Statements which are vague and poorly defined are usually considered illusory promises. For instance, in the "satisfaction clause" case, judges might infer that the parties intended a "reasonableness test" - that the clause could be satisfied if a reasonable person would be satisfied by the promisee's performance, regardless of whether the promisor himself asserts he is satisfied.
For example, a promise of the form, "I will give you ten dollars if I feel like it," is purely illusory and will not be enforced as a contract.
So, mutuality of obligation exists in bilateral agreements, wherein consideration consists of mutual agreements.According to the rule of mutual obligation, the promises made by both parties to the contract, must be supportive of each other. In contrast, an illusory contract, whether it is in written form or an oral promise, is only an illusion of a contract. Either hiring a lawyer to look over a contract that parties have drawn up or letting a lawyer write up the whole contract is a good idea. Could the marketer claim that his promise was illusory because he had the discretion to refuse to promote the album? A valid contract must have some kind of consideration, which has some value that can be determined.A permits B to use his garage, provided B drives A to work every day. Only A is bound by his promise, while B may or may not perform the task of cleaning. While some promises are legally enforceable, some others are not. However, problems arise when a claim is not reasonable or held in good faith (for example, a promise not to sue when a law suit would be frivolous in the first place). These illusory promises can really make tempers flare. But if I'm too tired, I won't do it." In a legal context, a promise is linked to a contract. For example, let’s say a marketer says to a musician, “I’ll promote your new music album if you create the album and if I think it is possible for me to promote your music.” What happens if the musician keeps his side of the bargain but the marketer refuses to promote the album? It is a general principle of contract law that courts should err on the side of enforcing contracts. These non-workable "contracts" are obvious at the time they are written. For example, an offer might be, "I'll fix your car by August 15, 20011," "Okay, I'll pay you $500 if you fix my car by August 15, 2011." Likewise, people may make promises which simply cannot be realistically fulfilled, such as agreeing to buy as much of something as someone is willing to sell.Lack of mutuality can also be grounds for considering a statement an illusory promise. It can't be wishy-washy. If a party to a contract promises something in exchange for the performance of the other, it is a unilateral contract; and if the parties exchange promises, it is a bilateral contract. "Okay." This category only includes cookies that ensures basic functionalities and security features of the website. For example, A tells B, “I may sell my car to you, if you pay me $3000.” In this case, A has left a loophole to escape the obligation of his promise through the words, “I may.” He can choose to perform or not perform the obligation. "Okay" In an illusory promise, the wording might be like this - "I'll paint your house if you pay me $1,000. An illusory promise is a statement which cannot be legally enforced because it is too vague or is impossible to fulfill. For example, if Patty promises to pay $100 and David promises to paint her fence in return for that promise, a court would likely conclude that Patty and David have entered into a contract. For example, a promise of the form, "I will give you ten dollars if I feel like it," is purely illusory and will not be enforced as a contract. An illusory promise is a statement which cannot be legally enforced because it is too vague or is impossible to fulfill. This is also an illusory promise, as the party can rescind or modify the contract at any stage. illusory promise: A statement which appears to be formed into a legal contract but includes the option for the person making a promise to have no actual obligation to perform as stated. If the contract isn't worded correctly, there may not be anything in the contract that compels one party to act in response to the other's demands. In some contracts, the promisor may retain the right to terminate or modify the contract as and when he wishes to. Out of these cookies, the cookies that are categorized as necessary are stored on your browser as they are essential for the working of basic functionalities of the website.