Machine-translated by Google. Questions are authored in English.
Top

Discussion

A minor is not competent to enter into a valid contract. A minor may be partner by limited liability. Minor as a party to the agreement the partnership deed is :

  • A.Valid contract
  • B.Void contract
  • C.Voidable contract
  • D.Beneficial contract

Answer: B

A partnership deed with a minor as a party is a void contract as to him.

Since Mohori Bibee v. Dharmodas Ghose (1903), a minor's agreement is void ab initio. Accordingly, Section 30 of the Indian Partnership Act, 1932 provides that a minor cannot be a partner, though he may be admitted to the benefits of partnership with the consent of all the partners, with his liability limited to his share.

The agreement is not voidable, since a void agreement cannot be ratified or avoided, and 'beneficial contract' is not a legal category. Admission to benefits is a status the Act allows, not a contract by the minor.

No comment is present. Be the first to comment.
Loading…

Post your comment

Please log in or register to post a comment.