Contracts

In New York, a contract for the sale of real property that is not supported by adequate 'consideration' is:

AValid as long as the parties intend to be bound
BUnenforceable because consideration is a required element of an enforceable contract✓ Correct
CVoidable at the option of the buyer only
DEnforceable if witnessed by an attorney

Explanation

Consideration — something of value exchanged between the parties — is a required element of an enforceable contract under New York law. Without consideration, a contract is unenforceable (though a signed instrument under seal may be enforceable without consideration under New York General Obligations Law section 5-1105). In practice, the purchase price is the consideration in a real estate contract.

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