If a Voidable Contract is Ratified, the Parties are Legally Bounded

A voidable contract is a type of contract that can be canceled or avoided by one or both parties due to certain legal deficiencies. This usually happens when one party was coerced, misled, lacked capacity, or was under duress during the formation of the contract. In such a case, the affected party can either cancel the contract or ratify it.

Ratification occurs when the affected party decides to accept the terms of the contract and agrees to be legally bound by it. This happens when the party decides to waive their original right to cancel the contract and instead affirms its validity. Once a voidable contract has been ratified, it becomes binding on both parties and cannot be canceled except for some exceptional circumstances.

When a voidable contract is ratified, it is as if the contract was formed without any legal deficiencies. The parties are bound by the same terms of the contract just as if it was a valid and enforceable contract. This means that the parties have to fulfill their obligations under the contract as if there was no legal deficiency present when the contract was formed.

It is important to note that ratification is not automatic. It requires the express or implied consent of the affected party. This means that the party has to be fully aware of their right to cancel the contract and choose to waive it. The party has to do this either through words or actions, and it has to be done voluntarily and conclusively.

Under some exceptional circumstances, even a ratified contract can be canceled. This can happen if the contract is illegal, the parties were not competent to form the contract, or there was fraud or misrepresentation involved. However, these circumstances are very rare, and in most cases, a ratified contract is final and binding.

In conclusion, if a voidable contract is ratified, the parties are legally bound by it. Ratification occurs when the affected party decides to waive their right to cancel the contract and accept its validity. Once the contract has been ratified, it becomes binding on both parties, and they have to fulfill their obligations under it as if it was a valid and enforceable contract.