Illusory: What It Means in Legal Terms and Its Consequences
Definition & Meaning
The term illusory refers to a promise or commitment that is not legally binding or meaningful. This occurs when the person making the promise has the ability to avoid fulfilling it, rendering the commitment essentially deceptive or based on an illusion. In legal contexts, an illusory promise does not create enforceable obligations because it lacks the necessary elements of a valid contract.
Legal Use & context
In legal practice, the term "illusory" is often encountered in contract law. It is crucial to understand that a promise must be clear and binding to be enforceable. Illusory promises can arise in various legal areas, including:
- Contract disputes
- Employment agreements
- Real estate contracts
Users can manage some aspects of these agreements using legal templates provided by US Legal Forms, which are drafted by qualified attorneys to ensure compliance with legal standards.
Real-world examples
Here are a couple of examples of abatement:
Here are a couple of examples of illusory promises:
- Hypothetical example: A company promises to pay an employee a bonus if they feel like it. Since the employee cannot rely on this promise, it is considered illusory.
- Hypothetical example: A landlord states they will renew a lease if they choose to do so, without any obligation to actually renew. This promise lacks enforceability.