What Is Voidable Contract in Contract Law

Voidable contracts are a common term in contract law that refers to a contract that is legal and binding but can be invalidated if one party decides to do so. A voidable contract can be terminated unilaterally by the party who benefits from it, but it can also be enforced if the injured party decides to accept it.

There are several reasons why a contract might be considered voidable. The first is due to duress. Duress occurs when one party uses threats or coercive tactics to compel the other party to enter into the contract. If the injured party can prove that they were forced to enter into the contract against their will, the contract can be declared voidable.

The second reason why a contract might be considered voidable is due to undue influence. Undue influence occurs when one party has an unfair advantage over the other party, and they use that advantage to influence the other party to enter into the contract. If the injured party can prove that they did not enter into the contract of their free will and were coerced or manipulated, the contract can be declared voidable.

The third reason why a contract might be considered voidable is due to misrepresentation or fraud. Misrepresentation or fraud occurs when one party makes false statements about the contract`s terms or conditions to influence the other party to enter into the agreement. If the injured party can prove that they were misled or deceived by false statements or promises, the contract can be declared voidable.

The fourth reason why a contract might be considered voidable is due to mistakes. When one party makes a mistake in the contract`s terms or conditions and the other party knows about it, the contract can be declared voidable. Mistakes that are made by both parties can also make the contract voidable.

In conclusion, voidable contracts are a legal and binding agreement that can be declared null and void if one party decides to do so. There are several reasons why a contract might be considered voidable, including duress, undue influence, misrepresentation or fraud, and mistakes. If you suspect that your contract might be voidable, it is best to seek legal advice from a qualified attorney to determine your options.

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