Question

The question consists of legal propositions/principles (hereinafter referred to as 'principle') and facts. These principles have to be applied to the given facts to arrive at the most reasonable conclusion. Such principles may or may not be true in the real sense, yet you have to conclusively assume them to be true. In other words, in answering the following question, you must not rely on any principles except the principle that is given hereinbelow for the question. Further, you must not assume any facts other than those stated in the question. The objective of this section is to test your interest in the study of law, research aptitude, and problem-solving ability.

Principle: A contract between the father and his son is a contract of utmost good faith. In such a type of contract law presumes that at the time of entering into the contract the father was in a position to dominate the will of his son. Where one of the parties was in the position to father was in the will of the other parties, the contract is enforceable only at the option of the party whose will was so dominated.

Facts: Ram had advanced a sum of ₹10,000 to his minor son Shyam. When Shyam became major, his father Ram misused his parental position and entered into an agreement with Shyam and obtained a bond from him for a sum of ₹30,000 in respect of the advance. Whether this agreement is enforceable?

Options

• The agreement is enforceable against Shyam only for ₹10000, the actual amount on money advanced to him

• The agreement is enforceable against Shyam for ₹30000 because he has signed the bond

• The agreement is enforceable against Shyam because  he was major at the time of the agreement

• The agreement is not enforceable against Shyam  because Ram has misused his position as father to  obtain an unfair advantage

Answer 1

The agreement is not enforceable against Shyam because Ram has misused his position as father to obtain an unfair advantage