What leads to a contract being voidable?

Prepare for the Leasing Agent License Exam with flashcards and multiple choice questions. Each question includes hints and explanations to enhance your knowledge and confidence. Ace your exam with proper preparation!

A contract is considered voidable when one party has been injured or misled because this indicates that there has been a lack of genuine consent to the agreement. Factors such as misrepresentation, fraud, duress, or undue influence prevent one party from fully understanding the nature and implications of the contract. Because of these issues, the affected party has the right to affirm or reject the contract based on the deception or harm they have experienced.

The other options do not address the fundamental concept of consent or the validity of the contract itself. For instance, having a witness present or a contract being verbally agreed upon does not inherently affect its enforceability unless other conditions like misrepresentation or misunderstanding exist. Similarly, the complexity of a contract does not determine its voidability; rather, it is the clarity of understanding and agreement between the parties that is paramount. Thus, the presence of injury or misleading actions is central to declaring a contract voidable.

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