Published on September 08, 2025
The cancellation of a contract in Quebec is possible when certain essential conditions are not met. A contract may be annulled if one party’s consent was vitiated (error, fear, lesion), if a person did not have the legal capacity to contract, if the object of the contract is unlawful, or if the formal requirements imposed by the Civil Code were not followed. In such cases, the courts may declare the contract null and restore the parties to their original position.
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The contract is a fundamental pillar of the law of obligations. Under the Civil Code of Quebec (C.C.Q.), the guiding principle remains that a contract, once validly formed, has the force of law between the parties (art. 1434 C.C.Q.). In other words, it must be respected by all. Here are the most common types of contracts: sales contracts, leases, service contracts with a professional, service agreements between two parties, etc.
However, some contracts may be cancelled, particularly when one party’s consent was not freely given, when the parties lacked the capacity to commit, or when the object of the contract is tainted with illegality. The cancellation of a contract may be requested before the courts according to the rules set out in the Code of Civil Procedure (C.C.P.).
In this text, we present the main grounds that may lead to the cancellation of a contract under the Civil Code of Quebec.
First of all, it is important to note that a contract declared null is “deemed never to have existed.” (Art. 1422 para. 1 C.C.Q.)
Thus, “each party is, in that case, bound to restore to the other the prestations it has received.” (Art. 1422 para. 2 C.C.Q.). This means that the parties are restored to their original position, before the conclusion of the contract.
Grounds for Cancellation of a Contract in Quebec
1. Problems related to consent
For a contract to be valid, each person must give their agreement freely and with full knowledge (art. 1399 C.C.Q.). However, in certain situations, this consent may be vitiated :
- Error (arts. 1400–1401 C.C.Q.) : A person signs the contract while being mistaken about an essential element. For example, they purchase a property believing it is zoned for commercial use when it is in fact zoned for residential use.
- Fear (arts. 1402–1404 C.C.Q.) : A person signs the contract only because they felt threatened or illegitimately pressured.
- Lesion (arts. 1405, 1406, and 1408 C.C.Q.) : When a minor or an incapable adult has entered into a contract in a position of inferiority, certain protections allow them to justify its cancellation.
Some individuals do not have the capacity to contract. For example, minors and adults under protective supervision have limited legal capacity. A contract entered into in violation of these rules may therefore be annulled.
3. Unlawful object or cause of the contract (arts. 1410–1413 C.C.Q.)
A contract cannot concern something that is contrary to law or public order. For example, a contract for the sale of drugs or an agreement aimed at defrauding the government is automatically null.
4. Failure to comply with formal requirements (art. 1416 C.C.Q.)
When certain contracts do not comply with formal requirements, they may be declared invalid. For example, the donation of an immovable between private parties would be declared null since it must absolutely be executed by notarial deed in minute form before a notary, under article 1824 para. 1 C.C.Q.
How to Cancel a Contract?
When a party believes that a contract should be annulled, they must request its nullity before the courts. The judge will review the contract and, if nullity is pronounced, it will be either absolute or relative.
- Absolute nullity (art. 1418 C.C.Q.) : This relates to public interest, for example, an illegal contract. The judge may declare it even without a formal request being presented.
- Relative nullity (arts. 1419–1420 C.C.Q.) : This aims to protect a specific party, for example, if the contract was signed under the other party’s threat. Only the concerned party may request its cancellation.
Conclusion
The cancellation of a contract is an important measure that restores the parties to their original situation, as if the contract had never existed. This process, although legal and regulated, can have significant financial and legal consequences.
Thus, it is essential to carefully assess the possible grounds for cancellation and determine whether your situation falls under absolute or relative nullity. Legal support not only helps you understand your rights but also prevents costly mistakes in court.
Our firm can advise you, prepare the necessary procedures, and represent you effectively to protect your interests. Contact our team today to obtain personalized support.