Multiple choice

Competency to contract relates to

  1. age of the parties

  2. soundness of mind of the parties

  3. both age and soundness of mind

  4. intelligence of the parties
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

Section 11 of the Indian Contract Act, 1872 states that every person is competent to contract who is of the age of majority (18 years, or 21 if under guardianship) and is of sound mind. Both conditions must be satisfied - a person must be both of proper age AND of sound mental capacity to be legally capable of entering into a binding contract. Intelligence alone is not the standard; the law specifies age and mental fitness.

Keep practicing — related questions