Valid Consideration in Contracts: Understanding the Doctrine of Past Consideration

when is past consideration valid?

where is was expected or implied all long because it is seen as securing an amount after the initial agreement.

Past consideration is not generally considered valid consideration for a contract. In order for consideration to be valid, it must be something of value that is exchanged between the parties to the contract at the time of the agreement. Consideration is the essential element of a contract, and it must be present for the contract to be enforceable.

Under the doctrine of past consideration, consideration that was provided before the contract was made is considered insufficient. This is because the consideration was not provided in exchange for a promise to perform a certain act or provide a certain good or service in the future.

However, there are some exceptions to this rule. One exception is if the past consideration was given at the request of the promisor. For example, if an employer promises to pay an employee a bonus for work that was performed in the past, this may be considered valid consideration if the employer specifically requested the employee to perform that work.

Another exception is if the parties agree that the past consideration is valid consideration. This may occur in situations where the parties have an ongoing business relationship or where one party owes a debt to the other.

Overall, it is important to understand that past consideration is generally not considered valid consideration for a contract. It is important to exchange consideration at the time the contract is made to ensure that it is legally enforceable.

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