Void (law)
This article has multiple issues. Please help improve it or discuss these issues on the talk page. (Learn how and when to remove these template messages)
|
In
The term is frequently used in contradistinction to the term "voidable" and "unenforceable".
Definitions
Black's Law Dictionary defines 'void' as:[1]
Void. Null; ineffectual; nugatory; having no legal force or binding effect; unable, in law, to support the purpose for which it was intended.
In the case of a contract, this means there is no legal obligation, therefore there can be no
Black's Dictionary further goes on to define 'void ab initio' as:[citation needed]
Void ab initio. A contract is null from the beginning if it seriously offends law or public policy in contrast to a contract which is merely voidable at the election of one of the parties to the contract.
In practical terms, 'void' is usually used in contradistinction to 'voidable' and 'unenforceable', the principal difference being that an action which is voidable remains valid until it is avoided.
Significance
The significance of this usually lies in the possibility of third party rights being acquired in good faith. For example, in
In every case, third parties involved with bad faith in void or voidable contracts not only are affected by nullity, but may also be liable for statutory damages.
However, the right to avoid a voidable transaction can be lost (usually lost by delay). These are sometimes referred to as "bars to rescission". Such considerations do not apply to matters affected by absolute nullity, or void ab initio.
See also
References
- ^ "Void". Black's Law Dictionary, 2nd edition.
- ^ U.S. Comptroller General, B-211213: The Department of Labor -- Request for Advance Decision, published 21 April 1983, accessed 1 September 2022