Contract Law.

The first 200 words of this essay...

Contract Law. First assessed essay.

"The decision of the Court in Williams v Roffey Bros. [(1991) 1 QB 1, Court of Appeal] which suggests that performance of an existing (contractual) duty can constitute consideration where it results in 'practical benefit' to the promisor creates further ambiguity in the scope of consideration in English contract law."

Discuss.

Consideration is the essential part of the contract that comprises a legal agreement. English law requires that in all contracts other than those by deed both parties have to bring something to the agreement i.e. provide consideration to the bargain according to the "benefit - detriment" scheme. This aspect is explained by Sir Fredrick Pollock's definition in Dunlop v. Selfridge1: "An act of forbearance of one party, or the promise thereof, is the price for which the promise of the other is brought, and the promise thus given for value is enforceable." One of the fundamental judicial rules relating to it is that the performance of already existing contractual duty owed to the promisor is not sufficient consideration (based on Stilk v. Myrick2).

However, in Williams v. Roffey Bros.3, quite unusual interpretation was expounded by the Appeal Court judges,