American Contract Law for a Global Age, 2017a

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NICKELS, J., dissenting. I disagree with the majority’s holding that the employment contract in the case at bar must be in writing because it falls within the requirements of the Statute of Frauds. The writing requirement applies to “any agreement that is not to be performed within the space of one year from the making thereof.” Commenting on this language, the Restatement (Second) of Contracts observes: [T]he enforceability of a contract under the one-year provision does not turn on the actual course of subsequent events, nor on the expectations of the parties as to the probabilities. Contracts of uncertain duration are simply excluded; the provision covers only those contracts whose performance cannot possibly be completed within a year. Rest. 2d. Contracts § 130, cmt. a. A contract of employment for life is necessarily one of uncertain duration. Since the employee’s life may end within one year, and, as the majority acknowledges, the contract would be fully performed upon the employee’s death, the contract is not subject to the statute of frauds’ one-year provision. See Rest. 2d § 130, illus. 2; see also 72 AM. JUR. 2D, Statute of Frauds § 14 (1974) (“The rule generally accepted by the authorities is that an agreement or promise the performance or duration of which is contingent on the duration of human life is not within the statute”); JOHN D. CALAMARI & JOSEPH M. PERILLO, THE LAW OF CONTRACTS § 19-20 (3d ed. 1987) (“if A promises *** to employ X for life, the promise is not within the Statute because it is not for a fixed term and the contract by its terms is conditioned upon the continued life of X and the condition may cease to exist within a year because X may die within a year”). It is irrelevant whether the parties anticipate that the employee will live for more than a year or whether the employee actually does so. The majority acknowledges that “many courts” subscribe to this view. More accurately, the Restatement rule represents “the prevailing interpretation” of the statute of frauds’ one-year provision. Restatement (Second) of Contracts § 130, Comment a, at 328 (1981). Only a “distinct minority” of cases have ascribed significance to whether the parties expected that a contract would take more than a year to perform. CALAMARI & PERILLO, § 19-18, at 808. According to Williston on Contracts: It is well settled that the oral contracts invalidated by the Statute because not to be performed within a year include only those which cannot be performed within that period. A promise which is not likely to be performed within a year, and which in fact is not performed within a year, is not within the Statute if at the time the contract is made there is a possibility in law and in fact that full performance such as the parties intended may be completed before the expiration of a year. ______________________________________________________________________________ 266 CHAPTER V: CONTRACT DEFENSES
In the leading case on this section of the Statute the Supreme Court of the United States said: “The parties may well have expected that the contract would continue in force for more than one year; it may have been very improbable that it would not do so; and it did in fact continue in force for a much longer time. But they made no stipulation which in terms, or by reasonable inference, required that result. The question is not what the probable, or expected, or actual performance of the contract was; but whether the contract, according to the reasonable interpretation of its terms, required that it should not be performed within the year.” 3 W. JAEGER, WILLISTON ON CONTRACTS § 495 at 575-79 (3d ed. 1960), quoting Warner v. Texas & Pacific Ry. Co., 164 U.S. 418 (1896). Although the majority brands this interpretation “hollow and unpersuasive,” it has a sound basis in the plain language of the statute. Corbin notes: [Courts] have observed the exact words of [the one-year] provision and have interpreted them literally and very narrowly. The words are “agreement that is not to be performed.” They are not “agreement that is not in fact performed” or “agreement that may not be performed” or “agreement that is not at all likely to be performed.” To fall within the words of the provision, therefore, the agreement must be one of which it can truly be said at the very moment that it is made, “This agreement is not to be performed within one year”; in general, the cases indicate that there must not be the slightest possibility that it can be fully performed within one year.” 2 ARTHUR L. CORBIN, CORBIN ON CONTRACTS § 444, at 535 (1950). Courts have tended to give the one-year provision a narrow construction precisely because of the lack of a discernable rationale for it. See Rest. 2d § 130, cmt. a (“The design was said to be not to trust to the memory of witnesses for a longer time than one year, but the statutory language was not appropriate to carry out that purpose. The result has been a tendency to construction narrowing the application of the statute”). I am inclined to do likewise. Since the one-year provision is so poorly suited to the aims it was ostensibly designed to accomplish, I see no compelling reason to expand the provision’s scope beyond the class of contracts to which it applies by its terms. The narrow and literal interpretation that most courts have given to the language of the one-year provision is entirely appropriate under these circumstances. ______________________ Review Question 3. The facts of the McInerney case cut across many of the policy disputes that arise in connection with application of a writing requirement for ______________________________________________________________________________ UNIT 14: THE STATUTE OF FRAUDS 267
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Notices This is the first edition o
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About CALI eLangdell Press The Cent
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Unit 19: Conditions ...............
