Question 1

What is meant by 'practical benefit'?

Accepted Answer

A)  The notion that indirect value can constitute consideration 
B)  The idea that parties are always better off receiving some payment 
C)  The knowledge you gain through practice 
D)  The notion that cash equals consideration

Question 2

A deed is only valid once is bears a wax seal

Accepted Answer

A) True 
 B)False

Question 3

Jorden v Money is a key case in relation to which of the following?

Accepted Answer

A)  Waiver 
B)  Promissory estoppel 
C)  Proprietary estoppel 
D)  Champerty

Question 4

Explain the rule laid out by the Privy Council in Pao On v Yau Liu Long and when it will apply.

Accepted Answer

The answer of Explain the rule laid out by the...

Question 5

To what extent could it be argued that consideration is essentially identical to the concept of reliance?

Accepted Answer

The answer of To what extent could it be argued...

Question 6

Would you be able to sue a newspaper if a free DVD promised to be included in the paper is missing?

Accepted Answer

A)  No, as there is no consideration 
B)  Yes, as consideration can be found for the promise of the DVD 
C)  No, as promotional offers are not meant to be binding 
D)  Yes, as promotional offers are always binding

Question 7

In Williams v Roffey, completing the agreed works on time and avoiding a contractual penalty clause was referred as what, so as to be good consideration?

Accepted Answer

A)  An obviative intervention 
B)  A disbenefit mitigation 
C)  A practical benefit 
D)  A practical disbenefit

Question 8

Define the concept of 'waiver'.

Accepted Answer

The answer of Define the concept of 'waiver'....

Question 9

What is meant by 'past consideration'?

Accepted Answer

A)  That a promise to reward benefit already given is not good consideration 
B)  That a promise to reward benefit already given is good consideration 
C)  That the chronological sequence of promises matters 
D)  That old promises are unenforceable

Question 10

It is said that promissory estoppel is 'suspensory in effect'. What does this mean?

Accepted Answer

The answer of It is said that promissory estoppel is...

Question 11

What is the function of consideration?

Accepted Answer

The answer of What is the function of consideration?...

Question 12

Which of the following are features of 'good consideration'?

Accepted Answer

A)  It is not past consideration 
B)  It is of value 
C)  It must be a physical thing 
D)  It can include the doing of immoral acts

Question 13

Arnold contracts with Nina to paint the interior of her flat for £200. Halfway through the work he asks for an additional £100. Would he be entitled to the extra payment if:

Accepted Answer

A)  He run out of paint and needed to buy more? 
B)  Nina asked him to also paint the exterior of the flat? 
C)  He realised he had undervalued the work? 
D)  He realised Nina could afford more than £200?

Question 14

Which of the following would be regarded as valuable consideration?

Accepted Answer

A)  Agreeing not to sue the promisor for a previous breach of contract 
B)  Agreeing to do an existing statutory duty 
C)  Giving money to a charity nominated by the promisor 
D)  A promise made under a previous contract with the promisor

Question 15

Which of these two cases illustrate the rule that consideration need not be adequate but merely sufficient?

Accepted Answer

A)  Chapel v Hicks 
B)  Foakes v Beer 
C)  Thomas v Thomas 
D)  Chapell & Co Ltd v Nestle

Question 16

Which case established that a promise to keep look after a child and keep it happy was good consideration to pay maintenance to the child's mother?

Accepted Answer

A)  White v White 
B)  Ward v Byham 
C)  Williamsv Roffey 
D)  Re Ward

Question 17

Liar Ltd as part of a promotional campaign offered a free manual shaver to any customer who bought their electric shaving machine between November and December 2008. Would their customers:

Accepted Answer

A)  Be able to demand the manual shaver? 
B)  Not be able, because by saying 'free' Liar Ltd provided no consideration? 
C)  Not be able, because promotional campaigns are not to be taken seriously? 
D)  Be able as promotional campaigns are binding?

Exam 3: Consideration and Other Tests of Enforceability