Contracts Cases - **** ME **********
Schnell v. Nell
1 cent in consideration for $200. Consideration cant be a guise for a gift to be binding.
Sullivan v. O'Connor
3 unsuccessful nose jobs. Reliance method for calculating damages.
Batsakis v. Demotsis
500,000 Drachma ($25 USD) in exchange for 2,000 USD. Inadequacy of consideration does not void contract.
Leftkowitz v. Great Minneapolis Surplus Store
Ad for $1 coats Offer was clear, definite, and explicit
Meyer v. Uber Technologies
Arbitration clause dispute. A smartphone app user has reasonably conspicuous notice of the app's terms of service if a reasonably prudent user would have known about the terms and the conduct that would be required to assent to them.
Norcia v. Samsung
Arbitration clause in 100+ page brochure. No express consent = no mutual assent Silence does not equal acceptance here.
Lingenfelder v. Wainwright Brewery Co.
Architect pissed bc he did not get new contract. He threatened to stop work. Contractor offered him more money but never paid. Pre-existing duty rule
Loring v. City of Boston
Arsonist case with offers in newspaper for reward upon turning in of arsonist. 4 years after ads stop, man turns in arsonist and wants reward. lapse in time = revocation If not stated than a reasonable time depending on context
Kafka v. hess
Aunt sues over improvements to house left to nephew. Since he did not know of benefit occurring, no unjust enrichment. Enrichment damages = value of benefit received
Schnell v. Perlman
Bad onion! lesser amount paid by check (paid in full), it was cashed. Accord and satisfaction
Universal Computer Systems v. Medical Services Association of PA
Bid for computer and subsequent promise to pick up that never happens. Apparent authority test Promise led to reliance and an ultimate detriment. Promissory estoppel.
Hibschman Pontiac v. Batchelor
Car Dealership schemers. Punitive damages when D's actions are tortious.
Hadley v. Baxendale
Carrier did not know Mill could not run without the crank they were transporting. Breached their contract with late delivery. Not responsible for expectation damages if not foreseeable if was not made aware of special situation.
Allegheny College v. National Chautauqua County Bank
Charitable giving to college in exchange for memorial fund. Consideration mutually motivated each other.
Freund v. Washington Square Press
Contract for publication of manuscript breached. Could not establish damages to a reasonable certainty.
Beard Implement Co. v. Krusa
Contract for purchase of a combine. If document expressly states how to accept, must accept in that manner.
Lake River Corp. v. Carborundum Co.
Contract with "minimum quantity guarantee". Liquidated damages must be reasonable, or else penalty clause and not enforceable.
United States v. Algernon Blair inc.
Contractor Breaches contract w subcontractor. Unjust enrichment bc expectation would have resulted in no recovery.
Eastern Dental Corp. v. Isaac Masel Co.
Dental equipment agreement lasting 4 years but nothing in writing. Statute of frauds, goods in excess of $500. No proof of contract existence thus no contract.
Centex Homes Corp. v. Boag
Deposit on condo, breaches contract. Specific performance denied as remedy bc damages were easy to determine. Specific performance only granted if damages are difficult to ascertain.
Stilk v Myrick
Deserters on a boat; Captain promises to pay their wages to rest of crew, but reneged. No new consideration given by workers Pre-existing duty rule
Lucy v. Zehmer
Drunk contract negotiations Objective manifestation of behavior - reasonable person standard
Commerce & Industry Insurance Company v. Bayer Corporation
Fire at mill UCC 2-207 additional terms
PFT Roberson v. Volvo
Fleet agreement over email that was 600 words long and missing necessary elements. No mutual assent if what is agreed to is missing essential terms.
Hawkins v. McGee
Hairy Hand case Expectations damages
Wood v. Lady Duff-Gordon
Influencer breaches contract to give man exclusive right to place endorsements. Influencer argues no consideration. He never promised to place endorsements. implied covenant of "good faith and fair dealing"
1464 Eight LTD. v. Joppich
Land contract with option clause to repurchase if no development. Never turned over extra consideration. Does not matter, just needs to be in contract. The failure to deliver nominal consideration recited in an option contract does not preclude enforcement of the option contract.
Walker v. Keith
Lease of Land contract included provision for additional 10 years without set price. When essential terms of agreement are indefinite (such as price set by fair market value) --> No contract
2949 v. McCorkle
Leased sign for flower company irrevocability (option clause) with no extra consideration is no contract
Rego v. Decker
Leases of gas station and land with option to reknew/purchase. Terms of agreement "certain enough" bc equation to fill gaps. Contract enforceable.
Laclede Gas Co. v. Amoco Oil Co.
Long-term contract supply propane. Specific performance granted because, no damage remedy would fix his need for the supply of propane.
Stepp v. Freeman
Lottery pool Case Implied in fact contract, Repeated course of dealing shows mutual assent.