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hired Corleone family thugs 4 or an
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described herein, and agrees to fre
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6. MARY BETH WHITEHEAD, Surrogate,
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Surrogate and WILLIAM STERN, Natura
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10. Consider paragraph 5. Should th
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The two court opinions that follow
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Venue Venue is a concept of place
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Their first child, Ryan, was born o
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Subsequent to entering into the sur
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The sixth and final argument sugges
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It is argued by amicus that the $ 1
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no stated public policy on surrogac
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IN RE BABY M Supreme Court of New J
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adoption; the sole purpose of the c
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The surrogacy contract violates the
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Problems Donald Donor is a single,
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An Introduction to CONTRACT FORMATI
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particular obligation? In Europe, i
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The evidence is undisputed that pla
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After some negotiation a price of $
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The answer of A.H. Zehmer admitted
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no, that is beer and liquor talking
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on the Zehmers as well as on himsel
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offer and of the reward and its sub
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your professor. You will come acros
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car title you’re holding there. I
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In the modern world, the question o
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pair of sunglasses. The drumroll th
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This letter was apparently sent onw
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Because these cases generally invol
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teenager’s schoolmates gape in ad
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Review Question 3. Note how Judge W
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cash in ten days,” it must be dee
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“Before a contract can be complet
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for the purpose of doing the work a
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accidentally being bound to unwante
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Here, we have a counter-offer. The
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parties.” Metropolitan Sports Fac
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court. See Minn. R. Civ. App. P. 10
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Thus, it clearly appears that the d
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with distribution. The parties ulti
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all essential terms. See, e.g., Sit
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Enclosed, we beg to hand you contra
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to call for an acceptance particula
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than identify himself, Dealer says,
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offer.” More often, they nod, sha
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The next attack will be my end, I a
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from all the facts and circumstance
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Notice to the agent, within the sco
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2. Written approval by United State
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contrary in the offer, the acceptan
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HOBBS v. MASSASOIT WHIP CO. Supreme
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stranger may impose a duty upon ano
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contract in this case come into exi
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An Introduction to CONSIDERATION Th
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and you are free to change your min
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Ridge Runner that she lacked the pr
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We conclude that the territory enco
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He further answered, that it was gi
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This action was brought upon an all
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consideration does in fact benefit
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Review Question 5. The promisors in
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The distinction between such a cond
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Vincent refuses. Fritz eventually s
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enefit was money received, the subs
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they stopped work in a body, and de
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supervise this building. Under the
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The day before trial the plaintiffs
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General rules of law established fo
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For the foregoing reasons we are al
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WEBB v. McGOWIN Court of Appeals of
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100 P. 631 (Kan. 1909); Edson v. Po
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McGowin’s adult child, would that
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efuses, saying, “We had a deal.
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Giles had no right to use it. But t
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BLICESTER: That’s crazy. JUDGE: N
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A. She took the piece of paper and
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According to the undisputed proof,
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We recognize that upon different fa
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was discussed with compensation to
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CONRAD v. FIELDS Court of Appeals o
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her job at Qwest and enroll in law
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Seth Wyman’s estranged son Levi i
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An Introduction to ALTERNATIVE REGI
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consistency. Some provisions have p
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TOUSLEY-BIXLER CONSTRUCTION CO. v.
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of goods within this Article whethe
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differently from other contracts? F
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nine units was delivered and paid f
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think they have struck a deal.” Q
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more sense for contract formation t
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COMMERCIAL CODE § 2-206:12 (3D ED.
