In a legal context, what does "voidable" mean?

In a legal context, "voidable" refers to a situation where a contract or agreement is considered valid and legally enforceable unless one party chooses to annul it or void it. This means that the contract has legal standing, and both parties are expected to adhere to its terms unless a specific circumstance arises that grants one party the right to rescind it. Common reasons for a contract being voidable include misrepresentation, fraud, undue influence, or lack of capacity among one of the parties.

The distinction is important because it highlights that the existence of the contract is not inherently flawed; instead, one party possesses the power to choose to dissolve the agreement if they wish, often due to issues that affect their consent. The term "valid unless annulled" effectively encapsulates this concept, showcasing that the contract remains in force until a decision is made to invalidate it.

Other options do not accurately represent the nature of voidable contracts. For example, "definite and enforceable" suggests an unconditional validity, which does not apply to voidable agreements as they can be annulled. "Automatically void" would signify a complete lack of legal effect from the outset, which voidable contracts do not possess. "Only valid with conditions" implies a conditional validity absent