Monday, 19 August 2019

Effect of contract with minor

Effect of contract with minor As per Section 3 of the Indian Adults Act, a minor is a person who is under 18 years of age. Nature of Minor Contracts According to the Section 11 Indian Contract Act, every person is competent to enter into a contract which is in accordance with the law to which it is subject, and which is a healthy mind, and is not disqualified from contracting by any law to which it is subject. Ho. There has always been a difference of opinion on whether the contract of a minor was null or voidable from the beginning. But in the plea of ​​Mohri Bibi v. Dharmadas Ghosh (1903), the Privy Council abolished the differences and ascertained that the contract of a minor was void from the very beginning. Dharmadas who was a minor. He had taken a mortgage deed of Rs 10,500 from a Mahajan Brahmadatta in Calcutta. At the time of writing the mortgage, the agent of Brahmadatta had come to know about Dharmadasa's minorities. But despite this, the deed was written. On behalf of the minor, his mother pleaded that the mortgage deed be canceled, as it was executed by the minor. During the suit, Brahmadatta died and his place was received by his wife Mohari Bibi and the case continued. It was determined that the contract entered into by the minor is void from the beginning. Principle of substitution The Lahore High Court had decided in the case of Khangul v. Lakha Singh that the principle of substitution would apply to the contract of minor. But the Allahabad High Court refused to implement the decision of the Lahore High Court in the case of Ayodhya Prasad v. Chandan Lal Ai Ara 1937 Ila. Ratification Contracts made by minors cannot be endorsed. But even in adulthood, the agreement of minors can be enforced by obtaining some money and if the agreement of the minor is ratified. But according to Section 68 Indian Contract Act, if any person who is unable to contract or someone whom he is legally bound to maintain, is provided with the necessary items worthy of his position in life by another person. If she goes, then she is entitled to be repaid from the property of such incapable person.

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