considerations

Question 1

what is consideration

Answer 1

‘a promise to pay do or give something in return for the other persons promise

Question 2

who are the two people involved in consideration

Answer 2

promisor=the person making the promise

promisee= the person receiving the promise

Question 3

what are the two types of consideration

Answer 3

1. executory: promises to do something in the future (the usual type of contract)
2. executed: applies to unilateral contracts, where the offeree doesn’t promise anything but does some act. as soon as they have performed the act they have provided executed consideration

Question 4

what are the four rules of consideration (SPEM)

Answer 4

Sufficient. consideration must be sufficient but need not be adequate
Past: consideration must not be past
Existing duty is not good consideration
Moves, consideration must move from the promisee

Question 5

what are the two aspects of sufficient consideration

Answer 5

1. it is real

2. it has some value, even if the value is minimal. the courts will not interfere if its a bad bargain

Question 6

what is a case for consideration only needing some value

Answer 6

Thomas, a man promised his wife that she could livve in his house after he died. she paid his executors £1 a year rent. this was enough to provide room for consideration to support her husband’s promise. £1 was sufficient consideration it did not matter that it was minimal value

Question 7

which case illustrates what will not be ‘real’ consideration

Answer 7

White, fatheer lent money to his soon and said that if he stopped complaining he could keep the money. father died and the estate sought to recover the debt from his son. ‘stopping complaining is not real’

Question 8

what is a case for consideration having some value

Answer 8

chappel & Co, wrappers did form some part of the consideration because they were used to drive sales therefore had value

Question 9

what is meant by past consideration

Answer 9

when the promise comes after the act

Question 10

what is the case for past consideration

Answer 10

Re McArdle. C made repairs and improvements on a home. it was agreed fterwards that she would be payed £480 for her efforts. she was never payed. the promise of payments was not binding because it came after the consideration

Question 11

what is the exception to the rule that past consideration is not good consideration and what is a case for this

Answer 11

where one party requests a service that the law automatically assumes that there is implied promise to pay for it.
Lampleigh. D killed a man and was due to be hung. he begged his friend to get him pardon from the king. his friend went to great efforts to do so. when he did get the c pardon, the c promised to pay him £100 but never paid up. Consideration was proceeded by a request from the client which meant it was valid.

Question 12

what is another case demonstrating the exception to no past consideration

Answer 12

Re Casey’s patent. worker was promised a one third share after he had worked on the patent for two years. later he was refused the share. Casey could rely on the agreement and there was consideration

Question 13

what is a case for existing duty

Answer 13

Stilk, salors had an existing contract to sail a ship. two men were deserted. the captain then promised that they would be paid extra if they got the ship back. hthe captain then refused to pay. courts held that carrying out a duty that you are already contracted to is not consideration for a new promise.

Question 14

what is a case contrasting stilk

Answer 14

Hartley. 19 of the crew deserted which made the ship unsafe. captain promised to pay extra. the captain refused the pay and was sued. the crew won.

Question 15

case that demonstrates existing duties with public duties.

Answer 15

Collins. c was already under legal obligation to go to court so it did not matter that he was not payed his bribe.

Question 16

what is a case for doing something extra on public duty

Answer 16

glassbrook bros. a pit owner promised to pay the police to come and provide protection during a miners strike. when the strike was over he refused to pay the police. police sued and won because they had gone beyond their duties.

Question 17

what was the case involving building flats that stretched the doctrine of consideration and what did the courts say in this case.

Answer 17

Williams. if one party is just doing their existing contract but the other party benefits extra in some way then there will be consideration

Question 18

what is a case for consideration moving from the promisee

Answer 18

tweddle. the fathers of the bride and groom agreed to pay a sum of money each towards their childrens wedding. the girl’s dad died before the wedding. the groom sued the executors of estate when they would not pay him the money. he failed in his action. the agreement was not with his and he himself had not given any consideration to the agreement.