Principle: An agreement made by a person of unsound mind is void. Facts: K, who is occasionally of sound mind, enters into a contract to sell his house during a lucid interval. He clearly understood the transaction. The contract is
AVoid because K is sometimes of unsound mind
BValid because K was of sound mind at the time of contracting (a person 'usually unsound' may contract during lucid intervals — s12 Indian Contract Act)
CVoidable at K's option only
DVoid from the start unless approved by the court
Answer & Solution
Correct answer: B. Valid because K was of sound mind at the time of contracting (a person 'usually unsound' may contract during lucid intervals — s12 Indian Contract Act)
Per s12 of the Indian Contract Act, a person usually of unsound mind may contract when of sound mind, and a person usually of sound mind may not contract when of unsound mind. K's lucid contract is valid.
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