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15 Cards in this Set
- Front
- Back
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Consideration
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Something of legal value given in exchange for a promise
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Legal Value
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Support for a contract when either, 1. the promisee suffers a legal detriment or 2. the promisor receives a legal benefit.
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Bargained for exchange
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Exchange that parties engage in that leads to an enforceable contract.
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Gift promise
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A promise that is unenforceable because it lacks considerration.
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Illegal consideration
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A promise to refrain from doing an illegalact. Such a promise will not support a contract.
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Illusory promise
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A contract into which both parties enter but one or both parties can choose not to perform their contractual obligations. Thus, the contract lacks consideration. Also known as an illusory contract.
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Moral obligation
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A sense of honor that prompts a person to make a promise. Promises made out of a sense of moral obligation lack consideration.
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Preexisting Duty
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Something a person is already under an obligation to do. A promise lacks considerationif a person promises to perform a preexisting duty
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Past consideration
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A prior act or performance. Past consideration (e.g. prior acts) will not support a new contract. New consideration must be given.
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Accord
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An agreement whereby the parties agree to accept something different in satisfaction of the original contract.
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Satisfaction
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The performance of an accord.
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Promissory estoppel
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An equitable doctrine that prevents the withdrawal of a promise by a promisor if it will adversely affect a promisee who has adjusted his or her position in justifiable reliance on the promise.
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Does consideration have to be equal
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No it does not as long as the parties agree to the terms. However, both parties still must be bound to do something.
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Promissory estoppel what causes this?
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PEople often rely on promises even if they have not given anything in exchange for the promise. Courts will sometimes see an injustice in allowing the promisor to refuse to perform when the promisee has incurred substantial expense in reliance on the promise.
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What are the elements of the claim that allow promissory estoppel can be used
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1. a promise must be made.
2. The promisor reasonably should have expected the promisee to rely on the promise. 3. The promisee did rely on the promise in the manner the promisor reasonably should have expected. 4. The injustice can be avoided only by enforcing the contract. |
