part 1

• 2. Thomas v Thomas (1842) 2 QB 851

  T (a dying man) expressed the wish to his executors that his wife should live in his house for as long as she wished and so long as she remained a widow. After he died, his executor (D) promised the house to the widow in exchange for £1/year ground rent. Despite this, D later tried to evict the widow (C), so she sued for breach of contract. D claimed the earlier promise was not binding because of lack of consideration.

   

  Held: C’s promise to pay £1/yr was sufficient consideration to make D’s promise binding.
• Chappell & Co Ltd. v Nestle Co Ltd. (1959) 2 All ER 701 HL

  C owned copyright in a piece of music called “Rockin Shoes”. D arranged for another company to make records of RS and offered them to the public for 1s6d plus 3 wrappers from their bars of chocolate. 

   

  HL held: the consideration was not only the 1s6d but that the 3 wrappers were part of the consideration and therefore added to the value.
• 3.  Consideration must be sufficient

  Consideration must be of some ‘economic’ value in the eyes of the law (see Thomas v Thomas and Chappell v Nestle above; and White v Bluett). 

   

  It follows therefore that consideration must be over and above the parties’ existing obligations to each other, whether they arise contractually or otherwise.
• 3.1  Consideration must be over and above existing general legal obligations owed to the other contracting party

  Where a person merely carries out duties they are legally obliged to perform – such as a police officer protecting citizens, or a juror listening to evidence – doing that alone will not be consideration to enforce a promise of payment.

   
• 3. Collins v Godefroy (1831) 109 ER 1040

   

  C had been summoned to attend court to give evidence for D, in a case in which D was a litigant. D promised to pay him 6 guineas for doing so but later refused to pay. C sued to enforce the promise.

   

  Held: since C was legally obliged to give the evidence, doing so was not consideration for the promise. 
• What must all simple contracts in English law be supported by?

  Consideration
• What happens to gratuitous promises in English law?

  They will not be enforced unless in the form of a deed
• What does consideration involve in a contract?

  Some benefit or detriment to the parties
• Who defined valuable consideration in Currie v Misa?


  Lush J
• What can valuable consideration consist of according to Lush J?

  Some right, interest, profit, or benefit to one party or some forbearance, detriment, loss, or responsibility by the other
• What did Lord Dunedin state about consideration in Dunlop Pneumatic Tyre Co. v Selfridge?

  It is the price for which the promise of the other is bought
• What types of consideration are recognized by the courts?


  Executory (future) or executed (present), but not past
• What was the outcome of Roscorla v Thomas regarding past consideration?


  D's promise was unenforceable because it was made after the sale
• In Re McArdle, why was the promise to repay the daughter-in-law not binding?

  It was past consideration for work already done
• What exception exists to the rule against past consideration?

  The requested performance exception
• What was the significance of Lampleigh v Braithwaite regarding past consideration?

  C's act of obtaining the pardon was at D's request, making it enforceable
• In Re Casey’s Patents, why was C's claim upheld despite being based on past services?

  The promise was merely formalizing an expectation of payment for services meant to be compensated
• What are the three rules governing consideration?

  1. Consideration must move from the promisee/claimant.
  2. Consideration need not be adequate.
  3. Consideration must be sufficient.
• What does it mean that consideration must move from the promisee/claimant?

  Only those who contribute to the bargain can benefit from it
• What was the outcome of Tweddle v Atkinson regarding third-party beneficiaries?

  WT could not enforce the promise as he did not provide consideration
• What does it mean that consideration need not be adequate?

  The courts will not assess the value of consideration provided by the parties
• What was the ruling in Thomas v Thomas regarding the £1/year ground rent?

  It was sufficient consideration to make the promise binding
• In Chappell & Co Ltd. v Nestle Co Ltd., what was considered part of the consideration?

  The 3 wrappers from chocolate bars
• What must consideration be in the eyes of the law?

  Of some economic value
• What is required for consideration to be enforceable regarding existing obligations?

  It must be over and above existing legal obligations
• What was the outcome of Collins v Godefroy regarding legal obligations?

  C's attendance was not consideration as he was legally obliged to attend
• In Glassbrook Bros v Glamorgan County Council, why was the police's extra service considered valid consideration?

  They provided more protection than necessary, which constituted consideration
• What was the ruling in Harris v Sheffield United regarding police services?

  The police services had to be paid for due to self-induced necessity
• What does it mean that consideration must be over and above existing contractual obligations?

  Performing existing duties does not constitute valid consideration
• What was the outcome of Stilk v Myrick regarding the captain's promise?

  There was no consideration to enforce the captain's promise
• How did Hartley v Ponsonby differ from Stilk v Myrick?

  C took on additional duties beyond the original contract, providing consideration
• What was the significance of Williams v Roffey Bros. & Nicholls regarding consideration?

  D's promise was supported by consideration as it provided an extra benefit
• What happens if one party demands more money in the context of Williams v Roffey?

  Williams v Roffey cannot apply
• What must all simple contracts in English law be supported by?

  Consideration
• What happens to gratuitous promises in English law?

  They will not be enforced unless in the form of a deed
• What does the analysis of consideration involve?

  Some benefit or detriment to the parties
• According to Lush J in Currie v Misa, what can valuable consideration consist of?

  Some right, interest, profit, or benefit to one party or some forbearance, detriment, loss, or responsibility by the other
• What did Lord Dunedin state about consideration in Dunlop Pneumatic Tyre Co. v Selfridge?

  An act or forbearance is the price for which the promise of the other is bought
• What types of consideration are recognized by the courts?

  Executory (future) or executed (present)
• Why was D's promise in Roscorla v Thomas unenforceable?

  It was made after the sale, making the consideration past