Georgia § 13-3-42 - Acts which constitute consideration; effect of consideration given or received by persons other than promisor or promisee.

§ 13-3-42. Acts which constitute consideration; effect of consideration given or received by persons other than promisor or promisee.

To constitute consideration, a performance or a return promise must be bargained for by the parties to a contract. A performance or return promise is bargained for if it is sought by the promisor in exchange for his promise and is given by the promisee in exchange for that promise. The performance may consist of: An act other than a promise; A forbearance; or The creation, modification, or destruction of a legal relation. The performance or return promise may be given to the promisor or to some other person. If there is a valid consideration for a promise, it does not matter from whom it moves and it may be given by the promisee or by some other person; the promisee may sustain his action, though a stranger to the consideration. In mutual subscriptions for a common object, the promise of the others is a good consideration for the promise of each. (Orig. Code 1863, §§ 2704, 2708, 2711; Code 1868, §§ 2698, 2702, 2705; Code 1873, §§ 2740, 2744, 2747; Code 1882, §§ 2740, 2744, 2747; Civil Code 1895, §§ 3657, 3661, 3664; Civil Code 1910, §§ 4242, 4246, 4249; Code 1933, §§ 20-302, 20-304, 20-306; Ga. L. 1981, p. 876, § 2.) Law reviews. - For article discussing the anachronistic nature of the Georgia Contracts Code as dramatized by comparing the doctrine of consideration as it is formulated in the Restatements of Contracts and in Code 1933, Title 20 (now this title), and the interpretative approach Georgia courts have taken in dealing with such Code, see 13 Ga. L. Rev. 499 (1979). (But see amendments by Ga. L. 1981, p. 876.) For article, "Promissory Estoppel and the Georgia Statute of Frauds," see 15 Ga. L. Rev. 204 (1980). For article surveying developments in Georgia contract law from mid-1980 through mid-1981, see 33 Mercer L. Rev. 67 (1981). For article surveying developments in Georgia real property law from mid-1980 through mid-1981, see 33 Mercer L. Rev. 219 (1981). For article, "Considering the Consideration Approach to Classifying Georgia Contracts In Partial Restraint of Trade," see 10 Ga. St. B.J. 18 (2004).