When the repayment, by the borrower, of money advanced or to be advanced under a contract of loan or credit has, on application of the borrower, been made by or guaranteed in whole or in part by the federal government or any agency thereof, under authority of federal law enacted for the benefit of war veterans, the borrower shall not thereafter be entitled to avoid the contract on the ground that he was an infant when the contract was made, nor shall he or his spouse be entitled, on the ground of infancy, to avoid any mortgage or other instrument of encumbrance executed contemporaneously with such contract for the purpose of securing the same, nor any contractual transaction in connection with such contract of loan or credit pursuant to which the borrower acquired title to or an interest in the property encumbered to secure the loan or credit. For the purpose of any litigation seeking to enforce the contract of loan or credit, or any encumbrance securing the same; for the purpose of any contract or conveyance executed under a settlement or refinancing plan approved by the federal authority by which the original loan or guaranty was made; and for the purpose of making and executing any contract or conveyance necessary to the full realization of the rights, privileges and benefits intended to be conferred by the federal law, pursuant to which the loan or guaranty was made, including contracts necessary for the proper utilization of the property acquired with the proceeds of such contract of loan or credit; the borrower and his spouse shall be deemed to be of full age.
Effective: June 19, 1952
History: Amended 1952 Ky. Acts ch. 35, sec. 1, effective June 19, 1952. — Created
1945 (1st Extra. Sess.) Ky. Acts ch. 2, sec. 1.