2. INTRODUCTION OF THE CASE:
• Appellant(Plaintiff) : Mohori Bibee
• Advocate for Appellant : Watkins
• Respondent (Defendant): Dharmodas Ghose
• Advocate for Respondent : W.W. Box
• Judge : Lord McNaughton; Lord Davey; Lord Lindley; Sir Ford North;
Sir Andrew Scoble; Sir Andrew Wilson, JJ.
• Court : Kolkata
• Reported in : (1903)30IndianAppeals114
• Decided On : Mar-04-1903
• Acts : Indian Evidence Act, 1877 - Section 115; Indian Contract Act -
Sections 41, 19, 64, 65
3. About the Case
• The Dharmodas Ghose lent the MINOR the sum of
20,000 rupees at 12% interest and secured the loan
by way of mortgage executed by the MINOR in
favor of the Dharmodas Ghose.
• Later the mother of the children claim that the
mortgage was void for lack of capacity.
4. Facts of the Case
• Agent of defendant advanced money to plaintiff, an
infant, fully knowing his incompetency to contract,
against mortgage of property belonging to latter.
Plaintiff commenced this action to get the mortgage
declared as void u/s 2, 10 and 11 of ICA and
repossession of property there under conveyed to
defendant.
5. Capacity to Contract
Essentials of a Valid Contract
• Section 10: The parties involved in the contract should be
competent to make the contract.
• Section 11: Every person is competent to contract who is of
age of majority according to the law to which he/she is
subjected to.
6. Disqualifications to compete for
a contract
• A person who has not attained the age of
majority according to the law.
• A person who is of unsound mind.
• A person who has been disqualified from
contracting by some law.
The position of a minor
7. • The council held the contract by the minor as void
• The minor has no capacity to contract hence the
mortgage was not valid
• He cannot be compelled to repay the amount
advanced to him.
• As he is not bound by the promise made by him under
the contract.
8. Law of estoppels
• A legal tool used when someone contradict a
previous agreement.
• Low of estoppels is not applicable to minor
• The purpose of the policy is to protect the
minor.