In Kind Definition and Legal Meaning

On this page, you'll find the legal definition and meaning of In Kind, written in plain English, along with examples of how it is used.

What is In Kind?

It is an expression used often in a Will which means payments, subsitutions or distribution of items like money,goods or property and particularly receiving something instead of money but of same value.

History and Meaning of In Kind

The term "In Kind" is commonly used in legal documents such as wills and contracts. It means receiving something other than cash that is of equal value. The term can refer to the act of paying or receiving something other than money, such as goods or services, or it may be used in a broader sense that includes non-monetary forms of compensation like stocks or property.

Examples of In Kind

  1. A person in a legal will might choose to distribute assets in kind to beneficiaries of the will.
  2. In nonprofit organizations, donors may give gifts in kind of goods, services, or assets rather than cash donations.
  3. An employee may receive compensation in the form of company stock or other investments not paid directly in cash.
  4. In an insurance claim, an insurer may offer to replace a damaged item with a similar item instead of providing a cash settlement.
  5. A contractor may be paid in kind for their services, receiving a portion of the materials used in the project instead of a monetary payment.

Legal Terms Similar to In Kind

  1. In Lieu Of - "In Lieu Of" refers to a substitute or replacement for something else.
  2. Cash Equivalents - "Cash Equivalents" refer to investments that can be easily converted to cash, such as stocks or bonds.
  3. Non-Cash Benefits - "Non-Cash Benefits" are forms of compensation for work other than cash payments, such as health insurance or company cars.