Also known as: value received · consideration
Written by attorneys · grounded in primary & secondary sources — see below
A recital in a written instrument such as a promissory note, deed, or contract acknowledging that the maker or grantor has received valuable consideration in exchange for the promise or transfer made.
Select any source to read its text and confirm it supports the definition.
Fernando Farrell, facing default on his mortgage to Fairfield Bank, executes a deed transferring his property to the bank. The deed recites that it is given for value received in the form of full discharge of the outstanding loan balance. The bank accepts the deed, the mortgage is satisfied, and foreclosure proceedings are avoided.
Fernando Farrell signs a promissory note payable to Fairfield Bank. The note recites that it is given for value received in the form of a loan advance. The bank disburses the funds and later sues on the note after default.
Oceanic Cargo Lines emails Global Exports offering to pay half the invoice amount for value received in the form of a full release of the spoilage claim. Global attempts to introduce the email at trial to prove liability. The court excludes the communication under the compromise rule.
Flora Ford undertakes to repair a neighbor's roof for value received consisting of payment. She performs the work negligently, causing injury. The neighbor sues, and the court holds Ford liable for failing to exercise reasonable care in the undertaking.
A jury awards punitive damages against a manufacturer after finding reprehensible conduct. The award is reviewed under the three guideposts that include the ratio of punitive damages to the harm suffered by the plaintiff. The court reduces the award to satisfy due process limits.
Frederick Ferguson and Fiona Foster sign a marital property agreement allocating future earnings. The document recites that it is executed for value received in the mutual promises exchanged. The agreement is enforceable without additional consideration.
The recital creates a presumption of consideration but is not conclusive. A party may still challenge the instrument by showing that no consideration was in fact given or that the recital is false.
No. Under the UCC a negotiable instrument need only contain an unconditional promise to pay a fixed amount. The phrase is traditional but not statutorily required for negotiability.
Yes. The phrase properly recites the consideration consisting of discharge of the mortgage debt, satisfying the requirement that the deed be supported by consideration and voluntary.
…Commission on Accreditation of Hospitals." The providing of medical information by physicians to state legislatures in their consideration of legislation regarding therapeutic abortion was "to be considered consistent with the principles of ethics of the American Medical Association." This recommendation was adopted by the…