Consideration Flashcards

1
Q

PreExisting Duty Rule (Modifications under Common Law)

A

A promise to do something you are already legally obligated to do (generally, or based on a prior contract) is NOT CONSIDERATION

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2
Q

Exceptions to Preexisting Duty Rule

A
  1. Change in performance - makes this K different (new C)
  2. Third party promising to pay
  3. Unforeseen difficulties that would excuse performance
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3
Q

Is promising PARTIAL PAYMENT in exchange for a release from a DEBT binding?

A

NOT if the debt is currently due and the amount is undisputed. this would be a preexisting duty!

Otherwise (if debt not due yet) sure. This is not yet a preexisting duty.

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4
Q

Rule for Modifications under UCC

A

Modification has to be in good faith

If so, binding even without consideration.

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5
Q

Rule for Modifications under Common Law

A

PreExisting Duty Rule

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