Payment, in any form, under a contract. Any value given at the counterparty’s request can be good consideration, including any action, inaction or a promise. Consideration is one of the elements required to form a contract. A contract is generally only binding if the promise the subject of the contract is supported by consideration (Woolworths Ltd v Kelly (1991) 22 NSWLR 189; 4 ACSR 431).

For further information, see Practice note, Formation of contracts: Consideration.