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In the context of contracts, they can be classified as valid, void, or voidable. A voidable contract allows one or both parties to declare it void, giving one party the power to invalidate the agreement. This typically occurs when a party lacks capacity, is defrauded, or was misled during the contract formation. For instance, if a contract is made with someone under the age of majority (usually 18 years old), that minor can choose to void the contract before reaching 18. This means they can request a refund or cancellation of the agreement at any time prior to their 18th birthday.