Consideration

Question 1

Defined in Dunlop v selfridge

Answer 1

For a contract to be valid there must be some form of consideration
Most usual form is the price of goods and services

Question 2

currie v misra

Answer 2

consideration can be other things rather than price
defined it in terms of benefit and detriment

Question 3

rules for consideration

Answer 3

consideration must be sufficient
consideration need not be adequate

Question 4

consideration must be sufficient

Answer 4

it must be real, be tangible and have some values
ward v byham

Question 5

consideration need not be adequate

Answer 5

courts are not interested if the agreement is a bad or good one. they are more interested in the freedom of the contract
if there is no duress, then the courts will enforce the agreement
thomas v thomas 1842

Question 6

past consideration is not legally enforceable

Answer 6

roscorla v thomas

Question 7

rule in lampleigh v braithwaite

Answer 7

exception to the above rule
this is where a service has been requested and there is a reasonable implication that a payment be made, even though it is not explicitly stated in the agreement

Question 8

consideration must move from the claimant

Answer 8

only the person providing the consideration can sue

Question 9

the only time a 3rd party can sue is under contract (rights of third party) act 1999 if:

Answer 9

the contract expressly allows it
the contract gives a benefit of some sort to the 3rd party

Question 10

performance of the existing obligations

Answer 10

if a party is under existing obligation to carry out something, they cannot use that promise as consideration for a new agreement
stilk v myrick