Rhode Island
How Angel v. Murray applies in Rhode Island: state-specific rules, key cases, and bar exam notes for Contracts.
Rhode Island generally follows the principles of modification in contract law as established in Angel v. Murray, recognizing the enforceability of agreements that arise from the necessary modification of a contract when unforeseen circumstances occur. The state emphasizes the need for consideration, but the threshold for what constitutes sufficient consideration can sometimes be less stringent than in other jurisdictions.
In Rhode Island, a contract modification may be enforceable without new consideration if it is fair and equitable, given circumstances that were unforeseen at the time of the original agreement.
This case held that a modification of a contract must be supported by either new consideration or must be based on unforeseen circumstances that make the original terms inequitable.
The court held that a modification made under conditions of mutual assent and in the interest of fairness can be enforceable despite the lack of new consideration.
This decision confirmed the application of fair dealing principles from Angel v. Murray, emphasizing fairness in contract modifications.
Rhode Island's approach aligns with the Restatement (Second) of Contracts, which provides that a modification is enforceable if it is fair and equitable. However, federal law, particularly under UCC § 2-209, tends to be more rigid regarding enforceability unless new consideration is provided, reinforcing a stricter standard for modifications.
Angel v. Murray illustrates key concepts in contract modification, and understanding these principles is essential for the Rhode Island bar exam, particularly in contract law questions regarding enforceability and consideration.