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Business Law Consideration Unit I
Business Law Consideration Unit I
Business Law Consideration Unit I
Consideration
Unit I
CONSIDERATION
INTRODUCTION
1.1. Consideration
Considerationshould
shouldmove
moveat
atthe
thedesire
desire
of
ofthe
thepromisor
promisor
2.
2. Consideration
ConsiderationMay
Maymove
movefrom
fromthe
the
promisee
promiseeor
orany
anyother
otherperson.
person.
3.
3. Consideration
Considerationmay
maybe
bepast,
past,present,
present,
future.
future.
4.
4. Consideation
Consideationmay
maybe
besomething
somethingof
ofvalue
value
Essential of Valid Consideration
• Chinnayya VS Ramayya
Family settlement:-
• Veeramma vs Appayya:-
In case of Agency:-
Where a contract is entered into by an agent
the principle can sue on it.
Essential of Valid Consideration
PAST CONSIDERATION:-
When the consideration was given before the
date of the promise it is said to be past
consideration, but it must be at the request of
the promisor.
PRESENT CONSIDERATION:-
FUTURE CONSIDERATION:-
d. Illusory Consideration:-
COLLINS vs GADEFROY
4. Completed gift :
5. Contract of Agency:-
No consideration is required for forming a contract.
6. Contribution To charity:-
A promise to contribute to charity though
gratuitous, would be enforceable if on the
faith of the promised subscription the
promisee takes definite steps in
furtherance of the objects and undertakes
a liability incurred, not exceeding the
promised amount of subscription.