An illusory promise is a type of promise where the terms allow the person making the promise to choose whether or not to fulfill it. This means that the promise does not create a binding obligation, as the promisor retains the option to perform or not perform the promised action. Essentially, it lacks the necessary commitment to be enforceable in a legal context.
Illusory promises are often discussed in contract law. They can arise in various legal contexts, including civil law and business agreements. In these situations, understanding whether a promise is illusory can impact the enforceability of contracts. Users can benefit from utilizing legal templates provided by US Legal Forms to draft clear and binding agreements that avoid illusory promises.
Here are a couple of examples of abatement:
Example 1: A company offers to hire a freelancer but states that they may cancel the project at any time without penalty. This creates an illusory promise, as the freelancer cannot rely on the job being secured.
Example 2: A person promises to give a gift only if they feel like it. Since the promise is contingent on the promisor's feelings, it does not create a binding obligation. (hypothetical example)
| Term | Definition | Difference |
|---|---|---|
| Conditional Promise | A promise that depends on a specific condition being met. | Unlike an illusory promise, a conditional promise can create obligations if the condition is fulfilled. |
| Binding Promise | A promise that creates a legal obligation for the promisor. | A binding promise is enforceable, while an illusory promise is not. |
If you suspect that an agreement you are involved in contains an illusory promise, consider reviewing the terms carefully. You may want to consult a legal professional for advice specific to your situation. Additionally, you can explore US Legal Forms for templates that help create clear and enforceable contracts.
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| Attribute | Details |
|---|---|
| Legal Context | Contract Law |
| Enforceability | Not enforceable |
| Common Usage | Business agreements, employment contracts |
An illusory promise is a promise that does not create a binding obligation because the promisor can choose whether to fulfill it.