What is a rescission of a contract?

A rescission of a contract is a process in which a signed agreement between two or more parties is made void. This process can be initiated by either party and is legally binding when both parties agree to cancel the contract. In South Carolina, rescinding a contract requires that both parties make a claim in writing to the other party to inform them of the intent to rescind the contract and return any items or money received from the other party. Once the rescission is agreed upon by both parties, the contract is terminated and any remaining obligations or duties of the parties are erased and cease to be binding. If a party does not accept the rescission of the contract, then they can pursue legal action in order to receive compensation for any obligations or losses that may have resulted from the termination of the contract. While rescission is typically considered an unenforceable remedy in South Carolina, it can be an effective tool for parties who need to end an agreement without going to court.

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