Justification is a judicial act of God pardoning sinners (wicked and ungodly persons, Romans 4:5; 3:9-24), accepting them as just, and so putting permanently right their previously estranged relationship with himself. This justifying sentence is God’s gift of righteousness (Romans 5:15-17), his bestowal of a status of acceptance for Jesus’ sake (2 Corinthians 5:21).
What does Justification involve?
(1) Payment for sin.
...for all have sinned and fall short of the glory of God, and are justified by his grace as a gift, through the redemption that is in Christ Jesus, whom God put forward as a propitiation [wrath bearing sacrifice] by his blood, to be received by faith. This was to show God's righteousness, because in his divine forbearance he had passed over former sins. It was to show his righteousness at the present time, so that he might be just and the justifier of the one who has faith in Jesus.
(2) Imputed Righteousness.
"And to the one who does not work but believes in him who justifies the ungodly, his faith is counted as righteousness..." (Romans 4:5). " "Therefore, as one trespass led to condemnation for all men, so one act of righteousness leads to justification and life for all men. For as by the one man's disobedience the many were made sinners, so by the one man's obedience the many will be made righteous" (Romans 5:18-19).How is a person justified?
For we hold that one is justified by faith apart from works of the law. (Romans 3:28)
This is not contradictory to the words of James, " You see that a person is justified by works and not by faith alone" (2:24). For an explanation see "Does James 2:24 Contradict Paul's Understanding of Justification By Faith Alone?"
Grace and Peace,
Stephen
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