T/F ACC351 Chapter 11

Ordinarily, courts evaluate the adequacy or fairness of consideration even if the consideration is legally sufficient.

False

Promises made with consideration based on events that have already taken place are fully enforceable

False

Consideration is the value given in return for a promise

True

Promissory estoppel may prevent a party from using lack of consideration as a defense

True

Rescission is the unmaking of a contract so as to return the parties to the positions they occupied before the contract was made

True

The doctrine of promissory estoppel requires a clear and definite promise

True

A promise has no legal value as consideration

False

A covenant not to sue is an agreement to substitute a contractual obligation for some other type of action

True

A promise to do what one already has a legal duty to do is not legally sufficient consideration under most circumstances

True