A void contract is an agreement that is not legally enforceable from the moment it is created. This means that it has no legal effect, and neither party can enforce the terms of the contract in a court of law. Common reasons for a contract to be void include illegality, lack of capacity, or if it involves a subject matter that is impossible to perform. For example, if a contract involves the sale of illegal drugs, it is considered void because it violates the law. Similarly, if one party is a minor or mentally incapacitated, the contract may also be void due to lack of capacity.