Jetha and Others v Gordhandas (C.C. No. 61/1936)
Jetha and Others v Gordhandas (C.C. No. 61/1936) [1936] EACA 131 (1 January 1936)
The court held that the promissory note executed by Pitamber was supported by fresh consideration, namely the financial assistance and credit provided by the plaintiffs when Pitamber started his business after his father's bankruptcy. The agreement was not void as contrary to the spirit of bankruptcy law or public policy because the consideration was given to Pitamber, who was not a debtor in bankruptcy, and the promise was enforceable against his estate. The existence of an earlier promissory note and the renewal thereof kept the promise alive and avoided limitation. The defendant failed to…
Source excerpt
- Promissory Note Liability
- Consideration In Contract
- Bankruptcy Claims
- Account Stated
- Public Policy Contracts