Every person who enters into a contract must be competent. In other words, the person should be of the age of majority, should have a sound mind, and must not be disqualified from any law to which they subject. Minors, lunatics, unsound and intoxicated persons are incompetent to enter into a contract.
Every person is competent to contract (1) who is of the age of majority according to the law to which he is subject; (2) who is of sound mind; and (3) who is not disqualified from contracting by any law to which he is subject. A minor is not competent to contract.
Similarly, what is minor contract? Contract by a Minor. With some exceptions, a contract made by a minor is voidable. The minor, in other words, may avoid the legal liability under a contract. Upon reaching the age of majority, a minor may affirm or ratify the contract and therefore make it contractually binding on him.
Keeping this in consideration, who is competent to contract state the position of agreements by a minor?
Agreement with Minor parties Section 11 states that only persons who have attained majority according to the law are competent to contract. Therefore, there must be a law that defines the age of majority.
Can a minor be an agent or principal?
A minor can act as an agent and bind his principal by his acts without incurring any personal liability.
What do u mean by quasi contract?
An obligation that the law creates in the absence of an agreement between the parties. A quasi contract is a contract that exists by order of a court, not by agreement of the parties. Courts create quasi contracts to avoid the unjust enrichment of a party in a dispute over payment for a good or service.
What do you mean by free consent?
Free Consent means an act of assenting to an offer. According to section 13, “Tow or more persons are said to consent when they agree upon the same thing in the same thing in same sense.” Thus, consent involves identity of minds in respect of the subject matter of the contract.
What do you mean by voidable contract?
Voidable contract. When a contract is entered into without the free consent of the party, it is considered a voidable contract. The definition of the act states that a voidable contract is enforceable by law at the option of one or more parties but not at option of the other parties.
Who Cannot make a contract?
Minors (those under the age of 18, in most states) lack the capacity to make a contract. So a minor who signs a contract can either honor the deal or void the contract. There are a few exceptions, however. For example, in most states, a minor cannot void a contract for necessities like food, clothing, and lodging.
What do you mean by an agreement?
An agreement is a formal decision about future action which is made by two or more countries, groups, or people. Agreement with someone means having the same opinion as they have.
What is void contract example?
A void contract cannot be enforced by law. An agreement to carry out an illegal act is an example of a void agreement. For example, a contract between drug dealers and buyers is a void contract simply because the terms of the contract are illegal. In such a case, neither party can go to court to enforce the contract.
Who are treated as persons disqualified by law?
3] Disqualified Persons The reasons for disqualification can include, political status, legal status, etc. Some such persons are foreign sovereigns and ambassadors, alien enemy, convicts, insolvents, etc.
What do you mean by offer?
Offer Definition: A explicit proposal to contract which, if accepted, completes the contract and binds both the person that made the offer and the person accepting the offer to the terms of the contract. Related Terms: Contract, Acceptance, Counter Offer, Invitation to Treat.
What do you understand by acceptance?
Definition. The term acceptance is a noun with various different meanings. Acceptance – “An express act or implication by conduct that manifests assent to the terms of an offer in a manner invited or required by the offer so that a binding contract is formed.
Who is a person of unsound mind?
Unsound mind is a term that denotes lunacy and insanity. Under law, a person with an unsound mind is considered incompetent to go to trial. The term is used in statutes. Spouse of a person with unsound mind can claim divorce under the ground of insanity.
What is estoppel rule?
Estoppel is a legal principle that precludes a person from alleging facts that are contrary to previous claims or actions. In other words, estoppel prevents someone from arguing something contrary to a claim made or act performed by that person previously.
What is lawful consideration?
Lawful Consideration. As per Section 2(d) “When, at the desire of the promisor, the promisee or any other person has done or abstained from doing, or does or abstains from doing, or promises to do or to abstain from doing, something, such act or abstinence or promise is called a consideration for the promise ” 
What is difference between void and voidable contract?
When dealing with contracts, the terms “void” and “voidable” are often confused. A contract will be considered void, for example, when it requires one party to perform an act that is impossible or illegal. A “voidable” contract, on the other hand, is a valid contract and can be enforced.
What are the capacity to contract?
Capacity to contract means the legal competence of a person to enter into a valid contract. Usually the capacity to contract refers to the capacity to enter into a legal agreement and the competence to perform some act. The basic element to enter into a valid contract is that s/he much have a sound mind.