Consideration Flashcards
How is consideration defined?
Defined in Currie v musta as some right, interest, profit or benefit accruing to one party or some forbearance, detriment, loss or responsibility given, suffered or undertaken by other
Consideration need not be adequate but must be sufficient
Adequate is making a payment to reflect the full value, sufficient is making a payment of some value
Thomas v Thomas- one pound is not adequate for rent but is sufficient
What is the exception to adequate but not sufficient?
Where one party exceeds their duty under the agreement there will be good consideration even where it involves love and affection
Ward V Byham
Consideration must move from the promises
A person cannot sue or be sued under a contract unless they have provided consideration for themselves
Tweddle V Atkinson
Past consideration is not good consideration
Consideration will not count if it has already been given before the agreement has been made
Re mcardle- the promise came after the work had been done so past consideration had no value
What are the exemptions for past consideration?
- Where there is an implied promise of payment there will be good consideration
Re Casey’s patent- there was an implied promise of payment when he was carrying out work for them so there was good consideration - Where there is an expectation of a reward or where the act is so important the fee must have been applied
Lampleigh- the act of the D were so important the fee must have been applied
What is the rule with contractual duties?
Performing a contractual duty is not good enough for further payment because they already receive a wage
Silk v Myrick- not good consideration as the men had already agreed to do whatever was necessary
What are the exceptions to contractual duties?
When the job becomes almost impossible or dangerous and it goes beyond the borders of the contract
- save them from a detriment
William V Roffey bros- saved from a detriment so was good consideration for further payment
What is the rule with public duties?
Performing a good duty is not enough for good consideration as they are already expected to carry out thrust public duty
Collins v godefroy- no consideration as it was the police man’s duty to show up in court
What is the exception to public duty?
When someone under a public duty has gone above and beyond their will be good consideration
Glassbrook bros- more men were being used which was good consideration as they went above and beyond
