A minor aged 17 years agrees to purchase a house from B for ₹30 lakh and pays ₹5 lakh as earnest money. Before the sale deed is executed, the minor repudiates the agreement. Under the Indian Contract Act 1872, the agreement is -

Under Section 11 of the Indian Contract Act 1872, only persons who have attained the age of majority, who are of sound mind and who are not disqualified by law are competent to contract. As settled since Mohori Bibee v. Dharmodas Ghose, an agreement with a minor is void ab initio and not merely voidable, because the minor has no capacity to contract at all. No estoppel arises even if the minor misrepresented his age, and a void agreement cannot be enforced by either party, so B cannot sue the minor for breach or damages. The payment of earnest money does not validate the agreement, though courts may in appropriate cases order restitution of a benefit received in equity. The contract is therefore void from its inception, and the minor is not liable upon it.