Question

If one of the parties in a real estate transaction are not considered competent, the contract between the parties is considered a/an…? Voidable contract Executory contract Enforceable contract Executed contract

Answer 1

If one of the parties in a real estate transaction are not considered competent, the contract between the parties is considered a Voidable contract

Explanation:

The definition of incompetence in terms of real estate transactions is different from the general definition of the word.

It means the inability of a person to make the contract in their whole conscience and sobriety.

This means that any person with mental illness or in a middle of a mental breakdown cannot be considered competent for a transaction, neither a person who is inebriated or drunk if they can prove it

Any contract thus entered by the person is considered to be voidable if the party could prove their incompetence in the court.