consideration Flashcards
what is consideration
means that each party must give something of value- gaining something from both sides
what the first ‘maxims’ rule
consideration need not be adequate but must be sufficient
what the second ‘maxims’ rule
past consideration is not good consideration
what is the third ‘maxims’ rule
consideration must move from promisee
what is the fourth ‘maxims’ rule
performing an existing act duty cannot be the consideration for a new contract
what is the fourth part A ‘maxims’ rule
public duty
what is the fourth part b ‘maxims’ rule
a duty imposed under an existing contract
what is the fourth part c ‘maxims’ rule
a promise to make payment on an existing debt
what is consideration under Curries v Misa 1875
“some right, interest, profit, or benefit accruing to the one party, or some for bearance, detriment, loss or responsibility given, suffered, or undertake by other”
currie v Misa asserted what
“benefit gained and detriment suffered”
what was the principle of curries v misa
precedent remains extremely important in the law of contract to this day
what did currie v Misa confirm
a full contract will not exist unless some sort consideration has been offered in return
what does Lord Dunedin stated about act of forbearance
“an act of forbearance or the promise thereof is the price for which the promise of the other is bought, and the promise this given for value is enforceable”
consideration need an act of what
positive act act forbearance(not doing something)
what are the two types of valid consideration
executed or executorty
what is executed consideration
to describe the part of the bargain that has been performed
what is excutorty consideration
part of the bargain that has not yet been performed
what is meant by consideration must be sufficient but need not be adequate
as long as the consideration has some value the courts will not concern themselves with adequacy
what was the consideration of Chappell & Co v Nestle Co Ltd 1960
the wrappers were part of the consideration, although they were of trivial economic value
what was the consideration in Thomas v Thomas 1842
Ps promise to pay £1 and keep in good repair was sufficient considerate
what was the consideration in White v Bluett 1853
the promise to stop complaining was consideration
what is the ratio of White v Bluett 1853
since B had no right to complain, his forbearance of complaining was not consideration in
what was the consideration in Ward v Byham 1956
father argued that the mother was under an existing duty to look after and maintain the child and therefor was not providing any consideration for the promise to make payment
what was the ratio in Ward v Byham 1965
this gone beyond her existing legal duty and therefor held provided consideration entitled to payment
what are the rules of consideration must not be past
-C provided for a promise must be done in relation to that promise
- Must be done directly in return for the promise of the other party
past consideration is what
not valid contract past means ‘provided before the promise it supports was made’
what was the past consideration in Roscorla v Thomas 1842
the horse was ‘vicious and restive’. court held the assurance had given later… price paid was past consideration
facts of Re Mc Ardle 1951
carried out certain improvements and repairs on a bungalow. “in consideration of you carrying out the repairs we agree that the executors pay you £480 from the proceeds of sale”. payment never made.
held for Re Mc Ardle 1951
promise to make payment came after the consideration had been performed therefore the promise to make payment was not binding. past C is not valid
case link to exception of past consideration
Lampleigh v Braith Waite 1615
what was the past consideration in Lampleigh v Braith Waite 1615
the consideration was proceeded by a request from D which meant the consideration was valid. D was obliged to pay C £100 implied at time of request- that payment would be made
what is consideration must move from the promisee
person making the promisee must provide the consideration. agreement must have been made and the consideration provided by the parties involved
case link to consideration must move from the promisee
Tweddle v Atkinson 1861
what happened in Tweddle v Atkinson
claim failed- groom was not party to the agreement and the consideration did move from him. not entitled to enforce -> no consideration given- no right to sue
the basic of C must move from the promisee has been altered
contract (rights of third parties) act 1999 person who is not party to a contract can enforce the contract if they is named in the contract and gains a benefit from it
what is meant by consideration of performing an existing duty cannot be consideration
consideration cannot take the form of something that they are already obligated to do, but if they is an extra element like additional benefit is required for new payment, there is consideration
what is a public duty
duty imposed under a public duty, like police doing what they are required to do under their public duty
what is a duty imposed under an existing contract
duty imposed under an existing contract with the promisor such as, in a contract of employment, merely doing their Job
what is a promise to make payment of an existing debt
a promise to make payment of an already existing debt, like repaying a loan
what happen in Collins v Godfrey 1831
Co was under a public duty to attend court due to the subpoena. where there exists an existing public duty can be used as consideration for a new promise G didnt have to pay
what happens in Glasbrook Bros v Glamorgan county council
Ds argued that police were under an existing public duty to provide protection and keep peace
held for Glasbrook Bros v Glamorgan county council
additional officers were required, police gone beyond their existing duty. entitled to payment
