Study Guides (248,643)
Canada (121,651)
Accounting (47)
ACTG 2P40 (21)
P.Maloney (16)

Chpt 6 Formation of a Contract.docx

2 Pages

Course Code

This preview shows 80% of the first page. Sign up to view the full 2 pages of the document.
Chpt 6 Formation of a Contract: Consideration 3. (a) Consideration  Consideration in its most basic form is the exchange of promises; rights, interest or some form of benefit accruing to both parties involved in the contract- on the other hand some detriment or loss that is giving to a party.  in order to have a fully binding contract , the contract must entail consideration to both sides of the party  consideration generally comes after the Offer and Acceptance  consideration may also be a promise not to do something (b) Consideration vs. Gratuitous Promise ( gratuitous promise ------- > Gift ) (c) Adequacy of Consideration ( irrelevant to court) i) exceptions to adequacy to consideration may be if evidence points to duress, fraud or if one of the parties are under the influence (d) Past Consideration ( “ past consideration is no consideration ) (e) Performance of an Existing Duty i)Performance of Existing Contractual Duty ( only if fresh consideration) ii)Performance of Existing Statutory Duty (f) Promissory Estoppel or Equity Estoppel  promissory estoppel is an exception to performance of exiting contract---- - it holds that if existing contract exist and one party agrees to forgo rights or all rights in contract and the promisee relies in this to the point in which it would cause great hardship if the promisor were to go back on it---- defence is Promissory Estoppel ( the Hightrees Landlord tentant case $5000->$2500)  “ promissory estoppel may one be used as a shield and not a sword”
More Less
Unlock Document

Only 80% of the first page are available for preview. Some parts have been intentionally blurred.

Unlock Document
You're Reading a Preview

Unlock to view full version

Unlock Document

Log In


Join OneClass

Access over 10 million pages of study
documents for 1.3 million courses.

Sign up

Join to view


By registering, I agree to the Terms and Privacy Policies
Already have an account?
Just a few more details

So we can recommend you notes for your school.

Reset Password

Please enter below the email address you registered with and we will send you a link to reset your password.

Add your courses

Get notes from the top students in your class.