Rethinking Consideration in the Digital Economy: Can User Data Constitute Valid Consideration under Indian Contract Law?

Author(s)	Ms. Dhayal S
Country	India
Abstract	This study investigates whether online attention and personal information can be considered legitimate consideration under Indian contract law. According to the conventional theory (Section 2(d) of the Indian Contract Act), a promise must be accompanied by "something done or promised" . Many services in the digital economy seem "free," but users really pay with their attention and important personal information . In order to find gaps and difficulties, this study examines the policy environment, contemporary practices , and historical underpinnings of the law. To determine whether data can be considered an exchange, we examine Section 2(d) and related rules (such as Sections 10 and 23) in conjunction with data-privacy principles (most notably Puttaswamy's privacy finding). To frame the discussion, instances (such as Google, Facebook, and WhatsApp) and international studies are examined. The results imply that the broad definition of consideration in Indian law. but privacy rights and unequal bargaining power impose practical limits. We conclude by recommending clearer legal recognition of data-for-service contracts and stronger consumer safeguards in digital agreements.
Keywords	Consideration, Personal information ,Digital agreements
Field	Sociology > Administration / Law / Management
Published In	Volume 8, Issue 3, May-June 2026
Published On	2026-05-22
DOI	https://doi.org/10.36948/ijfmr.2026.v08i03.79191

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