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Anangel Atlas v Ishikawajimi-Harima (No. 2)

[1990] 2 LLR 526

Case summary last updated at 02/01/2020 12:32 by the Oxbridge Notes in-house law team.

Judgement for the case Anangel Atlas v Ishikawajimi-Harima (No. 2)

 X was a ship builder and following a crisis in the industry, faced several cancellations of orders etc. To try and improve business it offered A price reductions for the work that A had already ordered, in the hope of being able to save deals with similar companies. The court found that this deal was valid, applying the Roffey approach, and extended it to say that the opportunity to gain/avoid losing business deals was consideration. NB very great extension since “opportunity” is not a calculable benefit! Furthermore the benefit was not promised nor would necessarily ever be conferred by A, while the source of the desired benefit comes from 3rd parties. CW concludes that consideration after this case is little more than a motive for a promise. 

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