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Which of the following is a correct rule for valid consideration? 

A

 Consideration must pass from the promisee 

B

 Consideration must be adequate 

C

 Past consideration is generally valid consideration 

D

 Executory consideration is generally not valid consideration 

Which of the following statements is true of consideration? 

A

 Past consideration is sufficient to create liability on a bill of exchange 

B

 Suffering some loss or detriment is not valid consideration 

C

 Consideration can be in the form of any act, even if that act is impossible to perform 

D

 Performance of an illegal act is valid consideration 

Where a party accepts part payment for a debt, they may at a later date request payment of the amount outstanding unless the other party provided extra consideration when making the part payment.  

Which TWO of the following are valid extra consideration for part payment of a debt?

 (1) Payment in the form of goods rather than cash  

(2) Payment by a third party rather than the debtor 

 (3) An intention by the debtor to be legally bound by the part payment 

 (4) A guarantee by the debtor to make the payment on the date agreed in the contract 

A

1 and 2 

B

 1 and 4 

C

 2 and 3 

D

 2 and 4 

 Which of the following statements regarding consideration is correct?

A

 Performance of an existing legal obligation is valid consideration for the promise of additional reward 

B

 Performance of an existing contractual duty is sufficient consideration for the promise of additional reward

C

Performance of an existing contractual duty to a third party is sufficient consideration for the promise of additional reward 

D

 Performance of an extra service in addition to an existing contractual duty is not sufficient consideration for the promise of additional reward 

 Which of the following statements concerning privity of contract is correct? 

A

 Privity of contract means only parties to a contract may sue on it 

B

 Privity of contract is not subject to regulation by statute 

C

 There are no exceptions to the rule of privity of contract 

D

 Privity of contract is only enforceable on commercial contracts 

The Contracts (Rights of Third Parties) Act 1999 sets out the circumstances where a third party has a right to enforce rights they may have under a contract.  

Which of the following statements concerning the Contracts (Rights of Third Parties) Act 1999 is correct? 

A

The third party need not be expressly identified in the contract 

B

 The third party need not be in existence when the contract was formed 

C

 The Act confers rights to third parties under a company's constitution 

D

 The Act confers rights to third parties under employment contracts 

State whether Cid has any right of action against Ace Ltd for the work that he did in attempting to solve the Brag problem 

State whether Ed has any right of action against Ace Ltd for the work that he did in solving the Brag problem 

Which of the following statements regarding consideration is correct?

A

Consideration can be in the form of any act, even if that act is impossible to perform

B

Performance of an illegal act is valid consideration

C

Past consideration is sufficient to create liability on a bill of exchange

D

Suffering some loss or detriment is not valid consideration

Which of the following is executed consideration? 

A

 Providing goods in return for payment at the same time 

B

A promise of payment in return for the provision of goods at a later date 

C

A promise to pay for work already carried out