Helen worked for ABC Motors for 25 years.The president of ABC said to her: "In consideration of your past service for 25 years,I promise to give you a new car next week." However,he did not give the car.Is this promise legally enforceable?
A)Yes,a contract was formed.
B)Yes,promissory estoppel requires enforcement of the promise.
C)No,legal consideration is absent.
D)No,legal capacity is absent.

Question

Quizplus · Accepted Answer

Past consideration is an act or other benefit given in the past that was not given in exchange for the promise in question.Because the past act was not given in exchange for the present promise,it cannot be consideration.

Helen Worked for ABC Motors for 25 Years