Cases, problems, and materials on contracts / Thomas D. Crandall, Douglas J. Whaley.
2012
KF801.A7 C7 2012 (Map It)
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Author
Title
Cases, problems, and materials on contracts / Thomas D. Crandall, Douglas J. Whaley.
Published
New York : Wolters Kluwer Law & Business, [2012]
Copyright
©2012
Call Number
KF801.A7 C7 2012
Edition
Sixth edition.
ISBN
9781454810063 (hbk. : alk. paper)
1454810068 (hbk. : alk. paper)
1454810068 (hbk. : alk. paper)
Description
xxxiii, 918 pages ; 26 cm.
System Control No.
(OCoLC)761334939
Bibliography, etc. Note
Includes bibliographical references (pages xxvii-xxviii) and index.
Series
Record Appears in
Portion of Title
Contracts
Added Author
Table of Contents
Acknowledgments
xxvii
Introduction to the Study of the Law of Contracts
xxix
ch. 1
Intent To Contract: Offer And Acceptance
1
I.
Introduction: The Principle of Mutual Assent
1
Problem 1
1
Lucy v. Zehmer
1
Note
8
Problem 2
8
Problem 3
9
Note on Social Contracts
9
Stepp v. Freeman
10
Note
16
Problem 4
16
II.
The Offer
17
A.
Preliminary Negotiations
17
PFT Roberson, Inc. v. Volvo Trucks North America, Inc.
17
B.
Statement of Opinion or Intention
22
Problem 5
22
C.
Solicitations
22
Problem 6
22
Lefkowitz v. Greater Minneapolis Surplus Store, Inc.
23
Note on Deceptive Practices
25
Problem 7
26
Problem 8
26
D.
Written Contract to Follow
27
Continental Laboratories v. Scott Paper Co.
27
Notes and Questions
31
Problem 9
31
III.
Acceptance
32
A.
Effect of Acceptance
32
Problem 10
32
Problem 11
33
Kortum-Managhan v. Herberger's NBGL
34
ProCD, Inc. v. Zeidenberg
42
B.
Manifesting Assent
49
Restatement (Second) of Contracts [§]50
49
Beard Implement Co. v. Krusa
49
Notes and Questions
57
Fujimoto v. Rio Grande Pickle Co.
58
Problem 12
61
Problem 13
62
C.
Silence as Acceptance
63
Problem 14
63
Day v. Caton
64
Notes and Questions
66
Problem 15
66
Problem 16
67
D.
Knowledge of Offer
67
Problem 17
67
E.
Motive
68
Problem 18
68
F.
Mode of Acceptance
69
Davis v. Jacoby
69
Questions
76
Problem 19
76
IV.
Termination of the Power of Acceptance
77
Restatement (Second) of Contracts [§]36
77
A.
Revocation by Offeror
77
Problem 20
77
Dickinson v. Dodds
78
Questions
81
Petterson v. Pattberg
82
Questions
86
Problem 21
87
Marchiondo v. Scheck
89
Note on Revocation and Option Contracts
92
Problem 22
92
Problem 23
93
Problem 24
93
B.
Lapse of Time
94
Restatement (Second) of Contracts [§]41
94
Loring v. City of Boston
94
Question
98
Problem 25
98
Problem 26
98
Phillips v. Moor
99
Note on the Risk of Loss
101
C.
Termination by Death or Incapacity of the Offeror or Offeree
102
Restatement (Second) of Contracts [§]48
102
Problem 27
102
D.
Termination by Rejection
102
Problem 28
102
Restatement (Second) of Contracts [§]38
103
E.
The "Mail Box" Rule
103
Morrison v. Thoelke
103
Problem 29
110
Note on Option Contracts
111
Note on Offers in International Sales
111
F.
Termination by Counteroffer and the "Battle of the Forms"
111
1.
The Common Law
111
Livingstone v. Evans
112
Note
113
Problem 30
113
2.
The Uniform Commercial Code
114
Problem 31
114
Commerce & Industry Ins. Co. v. Bayer Corp.
116
Note
122
Problem 32
123
Problem 33
123
Klocek v. Gateway, Inc.
125
V.
Indefiniteness
132
Corbin on Contracts [§]29
132
Walker v. Keith
133
Notes and Questions
140
Rego v. Decker
141
Question
145
Problem 34
145
Problem 35
145
ch. 2
Consideration
147
I.
The Basic Concept
147
A.
Definition
147
Adam Smith, The Wealth of Nations (1776)
147
Problem 36
148
Corbin on Contracts [§]110
148
Restatement (Second) of Contracts [§]71
148
Hamer v. Sidway
149
Questions
153
Problem 37
153
B.
Sufficiency
153
Problem 38
153
C.
Adequacy of Consideration
154
Batsakis v. Demotsis
154
Questions
157
Schnell v. Nell
158
Question
160
Problem 39
160
Restatement (Second) of Contracts [§]87
161
II.
Forbearance as Consideration
162
Fiege v. Boehm
162
Problem 40
167
Restatement (Second) of Contracts [§]74
167
Problem 41
168
Problem 42
168
Problem 43
168
III.
