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Voidability of a Contract - Explained

When a Contract is Void or Voidable

Written by Jason Gordon

Updated at April 5th, 2023

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Void and Voidable Contracts

An otherwise valid contract may be void pursuant to the law. That is, state law identifies certain types of contracts that are deemed void from the outset. These include contracts that violate public policy or have an illegal purpose. A voidable contract is an agreement where either one or both parties has the right to make the contract void. That is, the contract is valid and enforceable until one party elects to void it.

Example: A contract to purchase illegal drugs is void. A party to a contract who is below the legal age of mental capacity may void the contract at any point before she reaches the age of mental capacity. Various situations where contracts are deemed valid, enforceable, void, or voidable are discussed further below.

Next Article: Mental Capacity to Contract Back to: CONTRACT LAW

Discussion Question

What do you think are the justifications for deeming a contract voidable? Can you think of scenarios where you think one party should be allowed to get out of the contract, but not the other party? Can you think of scenarios where both parties should be allowed out of the contract?

Practice Question

Amy is extremely angry at David. She hires Laura to pour sugar into the gas tank of David's car. Laura loses her nerve and backs out of their agreement? Can Amy enforce her agreement with Laura?

Related Topics

  • Contract Law (Intro)
  • What is a Contract?
  • Contract Theory Definition
  • Meeting of the Minds
  • Doctrine of Utmost Good Faith 
  • Aleatory Contract Definition
  • What are the sources of contract law?
  • Restatement of Contracts
  • Uniform Commercial Code
  • Convention on Contracts for the International Sale of Goods (CISG) 
  • What is a Unilateral Contract vs a Bilateral Contract?
  • What is an Express Contract vs an Implied Contract?
  • What are the requirements to form a Contract (Offer, Acceptance, Consideration)?
  • What is an Enforceable Contract vs. a Valid Contract?
  • What is a Void Contract vs a Voidable Contract?
  • Adhesion Contract 
  • What is Mental Capacity to contract?
  • What is the requirement of a Lawful Purpose?
  • What are common types of Voidable Contract?
  • What is an Offer?
  • Sum Certain (Contracts) Definition
  • When does an offer to contact terminate?
  • Counterparty Definition
  • Mirror Image Rule?
  • Rule for Sale of Goods
  • Silence is Not Acceptance?
  • Mailbox Rule
  • Shrink-wrap Agreement Definition
  • Click-Wrap Agreement Definition
  • What is Consideration?
  • What is Promissory Estoppel?
  • When is a contract required to be in writing Statute of Frauds?
  • What type of writing satisfies the statute of frauds?
  • Exceptions to the Statute of Fraud
  • Documents Under Seal
  • Who Can Sign Contracts on Behalf of a Company?
  • E-Sign Act
  • Privity of Contract
  • Who are third-party beneficiaries to a contract?
  • What is assignment and delegation of a contract?
  • When is a party's Duty of performance?
  • Aleatory Contract
  • What is an Executed contract vs an Executory contract?
  • Inchoate Definition
  • Evergreen Contract
  • What is Performance, Substantial Performance, and Breach of a contract?
  • What is performance of a Divisible Contract?
  • When is a party's duty of performance discharged?
  • What are conditions to Contract (Precedent & Subsequent)?
  • Abandonment Option (Contract) Definition
  • Cooling Off Rule Definition
  • What is tender performance of a contract?
  • What are Impossibility and Impracticability
  • What is a Frustration of Purpose?
  • Waiver or Release from Contract
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  • Force Majeure Clause
  • Novation
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  • Hold Harmless Clause
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  • Organization of a Contract
  • How to Read the Contract
  • Boilerplate
  • Contract Representations & Warranties
  • Contract Covenants
  • What rules does a court follow in interpreting a contract?
  • Addendum 
  • Allonge Definition
  • What is the Parol Evidence Rule?
  • What is a complete integration vs a partial integration?
  • Exceptions to the Parol Evidence Rule
  • Patent and Latent Ambiguity in a Contract
  • Service Level Agreement Definition 
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