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In this Question, the Problem Consists of a Set of Rules and Facts. Apply the Specified Rules to the Set of Facts and Answer the Question. - Legal Reasoning

Question

MCQ

In this Question, the problem consists of a set of rules and facts. Apply the specified rules to the set of facts and answer the question.

Rules: 
A. A minor is a person who is below the age of eighteen. However, where a guardian administers the minor's property the age of majority is twenty-one.
B. A minor is not permitted by law to enter into a contract. Hence, where a minor enters into a contract with a major person, the contract is not enforceable. This effectively means that neither the minor nor the other party can make any claim on the basis of the contract.
C. In a contract with a minor, if the other party hands over any money or confers any other benefit on the minor, the same shall not be recoverable from the minor unless the other party was deceived by the minor to hand over money or any other benefit. The other party will have to show that (he minor misrepresented her age, he was ignorant about the age of the minor and that he handed over the benefit on the basis of such representation.

Facts Ajay convinces Bandita, a girl aged 18 that she should sell her land to him. Bandita's mother Chaaru is her guardian. Nonetheless Bandita, without the permission of Chaaru, sells the land to Ajay for a total sum of rupees fifty lakh, paid in full and final settlement of the price. Chaaru challenges this transaction claiming that Bandita is a minor and hence the possession of the land shall not be given to Ajay. Thus Ajay is in a difficult situation and has no idea how to recover his money from Bandita.

Ajay can be allowed to recover the money only if he can show that:

Options

  • He was deceived by Bandita who misrepresented her age.

  • He honestly believed that Bandita was empowered under the law to sell the land.

  • He was an honest person who had paid the full price of the land to Bandita.

  • Both

    He was deceived by Bandita who misrepresented her age. And He honestly believed that Bandita was empowered under the law to sell the land. 

Solution

He was deceived by Bandita who misrepresented her age.

Explanation:
See Sec. 18 of the Indian Contract Act, 1872.

Concept: Indian Contract Act (Entrance Exams)
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