Asked by Megan Moinipour on Jun 24, 2024
Verified
Raj defends against a breach-of-contract suit by Student Loan Corporation by claiming that their deal-a student loan-was unfair because the consideration for the contract was inadequate. With respect to Raj's defense, the court will most likely rule in favor of the lender on the ground that
A) Raj promised to do something that he had no prior legal duty to do.
B) Raj performed an act that he was not otherwise obligated to undertake.
C) Raj refrained from an act that he had a legal right to undertake.
D) the adequacy of the consideration is not for the court to determine.
Adequacy of Consideration
A legal principle assessing whether the value exchanged in a contract is reasonable and fair to both parties.
Breach-of-Contract
An act of breaking the terms set out in a contract, which can lead to legal consequences and damages.
- Acquire knowledge on the foundational principles of consideration adequacy and the manner in which it is evaluated by the judiciary.
Verified Answer
MB
maria BarraganJun 25, 2024
Final Answer :
D
Explanation :
The court will most likely rule in favor of the lender because the adequacy of the consideration (how much something is worth in a contract) is generally not something that courts decide on. The law assumes that adults can make their own agreements about the value of goods or services exchanged.
Learning Objectives
- Acquire knowledge on the foundational principles of consideration adequacy and the manner in which it is evaluated by the judiciary.