Legal Definitions - future consideration

Definition: Future consideration is something that will be given or received in the future as part of a contract or agreement. It is a promise to do something or to provide something at a later time.

Example: A company promises to pay an employee a bonus at the end of the year if they meet certain performance goals. The bonus is an example of future consideration because it will be given at a later time, after the employee has met the goals.

Explanation: Future consideration is a common part of many contracts and agreements. It is important to note that the promise of future consideration must be legally binding and enforceable. In the example given, the promise of a bonus is only valid if the employee meets the performance goals outlined in the contract. If they do not meet the goals, the company is not obligated to provide the bonus.