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1)If private company issue shares by acceptance of good or services at an undervalue
then in such a case consideration received by private company would be adequate or would it be inadequate?2) In Chappell Co V Nestle Co 1960 case, chocolate wrappers were treated as consideration, although we know that consideration must be sufficient i.e must have some monetary value, so here how the wrappers were treated as consideration? How wrappers can have monetary value?
1) put numbers to it and it should be clearer. Think in terms of “fair value” and “value attributed to the goods or services for the purposes of determining the value of consideration received” and then compare that figure with the nominal value of shares issued
2) the wrappers were evidence of the purchase in the past of 5 Boys chocolate bars and they therefore had a value in the fact that they proved this historic purchase
OK?
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