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compensation

compensation In this historical usage, compensation means offsetting one debt or claim against another.

In this historical usage, compensation means offsetting one debt or claim against another. A defendant who is also owed something by the plaintiff may set that amount against the plaintiff’s demand, so that only any remaining balance is payable.

Also see

Sources

Drafting source: Baldwin Dictionary of Philosophy and Psychology, 1901. 1901 New York Macmillan original; archive index checked 2026-10-18. “Compensation” (Compensation).
public-domain-US · Definition uses new wording; original source retains its stated licence. · Source snapshot SHA-256: 1eb500352405faddb72c2936762d7376f3a203e99c2812326ae9f3afc30685e8

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PsychTerms (psychterms.org), CC BY 4.0, version 1. “compensation.” Development preview.

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