Lou enters into an agreement with LaFancy Inc., an event management company, to coordinate her wedding in June for the sum of $10,000. In March, Lou calls LaFancy to tell the company the deal is off, because she thinks she can do a better job herself. LaFancy sues Lou, and Lou argues lack of consideration as a defense. Which of the following statements holds true of this scenario?
A) LaFancy has given consideration.
B) LaFancy had a legal duty to plan Lou's wedding even before the agreement was signed.
C) Lou can enforce LaFancy's promise to her.
D) Lou was the only promisor in this contract.

Question

Quizplus · Accepted Answer

Since bilateral contracts by definition include two promises, each party is both a promisor (on the promise he or she made to the other party) and a promisee (on the promise the other party made in return). Also, merely making the requested promise is enough for consideration in bilateral contracts cases. Thus, in the given scenario, LaFancy Inc. has given consideration.

Lou Enters into an Agreement with LaFancy Inc