Taking lease of minor's property
Deep Kumar Saha
(Querist) 23 October 2013
This query is : Resolved
I want to take a lease of the property owned by a minor and his father intends to give it on lease. In such a case who will sign the lease deed.
Raj Kumar Makkad
(Expert) 23 October 2013
The permission from the civil court shall have to be got obtained by the father of the minor and thereafter only he shall sign on behalf of his minor son ofter mortgaging that property.
ABDUL RAZIQUE
(Expert) 23 October 2013
A child who is under the age of 18 years is called a minor.
In Ontario, a parent is automatically the "guardian of the person" of his or her minor child. However, a parent is not automatically the "guardian of property" of his or her minor child's property. A parent can only receive such authority on behalf of a child by statute, court order or other document, such as a will.
An application may be made to Court for a guardianship order which authorizes the guardian to manage the child's property. The Court makes the guardianship order under section 47 of the CLRA.
The Superior Court of Justice and the Ontario Court of Justice have jurisdiction to make guardianship orders for minors' property (section 18(1) CLRA).
A guardian of property is responsible for the care and management of the minor's property (section 47(2) CLRA). The guardian is required to
keep careful records (called "accounts") of all dealings with the child's money;
make proper trustee investments and invest the child's money as required by the management plan approved by the court (guardians must comply with the Trustee Act requirements for the investment of trust funds.)
Transfer all the property to the child at age 18 (section 53 CLRA). If the child has a legal obligation to support another person, the court will terminate the guardianship on the child's application (section 56 CLRA).
Rajendra K Goyal
(Expert) 24 October 2013
Father being the natural guardian would sign the papers.
Devajyoti Barman
(Expert) 24 October 2013
Though father can sign the deed on behalf of the child citing legal necessity, to avoid any future complications it is better to get necessary permissions from the civil court.
malipeddi jaggarao
(Expert) 24 October 2013
I agree with the advice of Mr.Rajkumar Makkad. The Court will give permission if the money is used for the benefit of the minor.
V R SHROFF
(Expert) 24 October 2013
court order is must.
Otherwise it is risky and illegal
Deep Kumar Saha
(Querist) 24 October 2013
Dear All,
Thanks for your responses, but my previous understanding was a boy attains majority at the age of 21 year, as informed by Mr. Abdul that a person under the age of 18 years is called minor. In my case the lessor is 19 years, so, can he sign the lease document? No guardian is appointed till date.
