Chapter 6 Self-test questions

Essential features of a valid contract 2: consideration, intention to create legal relations, and certainty of terms
The 'bargain element' feature of a valid contract is _____________.

Which of the following are essential features of a valid simple contract?

Consideration in contract law requires the offeree to ensure the correct formalities of the agreement are written in a document.

Consideration must move from the _______.

Consideration, an essential element in the formation of a valid contract, may be identified as:

Consideration, provided in return for a promise, must move from the promise.

A unilateral contract, where one party makes a promise in return for an act by the other party, involves ________ consideration.

Which of the following is an example of good consideration?

Consideration must be sufficient but need not be adequate.

__________ consideration is performed after an offer is made and is an act to be executed in the future. It is an exchange of promises to perform an act, usually seen in bilateral contracts.

Intention to create legal relations is presumed in which of the following relationships:
i) Husband and wife living together.
ii) Parties to a commercial contract.
iii) Husband and wife who are separated.
iv) Friends who are part of a lottery syndicate.

Where part-payment of a debt has been offered and freely accepted by the other party, this will establish good consideration and therefore a binding agreement. Hence, the remainder of the debt may not be later claimed.

Consideration must be __________ but need not be adequate.

Which of the following does NOT have the right to enforce a contract?

Part-payment of a debt will never amount to good consideration which binds the parties.

Where A gives B a lift to work in A's car and at the end of the journey B expresses his thanks and states that he will give A £10 for her trouble, there is no enforceable contract to enforce the £10 payment if none is received. This is because the consideration provided is ____ and this is not, generally, 'good' consideration to enforce a promise.

Which of the following cases established the doctrine of promissory estoppel?

Social and domestic arrangements are generally presumed not as intending to be legally binding unless this is specifically established in the agreement. On the other hand, in business and commercial arrangements, the presumption is that the parties do intend to create legal relations.

The case Hartley v Ponsonby demonstrated that where the promisee _______ an existing duty, this will be good consideration to enforce the promise.

How would the courts deal with a clause in a contract for the sale of a horse which promised the seller an additional £5 fee if the horse proved to be lucky?

An example of executed consideration is where an order for a good is made with the promise that payment will be made in the future (for example, when the good is delivered), and the other party promises to deliver the goods ordered and receive the payment.

The rule that part-payment of a debt is not good consideration is subject to an equitable defence of _________ ________ which prevents a party who has made a gratuitous promise from reneging.

Which one of the following is incorrect? Consideration must be:

Past consideration is not good consideration, as evidenced in Re McArdle.

The doctrine _____ __ _______ establishes that only parties to a contract may sue or be sued on it.

Which one of the following shows an intention to be bound?

Williams v Roffey Bros. & Nicholls (Contractors) Ltd is authority for the proposition that performance of an existing duty may be held as good consideration.

Contracts must be correctly drafted and sufficiently detailed in order for the responsibilities of the parties to be identified. If this requirement is not satisfied, the contract may fail due to this lack of ________.

Which of the following is NOT necessary for an enforceable contract to exist when supported by past consideration:

The doctrine of privity of contract provides that where one of the parties has made a gratuitous promise, he/she is estopped from reneging on it.

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