The following is a problem from my contracts casebook. I loved this hypothetical. I have my own idea of what the correct answer is, but I will leave that explanation for tomorrow. For now, I would just like to throw it out there and give everyone the chance to think about it. I would also certainly welcome comments if anyone is interested in doing so.
Mark Queensberry was the current holder of a promissory note signed by Sebastian Melmouth. When the note matured, Queensbury came to Melmouth's house to collect. Mrs. Melmouth met him at the door and handed him a promissory note she had signed for the same amount; it was payable exactly one year later. She said to Queensberry that if he would promise her to forbear collecting on her husband's note for one year, at the end of that period she would pay her note if her husband was unable to pay his. Queensberry just grunted and walked away with her note. He did forbear collection activities for one year. Now Queensberry is trying to collect from Mrs. Melmouth. She is arguing that she had asked for a promise and did not get it, and that there is, therefore, no consideration. Is she correct?
1 comment:
I think there is still consideration in this case. Both sides have "given something up", so the fact that Queensberry did not acknowledge the promise is irrelevant. Queensberry's sacrifice is that he is delaying collection of the promissory note from Mr. Melmouth. Mrs. Melmouth's sacrifice is that in exchange for Queensberry's patience, she had to sign a promissory note of her own. Even though Queensberry did not verbalize the commitment, he nonetheless delayed his collection of the mature note form Mr. Melmouth and Mrs. Melmouth signed a promissory note of her own. Consideration still exists.
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