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face of which appears the notation,
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Problem 10.3 On June 1, the sales d
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except for personal use. If, howeve
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[T]he plain reading of the statute
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not lubricated in any way. Without
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we also note that Best Bolt’s vic
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(c) are fit for the ordinary purpos
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This purchase order represents the
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provision would cause no “surpris
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FLENDER CORPORATION v. TIPPINS INTE
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well that the reservations each par
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The alternate approach, recognized
Page 224 and 225: (a) Is Ivy League University a “m
Page 226 and 227: and ratified a treaty called the Un
Page 228 and 229: (2) The fact that the parties have
Page 230 and 231: e. Manufacturer in Texas contracts
Page 232 and 233: an authorized distributor of Defend
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Page 236 and 237: Treaty Text Note. Read Articles 18,
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Page 240 and 241: perform a substantial part of his o
Page 242 and 243: shall be settled by binding arbitra
Page 244 and 245: An Introduction to CONTRACT DEFENSE
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Page 248 and 249: which extended even to being able t
Page 250 and 251: Dickerson, 72 Ala. 318 (1882). In t
Page 252 and 253: loss from the transaction, includin
Page 254 and 255: this definition. Whether other area
Page 256 and 257: ORTELERE v. TEACHERS’ RETIREMENT
Page 258 and 259: medicine, this physician “judged
Page 260 and 261: The avoidance of duties under an ag
Page 262 and 263: 7. What is my total service credit?
Page 264 and 265: Review Question 5. In McGovern v. C
Page 266 and 267: will pay the full listed price of $
Page 268 and 269: endeavoured to be upheld by Perjury
Page 270 and 271: Y Contracts that cannot be performe
Page 272 and 273: you think the consideration doctrin
Page 276 and 277: contracts. What is the real purpose
Page 278 and 279: At the ensuing trial, defendant den
Page 280 and 281: There may be cases in which it woul
Page 282 and 283: professional. Things were really ge
Page 284 and 285: GUENTHER v. AMER-TEX CONSTRUCTION C
Page 286 and 287: (b) Subsection (a) of this section
Page 288 and 289: Problem 14.3 Van der Rohe USA, Inc.
Page 290 and 291: sold, the terms of the sale, the na
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Page 294 and 295: The first issue is whether the labe
Page 296 and 297: some point or on some occasion it w
Page 298 and 299: As a matter of law, based on the fa
Page 300 and 301: or, more particularly, in cases suc
Page 302 and 303: “deprived Loral of its free will.
Page 304 and 305: As to mistake, the amended complain
Page 306 and 307: In Weger v. Rocha, 32 P.2d 417 (Cal
Page 308 and 309: I had brought back the topaz, and h
Page 310 and 311: May 5, 1886, plaintiff went out to
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Page 314 and 315: prior to the sale was Buyer aware t
Page 316 and 317: Against Public Policy. In many situ
Page 318 and 319: HANKS v. POWDER RIDGE RESTAURANT CO
Page 320 and 321: interest adversely, and identified
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_____________________ Review Questi
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construed against the employer). Th
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acquired by virtue of effort and ex
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_____________________ Review Questi
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Mere inadequacy of consideration wi
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District of Columbia Court of Appea
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In determining reasonableness or fa
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Problems Problem 16.1 The Californi
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position to all of his patients (or
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An Introduction to TERMS AND INTERP
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contract itself. Thus written docum
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consideration of the simultaneous a
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the contract on the basis of which
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The subject-matter of the written c
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understandings or agreements.” 3
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little time to compose it . . . . A
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expressed in the writing. KN Energy
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Article 8 UNITED NATIONS CONVENTION
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contracts or that parol evidence re
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percent (50%) protein, as tested on
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get the deal they intended, and the
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Cases and Materials W.W.W. ASSOCIAT
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do so because of some identified am
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The truth is that whatever virtue a
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Absent strong public policy conside
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FRIGALIMENT IMPORTING CO. v. B.N.S.
