RAC LAW BLOG ™ Void -versus- Voidable Contracts Know the difference between Void and Voidable contracts A contract that is void is illegal and unenforceable; whereas, a contract that is voidable is legal and the parties can enforce it. What makes a contract void? The term void means that something is not valid and therefore not legally binding or enforceable. If something were to go wrong, there would be no remedy as the contact is invalid. A contract that was initially valid when it was formed can later become void. An example in which this might occur is if the contract fulfills the necessary conditions of a valid contract but later the law changes, then that shifts the position and the contract become void. A common example of a void contract is where the contract involved illegal activity. What makes a contract voidable? A voidable contract allows the option for one of the parties to get out of the contract or decide to continue the contract where the party who fai