Essential Elements of a Valid Consideration
- Consideration must be at the desire of the promisor.
- Consideration may move from promisee or any other person.
- Consideration must be real.
- Consideration need not be adequate.
- Consideration may be in Past, Present, or Future.
- Consideration must be lawful.
Likewise, people ask, what are the characteristics of consideration in law?
The court in the case of Currie v Misa defined consideration as a right, interest, profit, detriment, loss, or responsibility. Its main characteristic is that the promissor must give a promise of something that is of value, and the promisee must give something of value in exchange.
- Executory (Future) Consideration.
- Executed (Present) Consideration.
- Past Consideration.
- Conditional Consideration.
- Unreal Consideration.
- Illegal Consideration.
Hereof, what are the four types of consideration?
Common types of consideration include real or personal property, a return promise, some act, or a forbearance.
What are the rules of consideration?
Legal rules regarding consideration
- Part payment is not good consideration.
- Consideration must move from the promisee but need not flow to the promisor.
- Consideration must be sufficient but need not be adequate.
- Consideration cannot be illusory.
- Consideration must not be past.
What are the three characteristics of consideration?
Three Essential Characteristics of Valid Consideration:
- Legality.
- Adequacy.
- The possibility of performance.
What are the two types of consideration?
Consideration is classified as one of two types:
- executed: when the promise has been performed within the meaning of the contract, or.
- executory: when the promise has not been performed.
What is consideration and features of consideration?
Consideration is the price for which the promise of the other is bought. Consideration means quid pro quo which means something in return. Consideration plays a very significant role in the contract. Section 10 of the Indian Contract Act enumerates (mentions) it as one of the essentials to a valid contract.
What is consideration and what are the two basic elements of consideration?
The consideration exchanged for the promise may be an act, a forbearance to act, or a promise to do either of these. Thus, there are two basic elements to consideration: (1) Legal Sufficiency (something of value in the eye of the law) and (2) bargained for exchange.
What is consideration state the features of valid contract?
Consideration constitutes something of benefit to the person who has the obligation or who makes a promise to do something (the promisor). It can also be something detrimental to the person who wants to enforce the obligation, or who has the benefit of the promise (the promisee).