In all states in Region V, minors generally lack the legal capacity to enter into
a contract. The age of majority is eighteen in all Region V states. Loan agreements
entered into with a minor, whether formal, written agreements or otherwise, are not
enforceable under state law, because they are voidable at the option of the minor.
Certain exceptions apply, however, and some loans entered into with minors are enforceable.
If a minor takes out a loan for the purchase of necessities, the loan will be enforceable
under State law.
Additionally, in some states in Region V, a minor's loan is enforceable if the minor
fraudulently represented that he was of the age of majority when he took out the loan.
Further, a minor may ratify or disaffirm a loan upon attaining the age of majority;
ratification renders the loan enforceable. The states in Region V generally require
a clear, intentional act to constitute ratification. Some states in Region V dictate
that a loan will be deemed ratified where a minor fails to disaffirm the loan within
a reasonable time after attaining the age of majority.