BUSN 323 Lecture Notes - Lecture 6: Contract, Estoppel
Document Summary
What a person will receive in return to performing a contract obligation. Ex: benefit to promisor, detriment to promisee, promise to do something, promise to refrain from doing something, giving points for coming to class. Rules of consideration: for a promise to be enforced legally, there must be consideration, exception promissory estoppel, one party makes promise knowing other party will rely on it, other party relies on promise ( actual reliance ) Justice dictates enforcement of promise, even though it is not supported by consideration: equity provides consideration when it otherwise doesn"t exist must fulfill promise, court rely considers adequacy of consideration. In general, courts do not look at whether consideration is adequate or fair: a bad bargain will be enforced, absent fraud or some other defense. Illusory promise: a situation in which a party appears to commit to something, but really has not committed to anything.
