Legal Definitions - sum payable

A sum payable refers to a specific amount of money that is legally due and must be paid by one party to another to satisfy a debt, fulfill a contractual obligation, or complete a financial transaction. It represents the precise monetary value that an individual or entity is obligated to tender.

• Imagine a small business owner who orders office supplies from a vendor. Upon receiving the invoice for the delivered goods, the total amount listed, say $500, is the sum payable. This is the exact amount the business owner is legally obligated to pay the vendor to settle the debt for the supplies received.

• Consider a tenant who signs a lease agreement for an apartment. Each month, the rent specified in the lease, for example, $1,500, represents the sum payable to the landlord. This amount is legally due by a specific date to fulfill the tenant's contractual obligation for housing.

• Suppose an individual sells their used car to a private buyer. They agree on a purchase price of $8,000. When the buyer hands over a cashier's check for this amount, that $8,000 is the sum payable. It is the agreed-upon amount that must be tendered in full to complete the sale and transfer ownership of the vehicle.