An attempted contract that is made for an illegal purpose or that is against public policy cannot be enforced by either party and is void. In contrast, a contract that is made by a minor (usually under age 18), or that is based on a mutual mistake, or that was made on the basis of a fraudulent misrepresentation by one party, is voidable and may be rejected by a party who was at a disadvantage when the contract was made. A voidable contract may also be ratified and accepted by such a party—after a child reaches the age of majority (usually 18), or the parties become aware of their mutual mistake, or a party learns of the other party’s misrepresentation and proceeds with performance of the contract.

In Delaware, contracts made for illegal purposes or against public policy are considered void and unenforceable. This means that if the subject matter of the contract is illegal, such as an agreement to commit a crime or fraud, the contract cannot be upheld in court by either party. On the other hand, contracts that involve a minor, are based on a mutual mistake, or are entered into because of fraudulent misrepresentation by one of the parties are categorized as voidable. This implies that the disadvantaged party has the option to either reject or ratify the contract. For instance, a minor in Delaware can disaffirm a contract before reaching the age of majority (18 years old) or within a reasonable time after turning 18. Similarly, parties to a contract can rescind it if they discover a mutual mistake or if one party learns of a fraudulent misrepresentation. However, if the disadvantaged party chooses to continue with the contract despite the mistake or misrepresentation, this action may constitute ratification, making the contract binding.