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How can an infant be involved in a valid and binding contract?
Wiki User
∙ 12y ago
The term young person is used here to refer to anyone under the age of 18 years (s.3 Age of Majority Act 1977 (Vic) and s3 age of Majority Act 1973 (Tas) ). Sometimes legal writing refers to minors or infant.
The exact capacity of young people to bind themselves and be bound by contract is limited but also unclear, because no Act of Parliament completely covers this area of law. The Supreme Court Act 1986 (Vic) in sections 49 to 51, "Contracts of Minors", is the most useful reference on this question.
Binding contracts and young people
Contracts for the supply of "necessaries" will generally be binding. There are no hard and fast rules to identify what is "a necessary", but it does include the sorts of things the young person needs to live a reasonable lifestyle. It includes basics such as:
food;
clothing;
a place to live;
medicine,
and so on.
It will also include any contracts relating to the young person's education, apprenticeship or something very similar, if it can be shown to be of benefit to the young person. While a court has not yet considered the issue specifically, mobile phones are probably not necessaries.
The young person contracting in this situation will be held bound to pay a reasonable price (although that may not be the contract price) for necessaries actually sold and delivered. ("Delivery" is a technical term. Generally, delivery takes place when the seller has given the buyer the power to take the goods away.) Where necessaries have been sold but there has been no delivery, the young person does not have to take delivery or pay for the goods.
Non-binding contracts and young people (Supreme Court Act 1986 (Vic) s49 and s50)
Two classes of contracts are not binding on a young person, namely:
contracts which are not for necessaries; and
contracts for the repayment of money lent or to be lent (that is, any form of credit contract).
Where a young person has already paid money under a non-binding contract, that money will not be recoverable unless no benefit has been received by the young person. The young person can, however, refuse to make any further payments under the contract. It is not certain who then owns goods that are not necessaries. It appears that they become the property of the young person unless the young person has fraudulently misrepresented their age.
Even after turning 18, a person cannot confirm a prior contract and then become bound by it. Any money paid by a young person under such circumstances may be recovered.
Wiki User
∙ 12y ago
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Will a contract always be valid and binding when its contains consideration?
Just because a contract contains consideration does not mean it is legal or binding. There are other requirements that must be met.
Explain consideration and acceptance are the binding element of contract?
An offer is valid only if it is made with an intention of getting the assent of another. when there is no acceptance the contract does not come into existence. For a valid contract there must be consideration which need not be adequate.
You agreed to sign an aggreement with your estranged husband but it was written by the two of you and only notarized by a bank employee is it legally binding?
It is a legal contract. A notary is a notary and a witness is a witness. Both evidence that the agreement was considered valid by the parties involved.
Binding contract buyer sign and co-buyer don't sign is the contract void?
If the contract was supposedly made for a co-signer and lead signer then no, it would be non-valid if not signed by both parties.
What is valid contarct?
A valid contract is an agreement enforceable by law. A Valid Contract is defined under Sec 2(h) of the Indian Contract Act, of 1872. To know the essential features of forming a valid contract, please refer to Desire 4 Legal Knowledge
If we signed a construction contract for the purchase of land and the build of a home but one of the land owners refused to sign the contract what are our legal ramifications?
If one of the fee owners didn't sign the contract then you don't have a valid contract. In order for the contract to purchase land and build on it to be valid and binding on the parties it must be signed by all of the purchasers and all of the fee owners.
What is the Difference between valid and void contract?
A valid contract is legally enforceable and meets all the essential elements required by law, such as mutual assent, consideration, capacity, legality, and proper form. On the other hand, a void contract is not legally binding from the beginning due to a fundamental flaw, such as illegality, lack of capacity, impossibility, or violation of public policy. A void contract is treated as if it never existed, while a valid contract creates legal obligations between the parties.
Parties to a contract must be competent to contract?
An acceptance is a response to the offeree that indicated that they approve of the terms of the offer. Once an offer is accepted, a legally binding contract is created. An acceptance must be intentionally made. The offeree must communicate to the offeror that they agree with the terms of the proposed contract. Both parties must be mentally competent for a contract to be legally binding. The contract also cannot contain anything unlawful; otherwise it is also not considered a valid contract. The communication of the acceptance of an offer can be bilateral or unilateral. http://sincerlysamski.blogspot.com/2011/09/writing-valid-contracts.html
Can you handwrite a legally binding agreement with your landlord?
Yes. A contract or agreement need not be written on a typewriter or computer to be valid, as long as it is signed by both parties.
Can a home purchase contract be considered binding in the form of a verbal agreement?
This would violate the statue of frauds. The sale of property must be in writing to be valid.
Is a verbal contract binding if one side fails to divulge everything?
No. If the person you are entering the verbal contract with fails to include information that would change your mind on entering the contract, the contract will not be valid. It is considered a voidable contract which means that you are at liberty to either accept or deny it. Intentional misrepresentation, not including puffery, in order to form a contract is fraud.
A agrees to sell to B a hundred tons of oil and B agrees to purchase the same. is this a valid contract?
No, it's technically only an agreement. He's agreeing to buy X amount of something from you and will write up the final price, etc, later. It's only a legally binding contract if you have a "signed" contract. In some states it MAY be legally binding if you have witnesses on both sides of a non signed contract.
