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Could use some help on this scenario!

Discussion in 'Contract Law' started by Niall, Nov 3, 2011.

  1. Niall New law student

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    • Please ask an original question, rather than post coursework questions.
    Ms Poorstudent borrowed £3,000 from Greedbank, agreeing to make twenty monthly instalments of £200, beginning 16 months after completion of studies (£1000 interest). Ms Poorstudent was made redundant after 10th payment. She sent a letter to Greedbank, asking whether they would be willing to accept her redundancy payment of £500 as a final payment on her loan.
    Greedbank agreed and Ms Poorstudent then sent a cheque for £500. Six months later, after a change in the management of their Student Loans Department, Greedbank are seeking to recover the £1,500 that remained outstanding. I need to come up with a case for Ms Poorstudent's appeal to Supreme Court.


    I'm reluctant to appeal on grounds of promisorry estoppel as she suffered no detriment in Greenbanks agreement to accept £500 as full payment.
    Nor am I confident in using Williams v Roffey Bros & Nicholls to argue that the bank benefited from part payment. Also, with regard to payment by a third party, the cheque did not come directly from the appellants employer unlike Hirachand Punamchand v Temple, where the father's part payment was deemed sufficient consideration for new agreement.

    Any insight which may help me build Ms Poorstudent's appeal case is needed.
    Thanks.
    Niall, Nov 3, 2011
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  2. Molineux Super Moderator

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    What you need is to understand examination technique.

    Of course there is not adequate facts to reach a conclusion - it is for you to argue whether a case of prosmissory estoppel can be made out, on the question of law what must be proved and the remedies. You are to advise what your client need to show, on what case theory, in order to succeed.
    Molineux, Nov 4, 2011
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