In Gilbert Steel Ltd

question 154

Multiple Choice

In Gilbert Steel Ltd. v. University Construction Ltd., what did the Court find on the issue of consideration?

• A) Because the Court will not look into the adequacy of consideration, a one-sided agreement is enforceable.
• B) A one-sided agreement is, in law, a form of unilateral contract.
• C) A one-sided agreement is not enforceable.
• D) A one-sided agreement is only binding if its essential terms are reduced to writing.
• E) Because commercial parties dealing at arm's length were involved, a one-sided agreement is valid.

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Definitions:

Annuity

A financial product that pays out a fixed stream of payments to an individual, typically used as an income stream for retirees.

Compound Interest

Compound interest is the interest calculated on the initial principal and also on the accumulated interest of previous periods of a deposit or loan.

Present Value

The value today of a sum of money or cash flow expected in the future, adjusted for a particular return rate.

Earnings Rate

The rate of return on investment or the rate at which profits are generated from a business or investment.