consideration

Question 1

what are the 2 types of consideration

Answer 1

Executed consideration: the act has been carried out
Executory consideration: the act promised has not yet been done

Question 2

what are the rules of consideration

Answer 2

Consideration must be sufficient but no need to be adequate
Consideration must not be in the past
Consideration is not a pre-existing duty

Question 3

consideration must be sufficient but need not be adequate

Answer 3

Consideration must have some value but it need not be equal on each side - Thomas v Thomas
It must be: real, tangible and have some value in the eyes of the law
Anything requested by the other side can be seen as consideration if it imposes an obligation to produce something such as used sweet wrappers, Chappell v Nestle

Question 4

emotions and consideration

Answer 4

Love and affection
emotions do not have economic value = no consideration
White v Bluett

Question 5

past consideration is not good consideration

Answer 5

Consideration cannot be provided by something that has already been done before the promise to pay was made - ReMcardle, Roscorla v Thomas

Question 6

exceptions to past consideration

Answer 6

where there was already an understanding (it was implied) that there would be payment and the ‘deed’ was carried out at the promisors request - Lampleigh v Braithwaite

Question 7

consideration is not a pre-existing duty

Answer 7

Performing a public duty is not seen as consideration, Collins v Godefroy
Performance of an existing contractual duty is not seen as having value, Stilk v Myrick

Question 8

exceptions to a pre-existing duty

Answer 8

Exception to the public duty rule is if the party goes beyond what is normally required, Glasbrook v Glamorgan, Ward v Byham
Exception to the existing contractual duty rule is where performance goes beyond the original duty - Hartley v Ponsonby
Additional exception - contracts involving the provision of goods and services, Williams v Roffey. Where a party making a promise to pay extra receives an extra/practical benefit from the other party’s agreement and avoids a detriment will be considered good consideration

Question 9

part payment of debt

Answer 9

Part-payment of a debt is not considered satisfaction of the remaining debt