Question

PRINCIPLE: A person is said to be of sound mind for the purpose of making a contract if, at the time when he makes it, he is capable of understanding it and of forming a rational judgment as to its effect upon his interests.
FACT: Mr. X, usually of sound mind but occasionally of unsound mind, enters into a contract with Mr. Y when he is of unsound mind. Y came to know about this afterwards and now wants to file a suit against Mr. X.

• A. : Mr. X cannot enter into contract because he is of unsound mind when he entered into contract
• B. : Mr. X can enter into contract but the burden is on the other party to prove that he was of unsound mind at the time of the contract
• C. : Mr. X can enter into a contract but the burden is on Mr. X to prove that he was of unsound mind at the time of contract
• D. : None of the above

Hint:

Sound mind is the legal default. Whoever claims unsoundness must provide proof at the relevant time.

Answer 1

The Correct Option is C

The law presumes every person to be of sound mind unless proven otherwise. If someone claims incapacity due to unsoundness of mind, the burden is on that person.
Here:
Mr. X claims he was of unsound mind when the contract was made.
Therefore, the responsibility to prove this fact lies on Mr. X.
Mr. Y is not required to prove X’s incapacity. \fbox{Final Answer: (C): Mr. X must prove his unsound mind at the time of contract}