CHAPTER 3 Consideration Privity of contracts Durga Prasad v Baldeo (promissory Estoppel at the desire of promise) plaintiff on order of collector

or builds shops shops occupied by third parties who would pay him 1/3rd commission on items sold held no consideration as shops were not built at desire of the occupiers It was built at desire of collector Govt announces sales tax emption on factory after 3 yrs of starting chief secretary announces then moti starts working and in between govt takes scheme back. they new companies would act upon it fuck everything else , moti acted on their promise and hence they cannot take the scheme back Construction of town hall given that enough subscriptions are received defendant subscribed work started didnt pay argued no consideration held it was at the request of defendant consideration was starting construction of hall hence liable . Repair of temple going on- more money required ask subscriptions not pay not liable work not started at desire of the defendant therefore no consideration Minor girl married to a guy fathers enter into a contract for certain amount for certain amount of money to daughter daughter can sue cause she is the beneficiary. A third party cannot sue in contract even if it is benefiting because its stranger to contract. Highland bank had to pay debt to Travancore bank kc chako took guarantee 2 sons gift deed said mc will pay Travancore sue mc not valid as that family arrangement travanacore was third party it cannot enforce the deed cause they were not part of this arrangement. Acknowdgement or Estoppel A sell house to B, part payment was suppose to be done to C creditor of A B paid some amount and informed C about agreement C could sue B because B acknowledged liablilty. Trust is created by contract Marriage settlement, or other family arrangements. Daropti v. Jaspat Rai Husband illtreats wife she leaves husband contracts with father

Motlal sugar mills v. state of up

Kedar Nath v. Gorie Mohamed

Doraswami Iyer v Arunchala Ayyar

Khwaja Muhammad Khan v. Hussaini Begum(privity no)

Tweddle v. Akitson

M.C Chako v. state bank of Travancore(privity upheld)

Exeptions of privity Devaraja urs v. Ram Krishnaiah (acknowledges it to third person)

Khwaja

to treat well or pay maintenance wife can sue in this case Covenants of running land Smith v. River douglas board Board contract with landowners landowners sell property after that land get harmed new owners can claim damages

Continue Eastwood v Kenyon (past consideration) Father of a minor girl died A takes care of the girl fathers estate insufficient takes loan for benefit of minor minor promises to pay in future after majority minor starts paying back and A transfers property to the girl . Girl get married to defendant defendant pays for some time stops court held that consideration happened in past and past consideration is no consideration Past consideration on request is chill About the other part i.e. promise to pay at request , act without promise to pay is not covered in provision , promise made subsequently is cool , and implied promise is chill too. Son owed money to dad would irritate dad all the time that not treated equally father promised to discharge debt if stops irritating not valid consideration and hence not valid contract consideration should have some value the adequacy of consideration is not for court to decide , its on the parties however court can just take into notice adequacy to figure free consent Wife to sue husband gives up right to sue in return of monthly allowances Forbearance to sue is good consideration Performance of an already existing duty is no consideration.

Lampleigh v brathwait But in Indian law due to section 25 (2) past consideration is chill consideration. White v. Bluett

Bolton v Madden

Radha Rani v Ram Das

Chetti v Chetti (madras high court) American fireman case

Fireman would be paid to save the wife dead or alive it was considered good consideration. Doing or agreeing to do more than ones official duty will serve as consideration Compliance with obligation not amounting to a consideration.

Ramchandra v kalu raju

Pinnels case

Payment of amount less than the amount due cannot be regarded as consideration and court held that such no body would accept such an agreement. Exceptions to this 1. 2. 3. 4. Part payment by 3rd party Composition compromise entered Payment before time Promissory estoppel

Thomas v Thomas

Husband on deathbed tell executor that wife should enjoy the house executer get in a contract with wife for 1 pd rent and to keep house in repair and stuff courts held motive is not same as consideration motive of entering into contract would not be considered as consideration contract was seen binding cause 1pd rent was seen as consideration.

Section 25 Rajlukhy dabee v. bhootnath mookherjee Husband promise to pay wife fixed sum of money contract not seen as natural love and affection as if it was natural love, they wouldnt have separated Brothers property disputes had bad terms from long time registered half of his property for brother court held natural love and affection and is for reconcilation

Bhiwa v Shivaram

State bank of India v Dilip Chandra

Father had debt died son said that he was willing to pay the principle time bound debt held liable

Currie v. Misa A valuable consideration, in the sense of the law, may consist either in some right, interest, profit, or benefit accruing to the one party, or some forbearance, detriment, loss, or responsibility, given, suffered, or undertaken by the other...