LW 221 Lecture Notes - Lecture 12: Estoppel
Document Summary
Consideration is the inducement, price, or promise that causes a person to enter into a contract a(cid:374)d for(cid:373)s the (cid:271)asis for the parties" ex(cid:272)ha(cid:374)ge: contracts must be a two-way street. If one side gets all the benefit and the other gets nothing, then an agreement lacks consideration and is not an enforceable contract: proof that two parties intend to be bound to their promises. Act- any action that a party was not legally required to take in the first place. Courts have 3 exceptions to the basic rule of consideration: Exception: requirements and output contract under the ucc. Requirements contracts- contract in which a buyer agrees to purchase all of her goods from one seller. Output contract- contract in which the seller guarantees to sell all of its output to one buyer; and the buyer agrees to accept the entire quantity.
