Under what condition may the innocent party lose the option to rescind a contract?

The innocent party may lose the option to rescind a contract if they affirm the contract. This means that if the innocent party acts in a manner that indicates they accept the contract and intend to proceed with it, they effectively relinquish their right to rescind. Affirmation can occur through explicit actions or words that confirm their acceptance of the contract's terms. For example, if the innocent party continues to perform their obligations under the contract or explicitly states that they wish to uphold the agreement, they are demonstrating affirmation.

In contrast, simply communicating their refusal to communicate or failing to obtain legal advice does not directly relate to their rights under a contract. Changing one's mind might express personal feelings toward the agreement but lacks the formal action that constitutes affirmation and therefore does not have the same legal implications. Understanding the concept of affirmation is crucial in contract law as it underscores the importance of the parties’ intentions and actions when determining their rights and options concerning the contract.