Consideration & contractual terms & mere representations 3

Consideration

• Exchange of promises between parties

• ‘something of value’ must be given in return for the promise

Executory consideration

• A promise or act that is part of a contract and is yet to be fulfilled or completed

• It highlights the fact that the contract is still in progress and that the parties have responsibilities they need to fulfill to bring the contract to completion.

Executed consideration

• A promise for an act

• where one of the parties has done his own part of the bargin

Unilateral contract

• The act of performance or undertaking an action that one party promises to do in exchange for something in the future

past consideration

a situation where an act, service or promise that was performed or given before the contract was made as the basis for the consideration in the contract

adequate consideration

The market value or, consideration equivalent to whatever is promised

sufficient consideration

Consideration which is of some value in the eyes of the law, however little

exception of consideration

if a person’s performance goes beyond the legal duty this could amount to sufficient consideration

Time gap

A time gap between the statement and making of the contract raises presumption that statement is a representation not a term