When it comes to contracts, minors (individuals under the age of 18) have special considerations. While minors can enter into contracts, they are generally considered to lack the legal capacity to do so. This means that certain contracts entered into by minors are voidable, meaning they can be canceled or avoided. Here`s what you need to know about how a minor can void a contract.
First, it`s important to understand the concept of legal capacity. Legal capacity refers to a person`s ability to enter into binding contracts and make legal decisions. Minors are generally considered to lack legal capacity, meaning they cannot enter into binding contracts, except under certain circumstances.
In some cases, minors may have the right to void a contract they have entered into. This means that they can cancel or avoid the contract, essentially rendering it null and void. However, there are some specific rules and requirements that must be met in order for a minor to successfully void a contract.
One important requirement is that the minor must disaffirm the contract within a reasonable amount of time after reaching the age of majority (18 years old in most states). This means that they must act promptly once they become an adult, or they may lose their right to void the contract.
Additionally, the minor must also return any property or consideration (i.e., something of value, such as money) that they received under the contract. For example, if a minor purchased a car, they would need to return the car in order to void the contract.
It`s also worth noting that there are certain contracts that minors cannot void, even if they are otherwise voidable. For example, contracts for necessities such as food, clothing, and shelter are generally considered binding on minors. Additionally, contracts for employment, educational loans, and some insurance policies may also be binding on minors.
In summary, minors generally lack legal capacity to enter into binding contracts. However, in certain circumstances, they may be able to void a contract by disaffirming it within a reasonable amount of time after reaching the age of majority and returning any consideration received. It`s important to understand the specific rules and requirements that apply to minors and contracts in your state or jurisdiction.