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In the context of cut contracts, a contract can be valid, void, or voidable. A voidable contract allows one or both parties to choose to void it. This typically occurs when one party lacks capacity, is defrauded, or enters into the contract due to misrepresentation. For instance, a person under the age of majority, usually 18 years old, lacks the capacity to contract. If a contract is made with a 17-year-old, they can declare the contract void and seek a refund any time before reaching 18.
