The 'something of value' each side gives in a deal — usually money, goods, services, or a promise — that makes a contract legally binding.
What it means
In Australian contract law, consideration is the price each party pays for the other's promise. It can be money, goods, services, or a promise to do (or not do) something, and it must move from the person trying to enforce the agreement.
Without consideration, a promise is generally just a gift and cannot be enforced as a contract. The consideration must be 'sufficient' (have some legal value) but courts do not require it to be 'adequate' — a deal is not void just because it looks like a bad bargain.
How it's used
When Maya paid $500 for a second-hand laptop, her payment and the seller's promise to hand over the laptop were the consideration that made their contract binding.
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