Consideration Flashcards
What does the case of Tweddle v Atkinson state about consideration?
Consideration must be given by each to make a contract binding. A number of rules and exceptions have developed
the main being that consideration must move from the promised
What do the cases of Thomas v Thomas, White v Bluett and Chappell v Nestle state?
Consideration need not be adequate nor equal on each side but must be sufficient. It must also be real or certain and must have a real value
What is the rule of past consideration?
is not good consideration. this is were a party promises to pay for something that has already been done. Roscorla v Thomas
Good consideration must be a promise for the future Re McArdle
What is the exceptions of past consideration?
past consideration will be good consideration where a reward was expected because it was in a commercial situation.
OR
where the act required by the other party
Lampleigh v Braithwaite
What is the rule on existing duty?
cannot be consideration for a new contract
Stilk v Myrick
What are the exceptions of existing duties?
where an existing duty has become more difficult or different ~ Hartley v Ponsonby
and if promising to pay more for an existing duty gives a benefit or avoids a detriment to the promiser ~ Williams v Roffey Bros
What is the rule for an existing public duty?
such as a policeman giving evidence in court
Collins v Godefroy
is not good consideration unless it goes beyond what is normally required
What is the exception for existing public duty?
exceeding the public duty does amount to good consideration for a promise of payment
Glasbrook v Glamorgan, Ward v Byham
What does the case of Shadwell v Shadwell state?
performing a duty owed to a third party is good consideration