Contracts
What is 'consideration' in the context of a real estate contract?
AThe agent's commission
BSomething of value given by each party to induce the other to enter into the contract✓ Correct
CThe time allowed for the buyer's inspection
DThe seller's obligation to make disclosures
Explanation
Consideration is something of legal value exchanged by both parties as inducement for the contract — typically the buyer's promise to pay and the seller's promise to convey title. Without mutual consideration, a contract lacks enforceability.
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