What term describes the election to avoid a contract?

The term that describes the election to avoid a contract is disaffirmance. This legal concept refers to the ability of a party, particularly one who is a minor or incapacitated, to declare their intention not to be bound by a contract they have entered into. Disaffirmance allows the party to void the contract and escape the obligations associated with it, effectively returning them to their pre-contractual state.

In the context of contract law, disaffirmance serves as a protective measure, acknowledging that certain individuals may lack the capacity to fully understand the consequences of their contractual agreements. This concept is especially pertinent in situations involving minors, as the law provides them the right to disaffirm contracts to protect their interests.

Other terms related to contract law include affirmation, which is the acceptance or confirmation of a contract; ratification, which refers to the formal approval of a contract thereby making it legally binding; and termination, which indicates the end of a contract. However, these terms do not pertain to the act of opting out or voiding a contract as directly as disaffirmance does.