... consideration for the variation. Consideration may arise in the form of both parties agreeing to abandon claims under the previous agreement, or that one party has offered some nominal consideration for the variation. The doctrine of consideration has gradually shifted to the doctrine of economic duress, and is still a comparatively recent development in English law, and therefore still developing. In the case of Pao On v. Lau Yiu Long [1980] AC 614, the issue of whether there had been the necessary coercion of the will vitiating consent, had arisen. Here, the plaintiffs threatened not to perform their promise that they would not sell 60% of their shares in the Fu Chip company for one year unless the defendants, the majority share-holders in the company, agreed to indemnify them against a loss in the value of their shares in that period. The defendants agreed to this demand fearing delays and a ...

See this essay or coursework document in full right now