Contract Glossary
Illusory Promise
Definition
A promise that sounds like a commitment but actually doesn't bind the promisor to anything. If one party can perform or not perform entirely at their own discretion, there's no real promise — and no enforceable contract.
In Practice
Watch for language like 'we may provide services if we choose to' or 'payment at buyer's sole discretion.' These aren't real commitments — they're illusory promises that make the contract unenforceable for lack of consideration. If only one side is actually bound to do anything, you don't have a valid contract.
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Frequently asked questions about illusory promise
If the promisor retains complete freedom to perform or not perform, the promise is illusory. 'I'll buy as many widgets as I want' is illusory — it doesn't commit to buying any. 'I'll buy at least 100 widgets per month' is a real promise with enforceable consideration.
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Create your contractThis content is for informational purposes only and does not constitute legal advice. For contracts with significant financial or legal implications, review by a qualified attorney is recommended.