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Probative value: Definition, Example and Related Terms

What is Probative value ?

Probative value is a term that refers to the ability of a piece of evidence to prove something relevant in a court of law, or in our case, in a business contract. It's like a measuring tool for how powerful a piece of evidence or a fact might be. If something has high probative value, it means it's really good at proving its point or claim. On the other hand, if something has low probative value, it's not very good at proving its point and may not be very helpful in making a decision. In the world of business contracts, probative value is very important. It helps contract managers understand the strength of the evidence or facts presented to them, and it guides them in making informed decisions. It's a bit like being a detective, where you have to weigh up the clues to solve the case.


  • Scenario Description
    Imagine a contract manager is reviewing a contract between two businesses for the sale of goods. One of the businesses claims that they have a unique manufacturing process that makes their goods superior. In this case, the probative value would be determined by the evidence that the business provides to support their claim. This might include things like patents, scientific studies, or testimonials from satisfied customers. If the evidence is strong and clearly shows the benefits of the manufacturing process, it would have high probative value. But if the evidence is weak or unclear, it would have low probative value, and the contract manager might question the claim.
    Consider a scenario where a company is negotiating a service contract with a software development firm. The firm claims that they have a team of highly experienced developers who can deliver the project on time. The probative value in this situation would be based on the evidence that the software development firm provides, like resumes of their developers, past project timelines, or client testimonials. The stronger and more relevant this evidence is, the higher its probative value. If the evidence is not convincing, its probative value would be low, and the company might reconsider the contract agreement.