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From my understanding of the contract law, I know that in a two person contract, there has to be a form of exchange, e.g. a promise of a future payment for a service being done.

If three people (A,B,C) sign a three person contract

  1. does every of them have to provide something to both remaining two?

or

  1. does every of them have to provide something to at least one from the remaining two?

or

  1. does every of them have to provide something to exactly one from the remaining two?

or

  1. does every of them have to provide something to at least zero from the remaining two?

related: one person contract - thread in law stack exchange

Thank you.

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  • As a practical matter, absent an intentionally contrived example, a three person contract will almost never be invalidated for want of consideration.
    – ohwilleke
    Feb 4, 2023 at 1:08
  • I fail to see how that relates to the given question.
    – Jankoo
    Feb 4, 2023 at 5:41
  • Consideration is the formal legal term for something being exchanged in a contract, and generally almost any combination of benefits and obligations is going to constitute a valid contract.
    – ohwilleke
    Feb 4, 2023 at 8:09
  • Thank you for your reply.
    – Jankoo
    Feb 4, 2023 at 11:47

1 Answer 1

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Each party must provide consideration

Who they provide it to is irrelevant - it might be one or more of the other parties or it could be someone not involved in the contract. For example, if you agree to pay me to fix your brother’s car then my consideration is flowing from me to your brother, not to you, but this is still a valid contract.

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