Legal Question in Business Law in California

Re: Minors in Business Contracts

Yes, but the limitations placed on the power of a minor to make contracts could be a major problem to the minor's ability to carry out the business in the real world. Ways to avoid or minimize this problem might be:

1. The minor could avoid businesses that require making contracts, e.g buying for cash, making something yourself, selling for cash, personal services, etc,

2. The minor could become emancipated.

3. If the minor's minority is disclosed and others are nevertheless willing to do business with the minor, the fact that the contracts are void might not ever become an issue, but this carries risks for both parties.

The minor's parent(s) or guardian(s) might be at risk of suit based on the minor's business activities on some theory such as negligent parenting.

There will be additional obstacles as the business becomes more complex; for example, it's uncertain whether the minor could have employees legally, or acquire motor vehicles, insurance, etc.