What is a void contract?

A void contract is defined as a contract that is not enforceable by law. This type of contract lacks legal effect from the outset, meaning that it cannot bind any of the parties involved. Several reasons can lead to a contract being considered void, such as illegality, lack of capacity (e.g., involving minors or mentally incapacitated individuals), or failure to meet essential elements of a valid contract (like consideration or mutual assent).

In contrast, the other options refer to different types of contracts or contract characteristics that do not align with the definition of a void contract. For instance, a contract that is enforceable by law indicates that it has met all the legal requirements and can be upheld in a court, while an implied contract is one formed based on the behavior of the parties rather than a written document. A contract with negotiated exceptions suggests that there are specific agreed-upon conditions that alter standard contractual obligations but still retains enforceability, which is contrary to the nature of a void contract.