denies the existence of what the law regards as a contract That is permissible

Denies the existence of what the law regards as a

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denies the existence of what the law regards as a contract . That is permissible. The second acknowledges the existence of a contract but attempts to exclude the courts’ power to hear disputes arising out of it. That is not permitted. 3.3 Consideration 3.3.1 Definition Consideration is simply the price paid by the promisee for the promisor’s promise. It is a necessary element of simple contracts (those not under seal) for, without it, the promise is merely gratuitous and it cannot be enforced by the promisee (who is referred to as a ‘volunteer’). 3.3.2 Rules regarding consideration Consideration must come from the promisee. The promisee must pay for the promisor’s promise — either directly or by someone acting on his or her behalf. It is not enough that some third party provide consideration merely to benefit the promisee; if a third party provides consideration he or she must do so as the promisee’s agent . If the third party acts simply as a benefactor the promisee is then simply a beneficiary and cannot (normally) enforce the contract in his or her own name. While consideration must come from the promisee, it need not go to the promisor.
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© Stephen Graw 2012 18 A promisor is entitled to direct that it be paid to a third party (for example, ‘if you donate $1,000 to my nominated charity I will nominate you for membership of my club’). Such payments, when made as directed, constitute good consideration and the promise, thus bought and paid for, will be enforceable. In such cases the promisor effectively gets a payment for his or her promise — the benefit received by the third party. Consideration can be either a benefit to the promisor or a detriment to the promisee. This flows logically from the characteristics of consideration that were discussed above — while consideration must move from the promisee it need not necessarily benefit the promisor. It will often do so but that is not necessary. It is enough that the promisee incur some detriment at the request of the promisor with the intention that incurring that detriment will be the required consideration. For example, in Carlill’s case, there was a very real question whether Mrs Carlill had provided good consideration for the company’s promise of a reward for anyone who used its product and still became ill with influenza. The purchase price was clearly consideration for Mrs Carlill’s purchase of the smokeball but it was not necessarily paid for the promise of the reward as well. Some other consideration had to support that promise and the only possibility was the detriment to which Mrs Carlill had subjected herself by using the smokeball in strict accordance with the company’s printed directions. These actions, though they conferred no direct benefit on the company, constituting a detriment to Mrs Carlill and, accordingly, they were enough to be good consideration for the company’s promise of a reward.
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