BU231 Chapter Notes - Chapter 7: Estoppel
Document Summary
Chapter 7 formation of a contract: consideration and. Consideration is the price you pay for the promise from the other person. Promise made without bargaining for or accepting anything in return. These aren"t legal contracts i. e. if someone says they will give you a gift and they don"t, you can"t sue them. There does not have to be a fair bargain, there just has to be consideration. You can"t form a contract based off a past gratuitous act, because that is not consideration. Let"s say construction workers are working on a new building and they run into problems so they say they will be abandoning the project, and the boss says keep working overtime and i will pay. ,000 extra to have it completed on time. The construction guys keep working and then the boss doesn"t pay the extra money but the construction guys can"t sue because the original consideration was the building was supposed to be finished on time.
