When it comes to contracts, there are different types that can be categorized based on their enforceability. Some contracts are considered voidable, which means that they can be canceled by one or both parties involved. But which contracts fall under this category? Here are some common examples:
1. Contracts signed by minors – Individuals below the legal age of 18 years old are considered minors and are often not allowed to enter into legally binding agreements. As such, contracts signed by them are deemed voidable.
2. Contracts signed under duress – When one party is forced or coerced into signing a contract against their will, the contract is considered voidable. For instance, if a person signs a contract under the threat of physical harm, the contract may become voidable.
3. Contracts signed under fraud – Contracts signed under false pretenses or misinformation are considered voidable. For example, if a person is misled about the terms of a contract, they may have grounds to cancel the agreement.
4. Contracts based on mutual mistake – Sometimes, both parties involved in a contract may have made an error or mistake that renders the agreement unenforceable. In such cases, the contract may be voidable.
5. Contracts with mental incapacity – Individuals who lack full capacity to understand or make decisions due to mental illness or disability may be deemed incapable of entering into legal agreements. Consequently, contracts signed by such individuals can be voidable.
It is essential to note that the voidable nature of a contract does not mean that it is automatically unenforceable. The aggrieved party must take the necessary steps to void the contract. Typically, this involves sending a written notice of cancellation or voiding the contract by mutual agreement.
In conclusion, contracts signed by minors, under duress or fraud, based on mutual mistake, or mental incapacity are usually considered voidable. It is important to seek legal advice if you find yourself in a situation where you believe the contract you signed is voidable. Doing so will help you understand the legal implications and options available to you.