Randy, as his two older brothers before him, moved out of the house when he was quite young. When he was 17, he and his older brother, Ted, wanted to buy a condominium in Nelson. They both had jobs and the bank was willing to lend them money and take a mortgage on the condo. Which of the following is a correct statement about the law governing this situation?
A) These contracts would be binding on Randy only if he disclosed the fact that he was a minor to the other parties.
B) All contracts with infants are void.
C) The mortgage agreement would be binding on Randy as an adult if he continued to make payments after reaching the age of majority.
D) A mortgage granted by Randy to the bank is effective until a court orders otherwise.
E) All infants' contracts are enforceable as soon as they become adults.

Question

Quizplus · Accepted Answer

Contracts involving minors (persons under the age of majority) can become binding upon reaching the age of majority if the individual continues to act in a manner that affirms the contract, such as making payments on a mortgage. This is because the continuation of payments is seen as an affirmation of the contract by the now-adult party.

Randy, as His Two Older Brothers Before Him, Moved Out