Contracts entered into as a result of fraudulent inducement are:
A) void.
B) enforceable in equity but not by law.
C) voidable by the party who made the fraudulent inducement.
D) voidable by the innocent party.
E) voidable by either the party who made the fraudulent inducement or the innocent party.

Question

Quizplus · Accepted Answer

Contracts entered into as a result of fraudulent inducement are voidable by the innocent party. This means that the party who was induced through fraud to enter into the contract has the option to either ratify or rescind the contract. If they choose to rescind the contract, it will be treated as if it never existed, and the parties must return to the position they were in before the contract was made.

Contracts Entered into as a Result of Fraudulent Inducement Are