Source: RTP,Sept2025, 3)b)6m,MTP1,Dec20236 Marks
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Question Scenario

Chhotu of 17 years has purchased a mobile of ` 25,000 for his online classes from Mobile Sales Centre on credit. On due date, he did not make the payment of mobile. Mobile Sales Centre sued Chhotu and his parents for the price of mobile. Chhotu has ` 15,000 as his cash balance but his father has enough money to pay the price of mobile. Who will be liable to pay the price of mobile under the provisions of Indian Contract Act, 1872?

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Suggested Answer

Section 11 of the Indian Contract Act, 1872 provides that a minor is not capable to enter into a contract. A contract with minor is void-ab-initio. A minor cannot be enforced to pay off his liabilities. Parents or guardians of minor are also not liable for any contract entered by minor. However, a minor is liable for supplies of necessaries out of his assets. Minor is not personally liable even for necessaries. In the instant case, parents of Chhotu are not liable for price of mobile. Chhotu’s assets are liable to make the payment of price. Hence, Mobile Sales Centre can recover only ` 15,000 from Chhotu i.e. equal to his assets.

Exam Strategy Tip

When answering law questions in the CA Foundation exam, follow the "Provision -> Facts -> Conclusion" structure for maximum marks. Ensure to state the relevant sections where applicable to earn bonus marks from the evaluator.

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