What type of contract is formed when consideration is present along with a legal purpose?

A valid contract is one that meets all the essential elements required by law, which include mutual agreement, consideration, capacity, and legal purpose. In this scenario, the presence of consideration (something of value exchanged between the parties) and a legal purpose (the contract does not violate any laws) confirms that the agreement is legally binding and enforceable in a court of law.

A void contract lacks legal enforceability from the outset, typically because it involves illegal activity or lacks essential elements. A voidable contract, on the other hand, is one that can be legally enforced, but one of the parties has the option to void it due to specific circumstances, such as duress or misrepresentation. An unenforceable contract refers to a situation where a valid contract exists but cannot be enforced for reasons such as lack of written form, despite containing legal purpose and consideration.

The key point here is that a contract is considered valid when both consideration is present and the purpose is legal, allowing both parties to fulfill their obligations and seek legal recourse if needed.