Consideration
Something of value exchanged between parties that makes a contract legally binding.
Consideration is a fundamental requirement for a valid contract. It can be money, services, goods, a promise to act, or a promise to refrain from acting. Both parties must provide consideration — a one-sided promise (gift) is generally not enforceable as a contract.
Past consideration (something already done before the contract) typically doesn't count. The law generally doesn't evaluate whether consideration is adequate, only that it exists.
Example
In an employment contract, the employee's consideration is their labor, while the employer's consideration is the salary and benefits.
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