Consideration

These notes are on the doctrine of Consideration. This chapter provides a detailed breakdown of the general principles and the cases that unpin them. Each case is presented as succinct summary giving the student the citation, the facts that are important. Followed by the ratio of the case and the reason why the case interplays with the general principle. There is also commentary on how the case should be applied when giving advice.

Cases

Definition of consideration

Currie v Misa (1874-75) L.R. 10 Ex. 153

Consideration must be sufficient

Thomas v Thomas [1842] 2 QB 85

Chappell and Co v Nestle [1960] A.C. 87

Past Consideration

Roscorla v Thomas (1842) 3 Q.B. 234

Re McArdle [1951] Ch. 669

Exceptions to the past consideration rule

Lampleigh v Braithwait (1615) 80 E.R. 255, Common Bench

Re Casey’s Patents [1892] 1 Ch. 104

Pao On v Lau Yiu Long [1980] AC 614

Contractual duty to a third party

Scotson v Pegg (1861) 6 Hurl. & N. 295

New Zealand Shipping v Satterthwaite and Co (The Eurymedon) [1975] A.C. 154

Promisee already under a contractual duty

Stilk v Myrick (1809) 170 E.R. 1168, KB

Hartley v Ponsonby (1857) 119 E.R. 1471, QB

Williams v Roffey Bros and Nicholls [1991] 1 Q.B. 1

South Caribbean Trading Ltd v Trafigura Beheer [2004] EWHC 2676

Consideration for the variation of contractual terms

Pinnel’s Case (1602) 5 Co Rep 117a

Foakes v Beer (1884) 9 App Cas 605

Re Selectmove Ltd [1995] 1WLR 474