Asked by Lucinda Cahill on Apr 27, 2024
Verified
Helen worked for ABC Motors for 25 years.The president of ABC said to her: "In consideration of your past service for 25 years,I promise to give you a new car next week." However,he did not give the car.Is this promise legally enforceable?
A) Yes,a contract was formed.
B) Yes,promissory estoppel requires enforcement of the promise.
C) No,legal consideration is absent.
D) No,legal capacity is absent.
Legal Consideration
An essential element in contract law that refers to something of value exchanged between parties as part of an agreement, which is necessary for the contract to be enforceable.
Promissory Estoppel
A legal principle that enforces a promise in absence of a formal contract, provided individuals have acted in reliance on that promise.
Past Service
The period of service that is counted for the purposes of calculating pensions or other benefits, often before the current benefit plan was in place.
- Assess the legal enforceability of promises in employment contracts and gift promises.
Verified Answer
AG
Amathyst GuillenApr 29, 2024
Final Answer :
C
Explanation :
Past consideration is an act or other benefit given in the past that was not given in exchange for the promise in question.Because the past act was not given in exchange for the present promise,it cannot be consideration.
Learning Objectives
- Assess the legal enforceability of promises in employment contracts and gift promises.