Under Which of the following Is a Contract Voidable Quizlet

When it comes to contracts, there are a variety of circumstances that can render them voidable. A voidable contract is one that can be legally cancelled or voided by one of the parties involved, typically due to some sort of defect or issue that renders the contract invalid. Understanding when a contract is voidable is crucial for anyone involved in contract negotiations or disputes.

So, under which of the following circumstances is a contract voidable? Let`s explore some of the most common scenarios:

1. Misrepresentation: If one party makes a false or misleading statement that causes the other party to enter into the contract, the contract may be voidable. For example, if a car salesman tells a customer that a car has never been in an accident when it has, and the customer buys the car based on that information, the contract could be voided.

2. Duress: If one party uses coercion or threats to force the other party into entering into a contract, the contract may be voidable. For example, if a person is held at gunpoint and forced to sign a contract, that contract would not be legally binding.

3. Undue influence: If one party takes advantage of a position of power or influence to pressure the other party into entering into a contract, the contract may be voidable. For example, if a lawyer convinces a vulnerable client to sign a contract that is heavily in the lawyer`s favor, that contract could be voided.

4. Mistake: If both parties make a mutual mistake about a material fact that is important to the contract, the contract may be voidable. For example, if two parties agree to a contract to purchase a property, but later discover that the property is in a flood zone and cannot be developed, the contract could be voided.

5. Capacity: If one or both parties lack the legal capacity to enter into a contract, the contract may be voidable. For example, if a person is underage and signs a contract, that contract would not be legally binding.

It`s important to note that not all contracts that fall under these categories will be voidable. The specific circumstances of each case will determine whether a contract is voidable or not. If you believe you have entered into a voidable contract, it`s important to seek legal advice to understand your options.