Which term defines an agreement with no legal effect?

The term that defines an agreement with no legal effect is a void contract. A void contract is one that is not enforceable by law from the moment it is created. This situation can arise for various reasons, such as the absence of essential elements like consideration, capacity, or lawful object. For example, if a contract is made for an illegal purpose, it has no legal standing and cannot be enforced by either party.

In contrast, other types of contracts, such as executed, voidable, and enforceable contracts, have different implications. An executed contract is one that has been fully performed by all parties, while a voidable contract is valid until one party decides to void it, often due to certain circumstances, such as misrepresentation or undue influence. An enforceable contract is one that can be upheld in a court of law, meaning it has all of its necessary elements and can be legally binding on the parties involved.

Thus, in the context of agreements that hold no legal significance, a void contract is the accurate term to describe such an arrangement.