NCA Contracts Practice Questions - NCA Canadian Contract Law Examination Exam

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An uncle promises his nephew, "If you stop smoking until you turn 21, I will pay you $5,000." The nephew refrains from smoking for the agreed period. The uncle dies and his estate refuses to pay, arguing the nephew suffered no real detriment and gave nothing of economic value. Is there consideration?

Yes, because the nephew gave up a legal freedom he was otherwise entitled to exercise No, because abstaining from smoking benefits the nephew and is not a detriment No, because consideration must always be money or goods Yes, but only because the promise was made in writing

Correct Answer:

Yes, because the nephew gave up a legal freedom he was otherwise entitled to exercise

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