A voluntary agreement can be voidable by the injured party due to which of the following?

Study for the Rhode Island Real Estate Sales Test. Access multiple choice questions with detailed explanations. Prepare effectively and ace your exam with confidence!

A voluntary agreement can be voidable by the injured party primarily due to fraud. Fraud in the context of a contract refers to a situation where one party deceives another to gain an unfair advantage. This deception may involve false statements, concealment of critical information, or misrepresentation of facts that differ from the actual conditions of the agreement.

When fraud is involved, the injured party has the right to void the agreement because they were not able to make a fully informed decision based on truthful information. This principle protects individuals from being bound by contracts that were entered into under false pretenses, maintaining the integrity of contractual relationships.

In contrast, other factors listed, such as market conditions, miscommunication, or the presence of legal representation, do not inherently establish grounds for voiding a contract. Market conditions are external factors that affect the value or feasibility of a deal but do not typically influence the validity of the agreement itself. Miscommunication might create misunderstandings but does not rise to the level of fraudulent intent necessary to void a contract. While having legal representation can help clarify and negotiate terms, it does not provide a basis for voiding an agreement.

Subscribe

Get the latest from Examzify

You can unsubscribe at any time. Read our privacy policy