Definition of "equity" []

• The state, quality, or ideal of being just, impartial, and fair. (noun)
• Something that is just, impartial, and fair. (noun)
• Law Justice applied in circumstances covered by law yet influenced by principles of ethics and fairness. (noun)
• Law A system of jurisprudence supplementing and serving to modify the rigor of common law. (noun)
• Law An equitable right or claim. (noun)

American Heritage(R) Dictionary of the English Language, Fifth Edition. Copyright (c) 2011 by Houghton Mifflin Harcourt Publishing Company. Published by Houghton Mifflin Harcourt Publishing Company. All rights reserved.

• "Major Abbot said, "people err greatly in reference to my court -- some think it is a court of law -- _but it is not a court of law_; some think it is a court of equity -- _but it is not a court of equity_."
• "But, an increase in equity is of little value to a homeowner, unless the homeowner decides to convert that equity to cash by selling the property (or using it as loan collateral)."
• "I bought by house four years ago with 5% down, and I think my equity is about equal to the brokerage fee."