Legal Definitions - value received

Definition: Value received refers to the consideration that has been delivered. This phrase is commonly used in a bill of exchange or promissory note to show that it was supported by consideration.

Example: John borrowed $500 from Jane and signed a promissory note stating that he would repay the amount within six months. The promissory note included the phrase "value received" to indicate that John had received $500 from Jane as consideration for the loan.

Explanation: In this example, the phrase "value received" is used to indicate that John received $500 from Jane as consideration for the loan. This means that John received something of value in exchange for his promise to repay the loan, which is an essential element of a valid contract.