Contracts
In North Dakota, which of the following is TRUE about consideration in a real estate contract?
AConsideration must be money
BConsideration must be of legal value and sufficient to support the contract; nominal consideration is generally permissible✓ Correct
CBoth parties must contribute equal consideration
DConsideration is not required in real estate contracts
Explanation
Consideration is something of legal value given in exchange for a promise. In real estate, it is typically the purchase price. While nominal consideration (such as $1) may be legally sufficient, courts look for genuine value in evaluating contracts.
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