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Mutual Consideration

Another highly important element to enforce a contract is the mutual exchange of something of value.


In order for the contract to be valid the two parties are obliged to exchange something of value. Each party involved in the contract must promise to give something or offer a service to the other party. This means that both parties must provide consideration and a contract is only valid when both parties do so.
According to Cyprus Contract Law, the consideration provided by the parties must be lawful.

Otherwise the consideration or object of the contract  is considered to be unlawful in case:
● the transaction is forbitten by law
● the contract's nature is such that, if it will be enforced, it would defeat the provisions of any law.
● The contract is deceptive.
● The content of the contract involves either implies damage to a person or the property of a person.
● The contract is considered as immoral or against public policy.

If a contract's consideration, object or performance is demonstrated to be unlawful, then the contract is void.

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