VOIDABLE CONTRACT :-Following contracts are declared voidable by law :
1. Contract by Minor :-
A contract with the minor about, sale and partnership is voidable during minority or before attaining the age of maturity within reasonable time.
2. Contract by Unsound Minded :-
A man who is senseless or drunkenness or mad and he enters into an agreement. Such type of agreement is voidable if he proves himself unsound minded.
3. Contract by Fraud :-
If the consent of any party is taken by fraud to an agreement. It becomes a voidable at the option of the injured party.
4. Contract by Coercion :-
If the consent of the other party is obtained by coercion in the contract it is a voidable contract.
5. Contract by Undue Influence :-
If the consent of the other party is taken by undue influence in the contract it becomes voidable at the option of that party whose consent was taken by undue influence.
6. Contract by Misrepresentation :-
The agreement becomes voidable at the option of the party whose consent was taken by misrepresentation.
DISTINCTION BETWEEN VOID AND VOIDABLE CONTRACT
1. VOID AND VOIDABLE :-
Void Contract : A void contract is not enforceable at law.
Voidable Contract : A voidable contract is enforceable at law.
2. OBJECTION RIGHTS :-
Void Contract : Any party can use the right of objection in a void contract.
Voidable Contract : Under voidable contract there is a party who cannot object the contract.
3. COMPENSATION OF LOSS :-
Void Contract : In case of void contract no compensation is paid due to its non performance.
Voidable Contract : In case of voidable contracts compensation may be claimed by the injured party.
4. COLLATERAL AGREEMENT :-
Void Contract : In case of void agreement these are also void.
Voidable Contract :. Voidable contracts does not effect the collateral agreements.
5. TIME FACTOR :-
Void Contract : A void agreement is void itself in the beginning.
Voidable Contract : A voidable contract is valid upto that time when it is avoided.
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