Chapter 13 Flashcards
(5 cards)
1
Q
Consideration refers to the objective determination of how much a bargain is worth.
A
False
2
Q
Normally, a court will evaluate the adequacy of consideration based solely on the comparative value of the things exchanged as part of the agreement.
A
False
3
Q
A promise made in return for an act or event that has already taken place is fully enforceable.
A
False
4
Q
To constitute consideration, there must be:
A
a bargained-for exchange.
5
Q
Cloud Storage Inc. promises to pay its employees a year-end bonus “if profits continue to be high and management agrees at the time.” This is:
A
an illusory promise.
