Consideration

Question 1

Kim v. Son

Answer 1

A gratuitous promise is a promise made that lacks sufficient consideration and not an offer nor an acceptance

What is Consideration

Question 2

Hamer v. Sidway

Answer 2

A waiver of any legal right at the request of another party is sufficient consideration for a promise (value of the consideration is subjective)

What is Consideration

Question 3

Kirksey v. Kirksey

Answer 3

Is giving up one’s property to move 60+ miles consideration enough to accept an offer?

What is Consideration?

Question 4

Angel v. Murray

Answer 4

A promise modifying a duty under a contract that is not fully performed is binding if the modification is fair and equitable in view of the circumstances not anticipated by the parties at the time of formation.

Pre-Existing Duty Rule

Question 5

Roth Steel v. Sharon Steel

Answer 5

Consideration is not required for modifications under the UCC, however, good faith is still required under Article 2

Statutory Changes

Question 6

Ridge Runner v. Sec. of Agriculture

Answer 6

The exchange of promises without any consideration does not form an enforceable contract

Consideration in Bilateral Contracts

Question 7

Wood v. Lucy, Lady Duff-Gordon

Answer 7

Consideration may be inferred from the surrounding nature and circumstances of the agreement eg “exclusive dealings.” If it is in the party’s interest to give reasonable efforts that may be seen as consideration.

Consideration in Bilateral Contracts

Question 8

BRC Rubber v. Plastics

Answer 8

Requirements contracts are often illusory because it is not binding if it does not require a party to buy any of its requirements

Mutuality of Obligation