John, who is a known minor, fraudulently overstates his age and takes delivery of a motor car after executing a promissory note in favour of the dealer for its price. He does not knowingly honour his promissory note; tha

CS Executive · Economic and Commercial Laws · PYQS · June 2018
John, who is a known minor, fraudulently overstates his age and takes delivery of a motor car after executing a promissory note in favour of the dealer for its price. He does not knowingly honour his promissory note; that is to say he does not pay the price of the said motor car. What is the remedy available to the motor car dealer in the above situation? Advise.

Answer & Explanation:

A minor's contract is altogether void in law, and a minor cannot bind himself by a contract. If the minor has obtained any benefit, such as money on a mortgage, he cannot be asked to repay. But where the loan was obtained by fraudulent representation by the minor or some property was sold by him and the transactions are set aside as being void, the Court may direct the minor to restore the property to the other party. Hence in given case, John the minor cannot be compelled to pay the amount to the promissory note, but the Court on equitable grounds may order the minor to return the car to the trader, if it is still with the minor.

Topics: Contract Law

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