Question

88. Where the agent contracts for a principal who is not competent to contract, in such a case, the agent is
a) Personally liable
b) Not personally liable
c) Exceeding authority
d) None of these

Answer 1

Answer:

Where the Agent Acts for an Incompetent Principal: When the agent contracts for a principal who is not competent to contract such as minors, persons of unsound mind etc., the agent is personally liable on the contracts.

Explanation:

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Answer 2

Answer:

Where the agent contracts for a principal who is not competent to contract, in such a case, the agent is a) Personally liable

Explanation:

Where the Agent Acts for an Incompetent Principal

When an agent contracts on behalf of a principal who is unable to contract, such as a juvenile or a person of unsound mind, the agent is personally accountable for the contracts.

Incompetenet Principal:

• Minors, lunatics, the mentally ill, and the inebriated are all ineligible to engage in a contract.
• There are, however, exceptions, as indicated in Section 68.
• The juvenile or lunatic is not individually accountable in the event of an exception.
• The subject matter of the agreement must have been agreed upon by all parties in the same way.

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