Legal Principle: A minor is not permitted by law to enter into a contract. Hence, where a minor enters into a contract with a major person, the contract is not enforceable. This effectively means that neither the minor nor the other party can make any claim on the basis of the contract. Factual Situation: As a minor borrowed 20,000 from B and as a security for the same executed a mortgage in his favor. He became a major a few months later and filed a suit for declaration that the mortgage executed by him during his minority was void and should be cancelled. Issue: Is the agreement void or valid? Decision: