Contracts

In Minnesota, a purchase agreement void from the beginning due to lack of capacity by one party (such as a minor) is considered:

AVoidable by the competent party
BVoid ab initio—having no legal effect from the start✓ Correct
CBinding on the competent party only
DEnforceable at the court's discretion

Explanation

A contract that lacks an essential element from the beginning—such as when a minor (who lacks contractual capacity in Minnesota) enters into a real estate purchase agreement—may be void ab initio (void from the start), having no legal effect. A voidable contract is valid until one party elects to avoid it.

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