4. Consideration

Abstract

This chapter looks at the requirement of consideration; the basic idea, how it works, that it will usually not be a problem because supplying the consideration is generally the whole purpose of the contract (the ‘bargain’), but that the courts will sometimes ‘find’ consideration when none is readily apparent, and will not require it to be of adequate value. It goes on to consider performance of an existing duty by one party as consideration for a new promise by the other party, particularly in the light of the approach taken in Williams v Roffey Bros. It also looks at the related problem (and emphasizes the relationship) of a promise to forego part of a debt in return for payment of part of what is owed in the light of the traditional approach taken in Foakes v Beer, and the recognition of promissory estoppel in High Trees. The significant case of MWB Business Exchange Centres Ltd v Rock Advertising Ltd (2016) is explored in detail in this chapter.