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persuasive if sustained by the reco
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and there is force in defendant’s
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RANDOM HOUSE, INC. v. ROSETTA BOOKS
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language of the grant was broad, en
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F.3d at 1095, would conclude that t
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When Hurricane Rubin strikes the lo
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the business. The contract was sile
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party argues ambiguity), the loan f
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accordance with the terms of this c
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of the advance payments, or the num
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imbibe alcoholic beverages and stil
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significant satisfied requirement o
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TOWN OF FAIRFIELD v. D’ADDARIO Su
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damages. The notice of Kant’s act
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who had turned down lucrative offer
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were to suggest some express provis
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notice of ninety days. The plaintif
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Review Question 2. What was Judge C
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exercising discretion under the con
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NANAKULI PAVING AND ROCK CO. v. SHE
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§ 490:1-102(2)(b). The drafters of
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trade existed in Hawaii in 1969 and
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1978) (unpublished opinion) (holdin
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Plaintiff does not contest its stat
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product. The concept of “merchant
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discovery by defendant of the defec
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Unfortunately, Plumber’s work doe
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An Introduction to PERFORMANCE AND
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doctrine, so that close-enough perf
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the number of joists used in all th
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JACOB & YOUNGS, INC. v. KENT Court
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transgressor must accept the penalt
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was for requiring this kind of pipe
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The evidence is undisputed that the
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eing a new roof. We are not prepare
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This case is simple if the perfect
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yacht remained located at SIYS’ f
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happens by mere operation of law; s
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Problems Problem 21.1 Actor is a ve
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processor for the same price as the
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venue. Under Paradine v. Jane, this
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At trial, the court allowed IH’s
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In order for a supervening event to
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The court interpreted this passage
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economic circumstances sufficiently
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A cancellation order given by her o
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e entitled to judgment. They certai
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performance is excused when unfores
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caused to communications and transp
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Following the closing of the above-
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performance. 407 East 61st Garage,
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Canal, across the Mediterranean thr
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An Introduction to REMEDIES We now
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multiplication and (very rarely) di
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It was also erroneous and misleadin
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and we turn to the question of whet
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testified that the total gas, oil,
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BRANDEIS MACHINERY & SUPPLY CO., LL
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PEEVYHOUSE v. GARLAND COAL & MINING
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explanation as to why a measure of
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work; however, where the contract p
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clear and unambiguous and the parti
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pool contractor to finish the pool
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Nevertheless, the English courts he
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perform the work. As Lee failed to
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UNITED STATES ex rel. COASTAL STEEL
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emanded for those findings. When th
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the substance is that the plaintiff
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the agreement would continue on a m
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Review Question 7. Note the paralle
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product that would be fully functio
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car to the Country Music Museum for
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Restatement (Second) of Contracts s
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Harrahs brings the instant action a
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contest payment for same if constru
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This is in accord with the earlier
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Defendant’s sole defense to this
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particular. Certainly, none of the
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sustained where, from the nature of
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ut will be happy to try to help in
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the full $7,500 price of admission
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Problem 25.2 Mina is a second-year
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other types of specific performance
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imposed as the remedy for breach of
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certainty, then S&M should be compe
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There is simply no requirement in t
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“other proper circumstances” th
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fence plaintiff erected to discoura
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y no means certain, at the time of
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cannot use that method of self-help
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contract price of $533,000) that La
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teacher resigned at the beginning,
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eaching its lease with Perez by the
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An Introduction to CONTRACT NONPART
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fraud, mistake, and illegality. If
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may be the diversity of opinion els
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given him by the will for a particu
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since Lawrence v. Fox in a desire t
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workers’ compensation benefits),
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to divide a lawyer’s loyalty betw
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Review Question 9. Lawyers do many
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Problems Problem 27.1 Hank and Hild
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interested in jumping into such a b
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limitations barred the claims. She
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assigned their claim to recover the
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application to this contract as it
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A breach of contract has been defin
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moved to Arizona and had no further
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It is evident from the express lang
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contracted to assume, and the assig
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March 1 for the conveyance of Purpl
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