Enforceable promises

Question 1

Contract

Answer 1

A promise or set of promises for the breach of which the law gives remedy.

Requires:

1) Consideration
2) Mutual Assent

Question 2

Bilateral contract

Answer 2

A promise for a return promise

1) Mutuality of obligation: IF one promise is exchanged for another, creating a reciprocal obligation, and both promises are enforceable, then the promises are considered to be consideration.
2) A contract becomes binding when both sides have assumed legal obligations.
a) Consideration can be found even if the promise is IMPLIED (Wood v. Lucy) and;
b) Even insufficient consideration is binding b/c the parties had autonomy to enter into any legal contract (Batsakis v. Demotsis), the court will uphold so long as there is consideration b/c society needs reliability of contracts.

Question 3

Unilateral contracts

Answer 3

A promise for a performance

1) Party does NOT have to act, but if they do, Party A must fulfill their promise
2) A return performance can either be an act or forbearance
3) A promise becomes an enforceable contract when an exchange or bargain has occurred in which the promisee has waived any legal right at the request of the promisor (Hamer v. Sidway)

Question 4

Promise is not binding if…

Answer 4

There is no exchange promise or performance (Gift) or if the promisor never intended to be bound (kirksey v. Kirksey)

Question 5

Donative promises/ Gift

Answer 5

Are unenforceable. A promisor of a gift does NOT intent to be legally bound or for their gifts to be enforceable.
-The promisee’s reliance of the gift is always irrelevant - every promisee has some level of reliance.

Question 6

Promissory Estoppel

Answer 6

Elements:

1) A promise
2) A foreseeable inducement of action by the promisee
3) Reliance by the promisee
4) Injustice to the promisee (Loss, harm, or damage of substantial character) without the fulfillment of the promise

The Intent of the promisor is KEY. (Ricketts v. Scothorn)(Feinberg v. Pfeiffer) - Courts are unlikely to enforce promises that weren’t intended to be bound

The promise MUST INDUCE the promisee’s action or forbearance (Hayes v. Plantation steel co.)

Expanded bargain theory:
If a Promise made by promissory estoppel very likely could have been bargained for at the beginning, the court is likely to enforce the promise

Question 7

Past Consideration

Answer 7

Elements:

1) A subsequent promise
2) A previously conferred benefit to the promisor for which it would be an
3) injustice to the promisee if the promise is not bound

Promisor intent to be bound. Like in (Mills v. Wyman)

IS USALLY ENFORCEABLE

Question 8

Quasi Contract

Answer 8

(Aka unjust enrichment, quantum meruit, restitution)
-When there is no promise at all. An alternative doctrine for when lacking a promise.

Elements:

1) A benefit
2) Appreciation, acceptance and retention of the benefit
3) Inequitable to retain the benefit without payment