Defenses to Formation: Question 1
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Martha purchases a new vehicle from EZ Used Cars, Inc. Martha suffers from manic-depression and, at the time of the sale, she is acting on an impulse brought on by her condition. She understands she is entering into a contract and will need to make payments on the vehicle, but she does not put the thought into the decision that most people would and is acting rashly. She does, however, have the ability to choose not to enter into the contract, and the parties do not dispute the existence of a contract. She gets into an accident with the vehicle on the way home from the dealership (in which she is deemed to be at fault) and totals it. She has insufficient insurance coverage to cover the value of the car, and she stops making payments. What remedy does EZ have against Martha?
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