True or false: If a contract is voidable, a bona fide purchaser for value is entitled to keep the subject matter.

In the context of contract law, a voidable contract is one that is valid and enforceable until one party decides to void it, typically due to issues such as misrepresentation, undue influence, or lack of capacity. Because the contract remains valid until it is officially voided by the party who has the right to do so, a bona fide purchaser for value—someone who buys property in good faith without notice of any claims or defects in the title—is typically entitled to keep the property.

This entitlement arises because the bona fide purchaser for value has entered into the transaction without knowledge of the underlying issues that would allow the original party to void the contract. Since the contract has not yet been voided, the purchaser's rights remain intact.

In this situation, the bona fide purchaser is protected under the principle of "purchaser's equity," which ensures that individuals who buy property in good faith, without knowledge of any defects, should not be penalized if the original transaction is later found to be voidable by one of the parties involved. Thus, the correct answer is true, affirming the rights of the bona fide purchaser for value to retain the subject matter associated with a voidable contract.