What is minor's agreement ?

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thetall | (Level 3) Educator

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A minor’s agreement is a contract entered with an individual of minority age. This means that the contract is void ab initio (from the beginning). Most if not all contract Acts around the world require that entities to an agreement be competent and of majority/legal age. This means that during contractual agreements it is necessary to confirm the age of the parties.

In case one is a minor the contract becomes void from the beginning and in actual sense the contract cannot be enforced against the minor even when the minor becomes of age. However legal Acts around the world allow execution of the contract if it was beneficial to the minor. For example a promissory note in favor of the minor can be executed by the minor.

In a situation where the competent party is induced by the minor to enter a contract where the minor misrepresents their age, the competent party will be unable to recover the contract since the minor will simply plead infancy.

A minor cannot bind his or her parents to a contract with a third party unless the minor is acting as an agent in which case the parents become liable for the contract.

Basically minor’s agreement will be enforceable if it is beneficial to the minor or the contract has been entered on behalf of the minor by the parent or guardian.

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