Question

1.Dawn received an unsolicited book by post with a note which said that “…unless the book was returned within 14 days, it would be assumed that the recipient had bought the book for RM70.” Advise Dawn.

2.(a) Explain whether the following arrangements must be made in writing in order to be enforceable.

i. A promise made by Sweet to give RM2500 to Honey who had saved her from drowning.

ii. A promise made Combe to his father’s creditors to cover his father’s betting debts.

iii. A promise made by a business owner to transfer his business to his eldest son.

(b) Explain what do you understand by ‘consideration must be sufficient but need not be adequate’?

Answer 1

Answer 1= If we look at the given case, there is a unilateral contract made by the bookseller, and Dawn os not given any opportunity to negotiate or reject the offer and thus he has the right to refuse the contract and return the book.

Answer 2(a)=

i. A promise made by Sweet to give RM2500 to Honey who had saved her from drowning. = Not in writing

ii. A promise made Combe to his father’s creditors to cover his father’s betting debts. = In writing as the contracts to pay the debt of someone else must be in writing

iii. A promise made by a business owner to transfer his business to his eldest son.= In writing as the contract having the transfer of property or assets are required to be in written form

Reason- The following contract s are required to be in writing to be enforceable =

The promise to pay the debt of someone else

The business contracts

The contracts which have the duration of more than one year

The contracts related to the land

Answer 2b=consideration must be sufficient but need not be adequate indicates that it is important that the consideration must be having some sort fo values to the parties in the contract irrespective of it is suitable to satisfy the return of the agreement or not. So consideration must be with some value