Valid, Voidable and Void Contracts

What makes a contract voidable?

Voidable contracts have elements within the contract that are enforceable, therefore on their face, they appear to be valid. However, they also contain elements that make is possible for one or both parties to void the contract entirely. The contract is considered to be valid if the injured party opts not to take action and not render the contract void.

Reasons a contract may be voidable:

• Failure of one or both parties to disclose a material fact,

• Fraud,

• Duress,

• One party is legally incapacitated,

• The contract contains unconscionable terms.

To enforce the voidable contract, one of the parties must exercise their right to render the contract void. But both parties have the right to enforce the contract. A void contract is different from a voidable contract because from the moment a void contract is created it cannot be fulfilled while a voidable contract can be performed and enforced as soon as the contractual defects are corrected.

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What makes a contract void?

A void contract is a formal agreement that is illegitimate and cannot be enforced by law because it cannot be performed.

Reasons a  contract may be void:

• One party is contracted to do something impossible,

• One party is contracted to do something illegal or against public policy,

• The contract restricts an individual’s rights.

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What makes a contract valid?

A valid contract creates a legal agreement between two parties. A valid contract contains an offer, acceptance and consideration as well as meeting of the minds and mental capacity, therefore parties are legally responsible for the performance of the contract. If one party breaches the contract, the other party may go to the courts in order to receive remedies. All elements of a valid contract are legal, enforceable and binding.

Elements of a valid contract:

• Offer

• Acceptance

• Consideration

• Meeting of the minds

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Disclaimer

The content on this web site is provided for general information purposes only and does not constitute legal or other professional advice or an opinion of any kind. Users of this web site are advised to seek specific legal advice by contacting members of Carson Law, Carson IP, or their own legal counsel regarding any specific legal issues. Carson Law does not warrant or guarantee the quality, accuracy or completeness of any information on this web site. The articles published on this web site are current as of their original date of publication, but should not be relied upon as accurate, timely or fit for any particular purpose.

Start a Home Based Business on Your Terms with These Guidelines

Written by Ted James @ tedknowsmoney.com

Image Source: Pexels

Starting a home-based business may seem like a distant daydream, but there are several ways to turn your ideas into a reality. The key is to think carefully about the kind of business you want to run — and the kind of entrepreneur you want to be — and what it will take to make that happen.

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Start With a Well-Chosen Structure

Your business structure is more than just a legal requirement for paying taxes. It can provide benefits to your growing venture, especially in the long run. If you think you might add partners or investors, or if you want to protect personal assets, this will determine which business structure is best for your situation. Once you decide, connect with a legal professional from Carson Law to help you formalize your entity.

Tending Basic Legalities

As a business owner, there are plenty of forms, licenses, and permits required for a startup venture, and it’s important to make sure you have these taken care of in the very beginning. In some cases, this paperwork can determine how you pay your business taxes or how you go about hiring employees. And if you’re thinking about hiring employees, you’ll also need to start thinking about staying on top of payroll. Fortunately, you can use a payroll app to tackle things like issuing paychecks, setting reminders, and even paying your payroll taxes.

Be Successful Wherever You Work

Once you have the paperwork out of the way, it’s time to start thinking about getting to work. Starting a home-based business means you need to have a solid workspace that’s free of distractions, but it doesn’t have to be an expensive endeavor. If you have a spare room, basement area, shed, or garage, you can transform the space into a quiet spot to work from each day pretty easily. Make sure you have access to the internet, as well as a variety of devices such as a reliable computer or laptop, a printer, and noise-canceling headphones to help you stay on track if your family will be home with you. Look for storage solutions that will help you stay organized no matter how much you have on your plate, as well as a data plan that will help you keep your phone and internet bills reasonable.

If you simply don’t have an appropriate space at home and adding one isn’t an option, consider a coworking space. You can find a spot with the interaction — or privacy — necessary for your personal productivity, and these spaces are typically equipped with everything you need to get down to business. Plus, they naturally lend themselves to networking opportunities.

Find support

After you’re established, Callrail points out that it’s a good idea to look for support within your community and from other small business owners. These days, there are several ways you can network with like-minded individuals, from social media to conventions and other events. Think about your company’s branding and marketing plan and how you can make the most of it by partnering with other businesses, especially if you don’t plan to have a storefront. This is a great way to get your business’s name out there.

Starting a business involves a lot of planning and some careful steps, so it’s important not to rush through your decision-making process. Finding support and guidance from other small business owners is key, as they can help to mentor you as you get started.

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Disclaimer

The content on this web site is provided for general information purposes only and does not constitute legal or other professional advice or an opinion of any kind. Users of this web site are advised to seek specific legal advice by contacting members of Carson Law, Carson IP, or their own legal counsel regarding any specific legal issues. Carson Law does not warrant or guarantee the quality, accuracy or completeness of any information on this web site. The articles published on this web site are current as of their original date of publication, but should not be relied upon as accurate, timely or fit for any particular purpose.