Chapter-3 - DAV College For Girls, Yamunanagar

Report
Acc. To section 10 of Indian Contract Act“ All those agreements can be enforced by
law , which are made by the person having
contractual capacity.”
 Acc. To section11 of I.C. Act- “Every person
is competent to contract which is of age of
majority acc. to the law of which he is the
subject , and who is of sound mind and is
not disqualified by from contracting by any
law to which he is subject.”

Major.
Person
of sound
mind.
Person disqualified by
law.
Acc. To section 3 of Indian Majority Act- “ a
minor is a person who has not completed
eighteen yrs. of age.” but if a guardian of
person or property or both has been
appointed by a court of law , he attains
majority on completion of 21 years . Any
person entering into contract with a minor
will have to suffer as contract is void abinitio.
 CASE-Mohri bibi v/s Dharam das Ghosh- In
this case DG was a minor, mortgaged

An agreement with or by a minor is voidCASE-Mohri bibi v/s Dharmdas Ghosh.
 2nd CASE-Shyam lal v/s Piaray lal- Minor
sold the shop but it could not be regd.
courts said even money cannot be
reclaimed .
 Contract for necessaries of life Minor’s contract for his benefits-Robert
v/s Grey, minor’s contract with billiard
player.

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
Contract by parents or guardian of the minorRaj Rani v/s Premadip Pictures- a minor girl
,artist ,agreement with theatre company, later
on co. employed other girl, courts declared , it
is not for benefit of minor .
Minor’s contract cannot be ratified on his
becoming major- Raghwa v/s Shriniwas- a
minor gave a promissory note, on becoming
major he gave another note which was
declared void by courts as contract cannot be
ratified on becoming major.

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
Doctrine of estoppel does not apply
against minor.
Minor as an agent.
Minor as a partner.
Minor as a shareholder.
Surety liability for minor.
Position of minor in negotiable instrument.
Minor as a joint promisor.
Liability of minor for torts.
Minor cannot be declared insolvent.
 Acc.
To section 12- “ a person
is said to be of sound mind for
the purpose of making a
contract if at the time when
he makes it , he is capable of
understanding it and forming
a rational judgement as to its
effects upon his interests.”
 Idiot-born
fools not having
mental capacity.
 Lunatic-person mentally affected
due to age, illness or accident.
 Drunken or Delirious person A senile person-due to ageeffect.
Alien
enemy.
Foreign sovereigns
and ambassadors.
Convicts.
Insolvency.

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