Book Opener

Consideration in Your Everyday LifeAs an essential element of any valid contract, consideration is somethingthat you will encounter regularly. Remembering the following principleswill help you in the agreements that you make in your daily life.l Consideration is the contractual element that distinguishes a legallybinding agreement from all other types of agreements.l For something to amount to consideration, the act performed orpromised must be legal.l To constitute consideration, an act or a promise must bebargained for.l If a person pays a debt in advance, it is something that he orshe is not legally bound to do. Paying in advance would beconsideration for settling the debt for a lesser amount.llllllThe courts enforce charitable pledges as if they were contracts.A promise by one party not to sue another party is generally provenby evidence of a release.Usually, a party will offer money in exchange for another party’spromise or performance.Some people prefer barter agreements that involve goods andservices rather than money.Generally, the courts do not get involved in determining how muchconsideration is enough.Forbearance is a type of consideration that involves promisingnot to do something that you are legally entitled to do.Reviewing What You Learned1. What is consideration?2. What are the types of consideration?3. What problems can arise regardingconsideration?4. What are the principles that apply toconsideration in everyday life?Critical Thinking ActivityIs Enough Really Enough? Why do the courtsusually refuse to get involved in disputes overthe adequacy of consideration?Legal Skills in ActionAccord and Satisfaction Your older sister isabout to be married. She purchased herwedding dress at the Duquesne DepartmentStore. Later, she had the dress altered andadded a special lace trim. Today she saw thesame dress at another store for $245 less thanthe price she paid. When she pays Duquesne,she intends to subtract $245 from the bill. Ina small team setting, discuss whether yoursister is entitled to use accord and satisfactionin this case.172 Unit 2: Entering Into Contracts