BACHELOR OF BUSINESS ADMINISTRATION

Detailed explanation-1: -A minor is allowed to enforce a contract which of some benefit to him and under which he is required A person who is not competent to enter in to a contract by reason of the provision in section 11 of the Contract Act 1872, can still be a beneficiary under a contract of insurance.

Detailed explanation-2: -With respect to the insured, the person should be of legal age i.e. 18 years and of sound mind. If a contract is made with an underage the application may be held unenforceable if the minor decides to repudiate it at a later date.

Detailed explanation-3: -The law recognizes three categories of individuals who lack the capacity to contract: minors, individuals with psychological disabilities, and intoxicated persons. If anyone from these categories enters into a contract, the agreement might be considered “voidable” by them.

Detailed explanation-4: -Life insurance does not relate to a contract of indemnity because the insurer does not promise to indemnify the insured for any loss on maturity or death of the insured but agrees to pay a sum assured in that case.

Detailed explanation-5: -Under certain circumstances, a guardian of a minor can enter into a valid contract on behalf of the minor. Such a contract, which the guardian enters into, for the benefit of the minor, can also be enforced by the minor. However, guardians cannot bind a minor by a contract for buying immovable property.