What is the effect of illegality in a contract?

In Arizona, the effect of illegality in a contract is that the contract will not be enforceable by the courts. If one or both parties to the contract engage in illegal activity, the contract is considered void and unenforceable. This is because the courts should not be in a position to enforce an agreement which includes illegal activities. If a contract is illegal, no party can use the court system to seek financial compensation for any losses they may have suffered as a result of the illegal contract. This is because the courts will not recognize the contract in the first place, seeing it as being void and unenforceable. In Arizona, a contract must be valid and legal for it to be enforceable in court. Even if a contract is valid and generally enforceable, if it requires either party to engage in any form of illegal activity it will not be valid. Even if an illegal activity is only a small part of the contract, it will render the entire agreement void and unenforceable. Ultimately, the effect of illegality in any contract is that it renders the agreement void and unenforceable. Parties should make sure that all aspects of the contract are legal and valid before entering into any agreement. This will ensure that if any party is to suffer a loss from the contract, they will be able to seek financial recompense via the court system.

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What is the effect of illegality in a contract?

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