Z is a patient in a lunatic asylum for some period of time. He becomes sane & enters into a contract. Is the contract valid?
Verified Answer
A. No
B. Yes
C. Cannot be send
D. None of these
Explanation:
According to Section 12 of the Indian Contract Act, a person who is usually of unsound mind, but occasionally of sound mind, may make a contract when he is of sound mind. Since Z became sane and then entered into the contract, it is valid.