Able to be later voided or
nullified; a valid act that may achieve what its purpose was until its fatal
flaw is discovered or takes effect and causes it to be voided. For example, a
minor may enter into an agreement with a book club and not buy the number of
books she contracts to. When the book club tries to recover the remaining part
of the contract, the minor repudiates it and it becomes void, because a minor may
not make a valid contract.
Bankruptcy term referring to a payment or transfer made by
the debtor to a creditor within a certain period of time before declaration of
bankruptcy is made, to the disadvantage of other creditors seeking a share of
remaining assets of the debtor; such payments may be set aside.