BU231 Chapter Notes - Chapter 7: Contract
Document Summary
An accepted offer is not an enforceable contract unless it has consideration, the accepted offer must form a bargain. Bargain each party pays a price for the promise of the other. In a unilateral contract the price paid for the offerors promise is the act done by the offeree. In a bilateral contract the price paid for each party"s promise is the promise of the offer-this price is called consideration. Consideration the price for which the promise of the offer is bought. So long as the promisor bargains for the other party to do something or to promise to do something the promisor will have received. Gratuitous promises a promise made without bargaining for or accepting anything in return. Even when accepted by the offeree the promise is not enforceable contract in law, people are ethically expected to perform their gratuitous promises, cannot be sued if they don"t.
