Emma, a freelance web developer, enters into a written contract with StartUp Co. to build a website for $5,000, with completion in three months. After two months, StartUp Co. requests additional features and agrees to pay an extra $1,000. Emma agrees to the changes and proceeds with the additional work. Later, StartUp Co. refuses to pay the extra $1,000, claiming the original contract did not account for the additional features. Is StartUp Co. legally required to pay the extra amount?
No, because the original contract did not include the additional features.
Yes, because both parties provided new consideration for the modification.
No, because Emma did not enforce the original terms strictly.
Yes, because the modification was documented in writing.
The modification is binding because StartUp Co. provided new consideration by agreeing to pay an additional $1,000 for the extra features. Under common law, a contract modification requires new consideration to be enforceable, which is present in this scenario.
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What is 'consideration' in contract law?
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Why might StartUp Co. argue that the original contract did not account for additional features?