Asked by Tammara Bazor on May 12, 2024
Verified
The general common law rule on contract modifications holds that an agreement to modify an existing contract requires a(n) :
A) necessary increase in the value of the exchange.
B) inclusion of a new party to the contract.
C) new and independent consideration.
D) economic exchange of substantial value.
Contract Modifications
Contract modifications are changes or amendments to the terms of an existing contract, agreed upon by all parties involved.
Independent Consideration
A separate and distinct value or benefit that is provided in return for a contractual promise or action.
- Acknowledge the effect of consideration in the modification and finalization of contracts.
Verified Answer
AF
Ashlee FortenberryMay 16, 2024
Final Answer :
C
Explanation :
The most important preexisting duty cases are those involving preexisting contractual duties.The general common law rule on contract modifications holds that an agreement to modify an existing contract requires some new (independent)consideration to be binding.
Learning Objectives
- Acknowledge the effect of consideration in the modification and finalization of contracts.
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