The following people are thought to be ineligible to sign a legal contract:
i) Alien Enemies, A person who is a citizen of another nation but is not a member of the Indian Republic is considered to be an alien. Contracts with an alien friend are legitimate, subject to some limitations. However, a contract with a foreign adversary, or a foreigner whose state is at war with India, is not valid as long as the war is still going on. If a contract was established before to the start of the war, it will be voided or put on hold throughout the conflict. If such contracts do not violate public policy, they might be honoured.
ii) Staff of Foreign Sovereign and Diplomatic, Foreign sovereigns and diplomatic personnel are entitled to certain advantages, and they are not eligible to file a lawsuit against them in court without the Central Government's prior approval.
iii) Criminals or ex-offenders, Unless granted a specific licence known as a "Ticket of Leave," a felon is unable to enter into a contract while they are incarcerated. When the duration of his sentence is over, such a person is once more capable of making valid contracts.
iv) Insolvents, Only the official receiver or assignee is permitted to deal with an insolvent's property after that person has been declared insolvent because that person's property now belongs to them. A bankrupt loses the ability to make contracts for his property.
v) Corporations or joint stock companies, number, A corporation is a legal fiction with a permanent existence apart from its owners and constituted by law. It may be created by a specific legislative act or by being registered under the Indian Companies Act of 1956. The Memorandum of Association and Articles of a corporation created and registered in accordance with the rules of the Companies Act restrict its contractual competence. Any agreement that goes beyond its stated boundaries is ultra-vires and unenforceable.
vi) Married women, As long as they are adults and of sound mind, married women are capable of making contracts pertaining to their separate possessions (Stri-dhan). They are not permitted to sign contracts involving their husbands' property. However, if her husband neglects to provide for her, a married woman may act as his agent and bind his property for the necessities that she receives.