging litigation by demonstrating due diligence and care.