Mother says to Sissy, “since you have taken care of me all these years, I promise to pay you $100,000 at the end of the year.” Will a court enforce Mother’s promise to Sissy?
No, Mother does not have to pay Sissy because Mother may not live until the end of the year.
No, Mother does not have to pay because Mother’s promise did not induce any detriment by Sissy.
Yes, Mother has to pay because Sissy took care of her.
Yes, Mother has to pay because it was not Sissy’s obligation to care for Mother, thus taking care of her was a legal detriment.
Barry signed an agreement without reading it, but checked off a box in the agreement that stated:
"By checking this box, you agree that you have read and understood the entire agreement and that all terms contained therein are bargained for."
Which of the following statements most accurately states the legal effect of Barry's conduct?
Since Barry really didn’t bargain for anything in the agreement, there is no consideration.
Even though Barry did not read the agreement, if the terms objectively contain the appearance of a bargained for exchange, consideration is present.
Even though it was foolish for Barry to check box without reading the agreement, it is a likely occurrence so a court will not require Barry to perform the agreement.
It is against public policy to enforce a check-off like this if Barry did not, in fact, read the agreement.
Dick entered into an employment agreement with Ajax Company that provides for a set salary and also for a performance-based bonus. Ajax paid Dick his salary for the first year, but refused to pay the performance-based bonus stating that the consideration for Dick’s work was the salary and there was no consideration for the bonus – there must be a separate consideration for the bonus. Dick brought suit against Ajax for the bonus. Who will prevail in this lawsuit?
Dick, because Ajax acted in bad faith.
Ajax, because the salary was in exchange for Dick’s work so there was no consideration for the bonus.
Dick, because one consideration will support many promises.
Ajax, because there is no evidence that the bonus was earned.