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Free Books / Society / Law / Contracts and Agency | Popular Law / | ![]() |
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Section 8. Persons Of Unsound Mind |
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This section is from the book "Popular Law Library Vol3 Contracts Agency", by Albert H. Putney. Also see: Popular Law-Dictionary.
The making of a contract requires the meeting of the minds of the parties, and as an insane person is incapable of understanding the nature of his acts, in theory, it would be impossible for a person of this character to make any contract at all, and all of his attempted contracts would be absolutely void. In practice, however, while the contracts of a person who has been adjudged insane are thus considered void, the contract of other parties of unsound mind will be merely voidable at his option, or of that of the person qualified to choose for him.26 Certain contracts of insane persons will be held valid. Such are contracts created by law,27 and contracts for necessaries, including necessaries for his wife and children.28 In such cases the same limitations must be observed as in the case of those furnished to infants, and the insane person held liable, not for the contract price, but for the reasonable value of the goods. Mere mental weakness, from whatever cause it may result, which does not prevent the party from understanding the nature of the contract, will not render the contract voidable except under such circumstances as will constitute a case of undue influence.29
24 Kendall vs. Lawrence, 22 Pick., 543; Hussey vs. Jewett, 9 Mass., 100. 25 For further treatment of this subject see subject of Domestic Relations.
26 Webster vs. Woodford, 3 Day, 90; Seaver vs. Phelps, 11 Pick. 304; Ducker vs. Wnitson, 112 N. C, 44.
In most jurisdictions it is held that even in a case of a contract with an insane person, if the other party has acted in good faith, without knowledge of such insanity, and the contract is a fair one, it will not be allowed to be rescinded, if it is so far executed that it is impossible to place the parties in statu quo.30
The capacity both of insane persons and of minors to contract marriage will be treated under the subject of Domestic Relations.
 
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