Past Consideration Flashcards
Promise made in gratitude
It’s regarded as lacking consideration
Rationale is that the service was and requested
The performer of the act took the risk of non-payment even if he hoped for it
Why is a promise made in gratitude considered as lacking consideration
The performer of the act took the risk of non-payment
Office protection against people being guilt tripped
Roscorla v Thomas
Following completion of buying a horse a promise was made that it was “free from vice”
Court found for the defendant because his promise with unsupported by consideration, it was not part of the original contract
Eastwood V kenyon
Looked after deceased daughter
She and her husband had promised to pay him back
The promise to reimburse was moral obligation, not part of an exchange (no consideration). What he had done in the past was not exchange.
Re Mcardld
X made improvements to house and after for all children to promise to pay back after they got their shares of the house.
X had already performed work before asking for payment. Her consideration in the past. Past consideration is not good consideration.
Exceptions to the past consideration rule
Pao On v Lau Yiu Long
Act done at promisors request
Parties understood the act was to be remunerated
And payment must have been legally enforceable had it been promised in advance
Exceptions to the past consideration rule
1) done on promisors request
Case
Lampleight V Braithwaite
Lampleight V Braithwaite
B asked L to secure him a pardon
Failed to make payment promised AFTER
courts found in favour of L. L acted on a request from B
Exception to the past consideration rule
2) Parties must have understood act was to be rewarded
Caseys patents
Exemption to the past consideration rule
3) Existing legal duty
(3 examples)
A) Publicly owed duties
B) Duties owed to 3rd parties
C) Duties owed to same promisor
A) Publicly owed duty
Public duty- usually lack of consideration
Collins V Dodefroy
A) Public duty
He was under a public duty to attend court so the payment was not paid him.
Glasbrook Brothers V Glamorgan County Council
A) Public duty
Colliery asked for police during a strike
Refused to pay a bill
Held that the police were going beyond what the are legally obliged to do so payment necessary
Shadwell v shadwell
B) Existing duty to a third party
Shadwell engaged. Uncle said he would pay shadwell money once he married. He was already under legal obligation to marry so consideration present.
C) existing duty to the same promisor
1809-1990
After 1990
1809-1990
Shouldn’t have to pay more bc of disciplinary virtues. Prevent B for exerting pressure to renegotiate mid contract.
After 1990
Yes- freedom of contract
