| Direction: Given below are the statements of facts of the case. After statement of facts, legal principles are given apply the principles to the facts of the case and select the most appropriate answer from among the four alternatives. |
| Principle A minor is not competent to contract. |
| Facts A minor mortgaged his house and received advance. The mortgagee files a suit against the minor to recover the money advanced by him. The minor mortgagor takes the plea that the suit is not maintainable as there was no valid contract. |
A) The minor is liable to return the money received by him as advance
B) An agreement with minor is absolutely void
C) It is voidable at the option of the parties
D) None of the above
Correct Answer: B
Solution :
According to the Section 11 of the Indian Contract Act, 1872 and principle given here, A minor is not competent to contract. Section 11 of ICA states, that every person is competent to contract who is of the age of majority according to law. Indian Contract Act also states that contracts with minors are void-ab-initio i.e., from the very beginning.
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