Story Case

Clifford Malone, a boy of the age of fifteen years, wished to buy a bicycle. His father refused to buy it for him. He worked for several months, saved his money, and without consulting his father, purchased a wheel from Dave "White, a bicycle dealer. When his father, the following day, discovered what his son had done, he persuaded him to return the wheel and demand his money. Clifford proceeded to do this but White refused to return the money. It was contended by White that Clifford Malone could not disaffirm his contract until he reached full age. What should the Court decide?

Ruling Court Case. Rice Vs. Boyer, Volume 108 Indiana, Page 472; Volume 58 American Reports, Page 53

The defendant, who was under age, falsely and fraudulently represented to the plaintiff that he was twenty-one years of age. Belying upon these representations of the defendant, the plaintiff was induced to sell to the defendant a buggy and a set of harness. In part payment the plaintiff received from the defendant a promissory note. Sometime thereafter the defendant sold the property and repudiated his obligation on the note. The plaintiff then brought this action to recover damages which he sustained by virtue of the defendant's fraud. It was contended by the defendant that the action was prematurely begun because he was an infant and was unable to disaffirm a contract until he reached his majority.

Decision: An infant, during the period of his nonage, may repudiate his contracts respecting personal property. From the facts of the case, it clearly appeared that the defendant had repudiated the contract of sale here involved. Such being the case, the contract was gone, and the plaintiff was without remedy, unless he could recover damages caused by the fraudulent conduct of the defendant.

Ruling Law. Story Case Answer

The right of the infant to avoid a contract made during nonage is for his protection. The law regards him as unable to exercise sufficient discretion in business matters during this time, but it does not compel him to wait until he reaches twenty-one years of age before he is permitted to exercise his right to withdraw from contracts made by him. At any time during his nonage he may repudiate his contracts. He may make a contract one hour and withdraw from it the next. It must be remembered that this applies only to contracts regarding personal property. He must wait until he reaches twenty-one years before he can repudiate the sale of real property. In the Story Case, Clifford Malone can disaffirm the contract and recover the purchase money from White.