Contracts

In Indiana, a real estate contract signed by a person who was declared mentally incompetent by a court is:

AVoidable at the option of the incompetent person's guardian
BVoid and without legal effect✓ Correct
CValid if witnessed by two adults
DEnforceable once the person regains competency

Explanation

A contract signed by a person who has been adjudicated mentally incompetent by a court is void — it has no legal effect from the beginning. A contract with a person who is mentally impaired but not adjudicated incompetent may be voidable.

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