Avoidance
/əˈvɔɪdəns/
Definitions
- (n.) The act of rendering a legal transaction void or inoperative.
The contract's avoidance was sought due to fraud.
- (n.) In insolvency law, a remedy allowing a trustee to nullify certain preferences or fraudulent transfers.
The trustee filed for avoidance of the preferential payment to recover assets.
Related terms
See also
Commentary
Avoidance is distinct from rescission but both involve negating legal effects; precise drafting should clarify the procedural or substantive basis for avoidance.
This glossary is for general informational and educational purposes only. Definitions are jurisdiction-agnostic but reflect terminology and concepts primarily drawn from English and American legal traditions. Nothing herein constitutes legal advice or creates a lawyer-client relationship. Users should consult qualified counsel for advice on specific matters or jurisdictions.