Morrison v. Thoelke
Man puts acceptance in mail then calls to revoke. Cant do that! Mailbox rule case - Once in mail, offer accepted.
Humetrix v. Gemplus
Medical data app for phones. Positive evidence that company would have made money but for the breach. In this instance an estimation (through economist) is kosher.
Merry gentleman, LLC v. George and Leona Productions, Inc.
Michael Keaton movie. P must show the breach is what caused damages to a reasonable certainty.
Waddle v. Elrod
Niece tries to rip off aunt regarding real estate, gets caught, then goes back on agreement. Email signature satisfied the UEA.
Rockingham County v. Luten Bridge Co.
Notification to stop working on bridge, builder kept building anyway. Duty to mitigate damages. Expectation damages in halt of contract. Amount of OG net profit + amount spent - costs/losses avoided = damages
Dickinson v Dodds
Offer to sell land withdrawn before acceptance. Offers can be revoked at any time absent an option contract/clause
Britton v. Turner
One year employment contract, quits after 9 months. Gets paid despite not finishing contract for work done. Quantum meruit --> value of services given.
Lumley v Wagner
Performance contract for theatre performance. Cant force someone to work, so no specific performance. But can enforce an injunction to keep someone from working elsewhere.
Fujimoto v. Rio Grande Pickle Co.
Pickle company disgruntled employee's new contract. If no mode of acceptance listed, Overt actions/gestures suffice Exception to "silence"
Princess Cruise Lines v. General Electric
Predominant purpose test for boats inspection/replacement of parts. Common law: Mirror image rule --> Counter offer = Rejection
Davis v. Jacoby
Promise to give estate for promise to care for sick wife after Bilateral contract is a promise to perform for a promise to perform
Hoffman v. Red Owl Stores
Promises made by supermarket executive caused great reliance on behalf of Hoffman. Promissory Estoppel
Phillips v. Moor
Purchase of hay burns before it can be given to buyer. If offer accepted and offeror no longer interested. Must let them know right away. Principle of latches
Northrop Corp. v. Litronic Industries
Sale of computer boards Ucc 2-207: Different terms in counter offer (knockout rule - competing terms drop out, gaps filled by UCC) Posner.
Harris v. Watson
Ship in danger, captain offers to pay for "extra work" but never does. Preexisting duty rule: initial contract cannot be modified unless additional consideration is provided beyond the preexisting duties assigned to both parties under the initial contract. ADD TO OUTLINE: The rule does not apply when unexpected or unanticipated difficulties arise during the course of performance of a contract that prompt parties to voluntarily modify the terms of the initial contract.
ProCD v. Zeidenberg
Shrink wrap license case. Accepted by using the product. Easterbrook opinion
Mills v. Wyman
Son returning from sea gets sick, woman cares for him he dies. Father writes letter promising to pay expenses. Never pays. Past consideration is not consideration, moral obligation is not consideration on its own.
Professional Bull Riders v. Autozone
Sponsorship agreement that could be completed in a year. If a contract is for multiple years but can be completed in less than a year, does not have to be in writing to be enforceable.
Peevyhouse v. Garland Coal & Mining Co.
Strip miners lie about fixing property. Value of property before and after supposed to performance would have only been a $300 difference. Court Ruled it would be economic waste to induce specific performance.
Santorini Cab Corp v. Banco Popular North America
Taxi medallions case. Value of item calculated at the point of breach.
Teradyne, Inc. v. Teledyne Industries
Transistor test system, buyer cancels order. Lost volume seller, so expectations damages Damages = net profits expected.
Hamer v. Sidway
Uncle-nephew consideration as refraining from fun shit. Forbearance is consideration
Day v. Caton
Wall built on property line Silence + benefit of services = voluntary acceptance Could be construed as implied in-law contract
Horn Waterproofing Corp v. Bushwick Iron & Steele Co.
Waterproofing job that was only partially completed. "Under protest" on check that said "paid in full". Writing under protest reserves right to collect remained under accord and satisfaction doctrine.
Maglica v. Maglica
Woman benefited her mans business but had no contract. Contract was implied in fact -> therefore Quantum meruit Damages are value of services given
Fiege v. Boehm
Woman does not pursue bastardy claim in exchange for $ to raise kid. Forbearance to sue for lawful claim is sufficient if party believes in good faith at time of agreement the claim was true.
Parker v. Twentieth Century-Fox Film Corp.
Woman gets offered a movie role. Then production company breaches and takes it away, then offered another one again. Production company argued she had duty to mitigate damages and accept new role. Substitute work must be substantially similar; duty to mitigate damages.
Webb v. McGowin
Worker suffers life altering injury saving the other mans life. Exception to moral obligation as consideration. Past consideration for moral obligation + subsequent promise = consideration.