Syllabus B1e
Recap Notes on Consideration 13 / 22
Consideration is the VALUE in an agreement
It can be goods, service money or a promise of any of these
Both parties must give some form of consideration for a contract to be legal
Therefore you often see people pay £1 for something - just so there is some consideration
There are 3 types of Consideration
Executory and Executed are generally valid
Past is generally not valid
Past Consideration NOT VALID because the law states that the order should be agreement first then consideration, not a past consideration then an agreement
McArdle
However if there was an implied agreement or promise before then that's ok
Lampleigh v Braithwaite
Executed Consideration VALID. This is an action(normally done in return for a promise of money)
Executory Consideration VALID. This is a promise - either to pay or provide goods / services