Pennsylvania
How Angel v. Murray applies in Pennsylvania: state-specific rules, key cases, and bar exam notes for Contracts.
In Pennsylvania, the principle of modifying contracts due to unanticipated circumstances follows the doctrine of consideration. Courts evaluate modifications carefully, often requiring additional consideration to support changes to contracts, aligning with the objective theory of contracts.
In Pennsylvania, the modification of a contractual agreement requires mutual assent, often evidenced by new consideration, except in cases where the agreement falls under the UCC which permits modifications without additional consideration.
The court held that contract modifications must be supported by new consideration unless a statutory exception applies.
The Pennsylvania Supreme Court reaffirmed that a contract must have mutual obligations; lack of consideration invalidates modifications in certain circumstances.
Modification of contracts requires clear demonstration of agreement to altered terms to be enforceable.
Pennsylvania law places greater emphasis on the requirement of consideration for contract modifications compared to the federal approach, which may more regularly accept modifications based on equitable principles even in the absence of additional consideration. This reflects a more rigid interpretation of contract modification under state law.
The principle of strict consideration in contract modifications is relevant in the Pennsylvania bar exam, particularly in the context of contract formation and enforceability issues.