Understanding Contracts: Consideration, Promises, and Debts, Quizzes of Business and Labour Law

Download Understanding Contracts: Consideration, Promises, and Debts and more Quizzes Business and Labour Law in PDF only on Docsity! TERM 1 Consideration DEFINITION 1 There must be bargainingthat leads to exchangebetween parties; can be anything someone might want to bargain for (promise or action; benefit to promisor or detriment to promisee; promise to door promise NOT to dosomething) TERM 2 Illusory Promise DEFINITION 2 NOT a consideration; i.e. "I'll buy it if I like it " NO contract TERM 3 Requirement Contracts DEFINITION 3 Buyer agrees to purchase 100% of goods from seller TERM 4 Output Contract DEFINITION 4 Seller agrees to sell 100% of output to one buyer, if buyer accepts TERM 5 Past Consideration DEFINITION 5 is NO consideration; past event do notapply to current contracts TERM 6 Preexisting Duty DEFINITION 6 A promise to do something the promisor is already obligated to do is NOT considerationex. If i am required to provide a service, I cannot try to make you pay me to do it, since I am already obligated to youExceptions: Additional work, modification, unforeseen circumstances TERM 7 Liquidated Debt DEFINITION 7 Debt in which there is no dispute about amount owned. If creditor agrees to take less than full amountas full payment, agreement is NOT binding TERM 8 Unliquidated Debt DEFINITION 8 1. Parties dispute is any $ is owed2. Amount is in dispute TERM 9 Accord DEFINITION 9 Agreement to settle for less than creditor claims TERM 10 Satisfaction DEFINITION 10 Actual payment of the compromised sum