- Rescission
- The legal act of cancelling or voiding a contract or agreement, returning both parties to the positions they held before the agreement was made.
- Release
- A written document in which one party surrenders a legal claim or right against another party, typically in exchange for consideration.
- Waiver
- The voluntary and intentional relinquishment of a known right, which may be written or, in some contexts, implied by conduct.
- Consideration
- Something of value exchanged between parties that makes a contract legally binding β money, services, or a promise to act or refrain from acting.
- Mutual Restoration
- The requirement in rescission that both parties return any benefits received under the agreement being cancelled, restoring the pre-contract status quo.
- Statutory Rescission Period
- A time window defined by law during which a party may cancel certain agreements without penalty β commonly 3 business days for consumer contracts and 7β21 days for ADEA severance releases.
- Duress
- Pressure or coercion that overcomes a person's free will, making a contract voidable if the pressured party can demonstrate it affected their consent.
- Misrepresentation
- A false statement of fact made by one party that induces another to enter a contract; a ground for rescission when the misled party relied on the false statement.
- Voidable Contract
- A contract that is valid and enforceable unless and until the injured party elects to rescind it β as opposed to a void contract, which is unenforceable from the outset.
- Notice
- Formal communication to another party of a legal act, intention, or claim β typically in writing and delivered in a manner that creates a record of receipt.