Management and Organizational Studies 2275A/B Chapter Notes - Chapter 8: Estoppel, Promissory Note, Negotiable Instrument

• School: Western University
• Department: Management and Organizational Studies
• Course: Management and Organizational Studies 2275A/B
• Professor: James Hildebrand

Document Summary

Consideration: something that has value in the eyes of the law and which a promisor receives in return for a promise. May be a payment of money, a service, right or delivery of property. Consideration for a promise must exist for the contract to be legally binding. An offer of service if accepted must be performed with skill and care, otherwise the promisor will be liable for any losses. A person may be liable on a promissory note or negotiable instrument even though there is no consideration between them. If a charity takes on a project due to the strength of a donor"s pledge then the promise may be enforced. Only if the donation was a substantial amount needed for the project. Seal: a formal mode of expressing the intention to be bound by a written promise or agreement.