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Providing Interest on Capital

Solve.X, exec...

Question

Solve.
X, executed a mortgage In favour of Y. a minor who has advanced the money. Is this mortgage valid?

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Solution

Solution: The mortgage Is valid and hence the money advanced to X can be recovered.
Reason: A minor can be a promisee.
[Leading case: Raghva Chariar v. Srinivasa]

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Similar questions

Q. Solve.
D, a minor, borrowed a sum from M by executing a mortgage of his property in favour of M. Subsequently, D sued for setting aside the mortgage. Is mortgage valid? Can M recover the sum advanced to D?

Q. Principle: Every person, who is of the age of majority, is competent to contract according to the law to which he is subject.
Facts: A minor mortgaged his house in favour of Thakur Das, a money lender, to secure a loan of

R s . 20000

. A part of this, i.e.

R s . 10500

was actually advanced to him. While considering the proposed advance, the attorney who was acting for the money lender, received information that the plaintiff was still a minor. Subsequently the minor commenced an action stating that he was underage when he executed the mortgage and the same should, therefore, be cancelled. He prayed for setting aside the mortgage. The mortgagee money lender prayed for the refund of

R s . 10500

from the minor.

Q. Legal Principle: Every person, who is of the age of majority, is competent to contract according to the law to which he is subject.

Factual Situation: A minor mortgaged his house in favour of Thakur Das, a moneylender, to secure a loan of Rs. 20,000. A part of this, i.e. Rs. 10,500 was actually advanced, the attorney who was acting for the moneylender, received information that the plaintiff was still a minor. Subsequently, the minor commenced an action stating that he was underage when he executed the mortgage and the same should, therefore, be cancelled. He prayed for setting aside the mortgage. The mortgagee/ moneylender prayed for the refund of Rs. 10,500 from the minor.

The bank gives you money in exchange for a mortgage on your house. This type of loan is called _____________.

Q. The bank gives you money in exchange for a mortgage on your house. This type of loan is called a/an .

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