Contract law-consideration

Question 1

The main rules of consideration are

Answer 1

-Need not be adequate but sufficient
Past consideration is not good consideration
Consideration must move from promisee
Performing existing duty cant be consideration for new contract
Promise to accept part payment of a existing debt in place of whole debt is not good consideration.

Question 2

Contract law>consideration must be sufficient case?

Answer 2

Ward v byham- case about keeping daughter happy
Looking after daughter was sufficient. regardless of ‘happy’

Question 3

Contract law>consideration > need not be adequate case?

Answer 3

Thomas v Thomas- £1 rent for wife was ok

Question 4

Contract law> past consideration isnt good consideration case

Answer 4

Re Mcardle- After work on bungalow was done, agreed to pay money. But they never did.

If the promise to pay comes after work has already been completed then there will be no consideration as past consideration is not good consideration

Question 5

Contract law> past consideration isnt good consideration EXCEPTION?

Answer 5

There is an exception to the principle that past consideration is not good consideration, where there is a reasonable implication that payment be made, even though it was not stated in the agreement

Question 6

Contract law> existing duty EXCEPTION?

Answer 6

If a person is under an existing contractual duty to act, then this can be good consideration if there is a great change in circumstance and workload
HARTYLEY V POSONBY - exceed their duty

Question 7

A promise to accept part payment of an existing debt is not consideration > exceptions?

Answer 7

accord and satisfaction
promissory estoppel

Question 8

promise for part payment>accord and satisfaction explained

Answer 8

Accepting something other than money for the whole debt is good consideration, even if it is not of equal value to the debt (at the request of the creditor (the person who the debt is owed to) only
Example? Vicky owed Warren £1000. Warren suggests that Vicky gives him £200 and her car (even though it is not worth £800). Because Warren has suggested it and Vicky has agreed, this would be sufficient consideration to forego the remaining balance

Question 9

exceptions to part payment>promissory estoppel explaination

Answer 9

A doctrine which can prevent a person going back on a promise which is not supported by consideration
Central London Property Trust Ltd v High Trees House Ltd (1947)
Promissory estoppel was used to prevent a landlord from claiming rent on flats which, he, himself had reduced during the war
If one party to an existing contract agrees to vary the contract, and the other party relies on that promise, then the promisor cannot go back on the agreement as they are estopped (prevented) from breaking the promise