Contracts

A real estate contract that is 'voidable' means:

AThe contract is invalid and has no legal effect from its inception
BThe contract is valid but may be cancelled by one party due to a legal defect✓ Correct
CThe contract must be approved by a court to be valid
DBoth parties must agree to cancel the contract

Explanation

A voidable contract is valid and enforceable but may be cancelled (voided) by one of the parties — typically the party who was subject to fraud, duress, undue influence, or lack of capacity.

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