Equity. In its broadest sense, equity is fairness. As a legal system, it is a body of law that addresses concerns that fall outside the jurisdiction of Common Law.Equity is also used to describe the money value of property in excess of claims, liens, or mortgages on the property.
In jurisdictions following the English common law system, equity is the body of law which was developed in the English Court of Chancery and which is now administered concurrently with the common law.. For much of its history, the English common law was principally developed and administered in the central royal courts: the Court of King's Bench, the Court of Common Pleas, and the Exchequer.
Equity Law and Legal Definition. ... In this sense it is also termed natural equity; The system of law or body of principles which originated in the English court of Chancery, which superseded the common law and statute law when there was a conflict between the two.
In law, the term "equity" refers to a particular set of remedies and associated procedures involved with civil law. These equitable doctrines and procedures are distinguished from "legal" ones. While legal remedies typically involve monetary damages, equitable relief typically refers to injunctions, specific performance, or vacatur.
Equity can be broadly described as being just or fair, whereas the legal meaning of the term equity refers to the rules determined to mitigate the severity of the common law rules and those issues that are not be covered under the common law jurisdiction.
Most eastern states had courts of equity or chancery separate from courts of law, and others had parallel systems of law and equity with different procedural rules. Now most states combine law and equity and treat both under "one cause of action."
The legal definition of Equity is A branch of English law which developed hundreds of years ago when litigants would go to the King and complain of harsh or inflexible rules of common law which prevented "justice" from prevailing.
Legal Definition of equity. 1 a: ... Although for a time the courts of equity rivaled the law courts in power, the law courts maintained an advantage partly as a result of forcing the equity courts to hear only those cases for which there was no adequate remedy at law. The courts of law and equity were united in England in 1873.
Definition of EQUITY: 1. In its broadest and most general signification, this term denotes the spirit and the habit of fairness, justness, and right dealing which would The Law Dictionary Featuring Black's Law Dictionary Free Online Legal Dictionary 2nd Ed.
Perhaps because many of the usages of equity involved legal disputes over rights and claims of ownership, by the turn of the 20th century, the word started being used in another sector: finance. It was at this point that terms such as “home equity” and “equity loan” became common finance terms.