what is consideration

Hi,

According to section 2(d) of the Indian Contract Act, 1872 “when at the desire of the promisor, promisee or any other person has done or abstained from doing or does or abstains from doing or promises to do or to abstain from doing something, such act or abstinence, or promise is called a consideration for the promise.”

The above definition implies that consideration is not merely a pecuniary payment made by one party to another but it also refers to a promise or a set of promises to do or not do something and also includes consideration in kind.  Only promises that are backed by a consideration are enforeceable by law.  

Best regards,
Megha

Best regards,
Megha