MI Bar Practice Questions - Michigan Bar Examination Exam

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An uncle promises his nephew $5,000 if the nephew refrains from smoking and drinking until age 21. The nephew complies. When the uncle's estate refuses to pay, the nephew sues. Is there valid consideration (cf. Hamer v. Sidway)?

No, because the nephew benefited from not smoking and drinking Yes, but only if the nephew suffered measurable economic loss No, because a promise to make a gift is unenforceable Yes, because forbearance from a legal right constitutes valid consideration

Correct Answer:

Yes, because forbearance from a legal right constitutes valid consideration

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