Capacity of Parties


After carefully reading this chapter, you will be able:

  • To know the meaning of capacity to contract.
  • To get an idea of an agreement by a minor.
  • To explain the qualities of other incapable persons.
  • To enumerate the consequences of agreements made by persons of unsound mind and a minor.
  • To get an idea about soundness of mind.
  • To identify some special cases of incapacity.

One of the essential elements of a contract is that, the concerned parties must be competent to enter into an agreement. Sec. (10) of the Indian Contract Act specifically requires that, the parties must be competent to contract. According to Sec. (11), every person is competent to contract, who is of the age of majority ...

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