Is the promise enforceable


Response to the following problem:

Anna Feinberg began working for the Pfeiffer Company in 1965 at age seventeen. By 2002 she had attained the position of bookkeeper, office manager, and assistant treasurer. In appreciation for her skill, dedication, and long years of service, the Pfeiffer Board of Directors resolved to increase Feinbergs monthly salary to $1,400 and to create for her a retirement plan. The plan allowed that Feinberg would be given the privilege of retiring from active duty at any time she chose and that she would receive retirement pay of $700 per month, although the Board expressed the hope that Feinberg would continue to serve the company for many years. Feinberg, however, chose to retire two years later, in 2004. The Pfeiffer Company paid Feinberg her retirement pay until 2011. The company discontinued payments, alleging that no contract had been made by the Board of Directors as there had been no consideration paid by Feinberg, and that the resolution was merely a promise to make a gift. Feinberg sued. Is the promise supported by consideration? Is the promise enforceable? Explain.

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Financial Accounting: Is the promise enforceable
Reference No:- TGS02079639

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