Which type of contract is defined as not enforceable by law?

Study for the Arizona Real Estate Exam. Boost your knowledge with flashcards and multiple choice questions with explanations. Be exam-ready with our comprehensive review!

A contract that is defined as not enforceable by law refers to an agreement that lacks legal validity. This might occur for various reasons, such as the absence of essential elements like consideration, legal purpose, or mutual assent. The law does not recognize these types of contracts, making them void or voidable and thus unenforceable in a court.

In contrast, options that discuss rescinded contracts, payment terms, or the mental state of one party (like being sick) do not inherently imply that a contract is unenforceable by law. A rescinded contract might be valid until it is called back; contracts involving payment plans can be enforceable if they meet legal criteria; and contracts made by individuals who are mentally impaired can sometimes be challenged but are not automatically rendered unenforceable by law without further context. The definition provided clearly aligns with the unique characteristics of a contract that the law will not enforce.

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