Alfred makes a material misrepresentation of fact to Betty, and based upon the misrepresentation, Betty enters into a contract. Betty now realizes she was deceived and wants to get out of the contract. This contract is voidable at Betty's option.

Material Misrepresentation

A false statement or omission of fact that significantly affects a party's decision-making in a transaction.

Voidable

A legal term for a contract or transaction that, while valid, may be annulled or rescinded by one of the parties due to certain conditions such as fraud, duress, or mistake.