Minors+Contract+Acts++1969

** 1. **** Minors Contract Acts 1969  ** A Minor is defined as a person who has not yet attained the age of 20 years. Minors’ Contracts Act divides into three categories: (1) Married minors; (2) Minors under 18; (3) Minors 18 and over. ** 2.  ****  Why the Minor under 18 can always enforce the contract against the other party, but other party can’t? **  The contract with a minor under 18 initially, cannot be enforced by law because at this age, we believe that she or he is not in a stage of mature enough, to understand how to honour obligations. In order to make a valid contract, both parties must have legal capacity. This means that the both parties have the ability to carry out actions which will have a legal effect. It may be that legal rights are created or enforced, or that liability arises for wrong doing. In the law of contract it means // the ability to make a valid contract //. The great majority of legal persons have a full contractual capacity. Some classes of people are regarded as having little or less capacity. Any contract they make could be void, voidable by them or unenforceable against them. Originally, the law of contract was making related to common law which has been used over centuries through judges deciding on specific cases, but because of out of step with the other provisions, the common law was replaced by introduced The Minors’ Contract Acts 1969 which fit and clearly reflect the position of minors in modern society. The Minors’ Contracts Act introduced a new body of law which applies in the area of contractual capacity. The first step that a party contract must do before enter to a contract with minor is to identify and confirm which of the three categories under the Minor’s Contract Acts belongs to. This is very important to classifying the minors when the contract is made, and not the time of the dispute or the time that the matter went to court. If the minor is under 18 years of age, then the party to a contract must follow the Law of Minors Who Are under 18 s6 in order to protect them if minor failed to fulfil his or her obligation. Example to obtain court approval or a guarantee in order to make the contract fully binding on the minor in terms of the issue of the minor’s capacity. ** What is the impact of the law on the way the business is conducted in New Zealand? **  The impact of this law is huge. Before Minors Contracts Act is Introduced, Courts developed this area of law independently of the statue. In the last 50 years, the legal capacity of minors has rapidly increased and Minors’ Contracts Act was introduced because of the changes on the way business is conducted in New Zealand. This new law adequately identify the position of Minors in modern Society and also protect the party contract if the minors failed to fulfil his or her obligation. But if the other party failed to follow the law instruction, there is no other option but the contract could be void. This means the minor walk out freely but the other party suffered.
 * Where does the law in the area come from? **
 * What is required under the law? E.g. what does business have to do to be eligible to receive a benefit? **

** Where can people in business find out more information about the area of law and what they are required to do? **  People can find out more information about Minors’ Contract Acts 1969 from New Zealand Legislation website, Commercial Law text books, Lawyers, New Zealand Law Firms website and from School and Public Libraries. http://www.legislation.co.nz/ [] [] Gerbic, P., Lawrence, M., (2003) Understanding Commercial Law. Wellington: Lexisnexis NZ LTD.