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LSDefine
Simple English definitions for legal terms
executed consideration
Read a random definition: old business
A quick definition of executed consideration:
Executed consideration is something that has already been given or done in exchange for a promise. It can be an act, a forbearance, or a return promise that motivates a person to engage in a legal act. Consideration is necessary for an agreement to be enforceable. It must be fair and reasonable under the circumstances of the agreement. Past consideration, or something given, done, or suffered in the past which purportedly supports a subsequent promise, is not considered valid consideration. Valuable consideration is something of value given or promised by one party in exchange for the promise of the other. In parliamentary law, consideration is the process by which a deliberative assembly disposes of a motion.A more thorough explanation:
Executed consideration is a type of consideration in contract law that refers to consideration that has already been given. Consideration is something of value that is exchanged between parties in a contract. It can be an act, a forbearance, or a return promise. Executed consideration is different from executory consideration, which is consideration that is promised to be given in the future.
For example, if John promises to pay Jane $500 for painting his house, and Jane has already completed the painting, then the consideration is executed. The act of painting the house is the consideration that Jane has already given, and the promise to pay $500 is the consideration that John has given.
Another example of executed consideration is when a person pays for a product or service. The payment is the executed consideration, and the product or service is the consideration that the other party has given.