Which of the following statements is true regarding a void contract?

A void contract is defined as an agreement that is not legally valid from the moment it is created. This means that it lacks legal enforceability and cannot be upheld in a court of law. Such contracts do not produce any legal obligations or rights for the parties involved because they fail to meet the essential criteria required for a valid contract, such as mutual consent, consideration, and lawful purpose.

For example, if a contract involves illegal activities, it is considered void and has no legal effect. Therefore, the correct answer clearly conveys that a void contract is not enforceable by law, confirming its status as having no legal standing from the beginning.