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12 Cards in this Set
- Front
- Back
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Appeal of Clark
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the court has no right to limit the value that an individual puts on the services they receive
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Hammer v. Sidway
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*Uncle promised to pay nephew $5,000 if he refrained from drinking and smoking
*consideration must be something of value *forbearance can be consideration |
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Dyer v. National By-Products, Inc.
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*Did plaintiff’s forbearance from filing a lawsuit (a lawsuit that he had NO CHANCE of winning due to workers comp rules) in return for lifetime employment act as consideration?
*Samuel Williston- yes - Formalist *Arthur Corbin - no - Realist |
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Illusory Promise
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looks like a promise in the form of a promise, but in reality one party gives up nothing. (If no mutuality of obligation, then illusory promise.)
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Termination-for-Cause clause
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generally do not make promise illusory because events give either party right to terminate
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Termination-for-Convenience clause
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may make a promise illusory; illusory when obligations on one party
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Accord
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agreement to settle a debt using a different method than originally agreed on
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Satisfaction
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fulfilling/performing this new promise
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Restatement Second 89
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A promise modifying a K is binding if the modification is fair and equitable in terms of:
1. circumstances not anticipated by the parties when the contract was made, OR 2. the statute, OR 3. whether justice requires enforcement in view of material change |
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Pre-existing Duty Rule
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Cannot promise something that you're already obligated to do as consideration. There is no detriment, because you're already legally obligated
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Restatement (Second) 73: Performance of a Legal Duty
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Performance of a legal duty owed to a promisor cannot be consideration; but a similar performance is consideration if it differs from what was required
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UCC 2-209: Modification, Rescission, and Waiver
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Consideration isn't necessary to modify a K unless the agreement stipulated a need for a signed writing to modify the K
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