Just consideration refers to a type of consideration in legal agreements that is deemed sufficient for the purpose of enforcing a contract. It implies that the consideration exchanged is fair and reasonable, meeting the legal standards necessary for the contract to be valid. In essence, it ensures that both parties involved in a transaction are receiving something of value that justifies their agreement.
This term is commonly used in contract law, particularly in cases involving the validity of agreements and the enforcement of promises. Just consideration is essential in various legal contexts, including:
Users can often manage related forms and procedures themselves, especially with resources like US Legal Forms, which provide templates drafted by legal professionals.
Here are a couple of examples of abatement:
Example 1: A person sells their car to another for $5,000. The buyer pays the agreed amount, which serves as just consideration for the car.
Example 2: A homeowner offers a contractor $10,000 to renovate their kitchen. The payment is just consideration for the work performed. (hypothetical example)
Examples of state differences (not exhaustive):
| State | Consideration Requirements |
|---|---|
| California | Consideration must be lawful and not against public policy. |
| New York | Consideration must be adequate but not necessarily equal. |
| Texas | Consideration can be a promise, act, or forbearance. |
This is not a complete list. State laws vary, and users should consult local rules for specific guidance.
| Term | Definition | Difference |
|---|---|---|
| Consideration | Something of value exchanged between parties in a contract. | Just consideration is a subset that emphasizes fairness and adequacy. |
| Good faith | Honesty and sincerity in transactions. | Just consideration requires good faith but focuses on the value exchanged. |
If you are entering into a contract, ensure that the consideration you offer is just and adequate. You can use US Legal Forms to find templates that help you draft agreements that meet legal standards. If your situation is complex, consider seeking advice from a legal professional.
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Just consideration is the fair value exchanged in a contract that meets legal standards for enforceability.