A void contract cannot be enforced by law. … An agreement to carry out an illegal act is an example of a void agreement. For example, a contract between drug dealers and buyers is a void contract simply because the terms of the contract are illegal. In such a case, neither party can go to court to enforce the contract.

The fundamental difference between these two types of contracts is a void contract is not legally valid or enforceable at any point in its existence, while a voidable contract can be legal and enforceable depending on how the contract defect is handled.

Definition of void contract: A contract that meets any of the following criteria: (1) it is illegal from the moment it is made; (2) it is legal but declared null by the courts because it violates a fundamental principle such as …

Section 2 (g) of the Indian Contract Act, states “that a void agreement is one which is not enforceable by law. A void agreement does not create rights, obligations or duties. It does not give rise to any legal consequences. Such agreements are void ab initio”. The courts can only enforce those agreements that according to …

May 12, 2017 – The main difference between the two is that a void contract cannot be performed under the law, while a voidable contract can still be performed, although the unbound party to the contract can choose to void it before the other party performs. Find the Right Business Lawyer. Hire the right lawyer near your …