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Contract validity

Contract validity concerns whether a formed agreement is legally effective and enforceable despite possible defects in parties, content, or form.

In Swiss law, a contract may be formed but still invalid, void, voidable, or unenforceable. Validity depends on factors such as capacity, genuine consent, lawful and possible content, and compliance with any required form. Defects may arise from mistake, fraud, duress, immorality, illegality, impossibility, or lack of authority. The consequences differ: some defects nullify the contract automatically, while others allow an affected party to challenge it within applicable limits. Validity analysis is therefore separate from interpreting the parties’ obligations.

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