The Illusory Promise
169
Problem 44
169
Wood v. Lucy, Lady Duff-Gordon
169
Notes
171
Sylvan Crest Sand & Gravel Co. v. United States
172
Question
175
Problem 45
175
McMichael v. Price
176
Problem 46
180
Corbin on Contracts [§]156
180
Problem 47
181
Restatement (Second) of Contracts [§]77
181
IV.
Past Consideration
182
Hayes v. Plantations Steel Co.
182
Note
187
Mills v. Wyman
188
Notes
190
Problem 48
191
Restatement (Second) of Contracts [§]82
192
Problem 49
192
Webb v. McGowin
193
Notes and Questions
196
Problem 50
197
Restatement (Second) of Contracts [§]86
197
Problem 51
198
V.
The Preexisting Duty Rule
198
A.
The Basic Concept
198
Harris v. Watson
198
Stilk v. Myrick
198
Lingenfelder v. Wainwright Brewery Co.
199
Problem 52
201
Problem 53
201
Problem 54
202
Problem 55
202
Problem 56
203
B.
Past Due Monetary Debts
203
Problem 57
203
Problem 58
204
Problem 59
204
Clark v. Elza
204
Problem 60
208
Problem 61
209
VI.
Promissory Estoppel
210
A.
Historical Development
210
Allegheny College v. National Chautauqua County Bank
210
Questions
217
B.
Basic Applications
217
Restatement of Contracts [§]90
217
Restatement (Second) of Contracts [§]90
218
Problem 62
218
Problem 63
219
Problem 64
219
Universal Computer Systems v. Medical Services Association of Pennsylvania
219
Notes
225
James Baird Co. v. Gimbel Bros.
227
Branco Enterprises, Inc. v. Delta Roofing, Inc.
229
Notes and Questions
233
C.
The Limits of the Doctrine
235
Hoffman v. Red Owl Stores
235
Questions
246
Problem 65
246
Notes
246
VII.
The Need for Consideration
249
ch. 3
Remedies
251
I.
Damages
251
A.
Introduction
251
B.
Measuring Expectation Damages
253
Hawkins v. McGee
253
Questions and Notes
256
Problem 66
257
Peevyhouse v. Garland Coal & Mining Co.
257
Questions
264
John Thurmond & Associates, Inc. v. Kennedy
264
Questions
271
Problem 67
271
C.
The Reliance Interest
272
Sullivan v. O'Connor
272
Anglia Television, Ltd. v. Reed
277
Questions and Notes
280
Note on the Presumption of Breaking Even
280
Problem 68
281
D.
Limitations on the Recovery
281
1.
Certainty
282
Freund v. Washington Square Press
282
Note on Nominal Damages
285
Problem 69
286
Humetrix, Inc. v. Gemplus S.C.A.
286
2.
Foreseeability
294
Hadley v. Baxendale
294
Notes and Questions
296
Problem 70
296
AM/PM Franchise Assn. v. Atlantic Richfield Co.
297
Problem 71
306
Problem 72
306
3.
Avoidability
307
Rockingham County v. Luten Bridge Co.
307
Question
312
Problem 73
313
Problem 74
313
Parker v. Twentieth Century-Fox Film Corp.
313
Notes and Questions
320
Problem 75
321
4.
Damages by Agreement
322
Restatement (Second) of Contracts [§]356(1)
322
Lake River Corp. v. Carborundum Co.
322
Notes
328
Problem 76
329
Problem 77
329
Problem 78
330
Problem 79
330
Note
330
Schurtz v. BMW of North America
331
Notes and Questions
340
5.
Punitive Damages
340
Hibschman Pontiac, Inc. v. Batchelor
341
Notes and Questions
345
E.
Damages Under the Uniform Commercial Code
347
1.
Buyer's Damages
347
Problem 80
347
Problem 81
348
2.
Seller's Damages
348
Problem 82
348
Teradyne, Inc. v. Teledyne Industries
349
Questions and Note
355
II.
Restitution
355
A.
Restitution When There Is No Contract: Quasi-Contract
357
Maglica v. Maglica
357
Problem 83
364
Problem 84
364
Feingold v. Pucello
365
B.
Restitution for Breach of Contract
368
United States v. Algernon Blair, Inc.
368
Notes and Questions
371
Problem 85
372
Rosenberg v. Levin
372
Problem 86
379
Problem 87
379
C.
The Breaching Plaintiff
380
Britton v. Turner
380
Problem 88
383
Problem 89
383
III.
Equitable Remedies
384
A.
The Meaning of "Equity"
384
PHH Mortgage Corp. v. Barker
385
B.
Specific Performance
391
Posner, Economic Analysis of Law
391
Notes and Questions
394
Centex Homes Corp. v. Boag
395
Notes and Questions
398
Laclede Gas Co. v. Amoco Oil Co.
399
Notes and Questions
402
Problem 90
403
Lumley v. Wagner
403
Problem 91
405
ch. 4
The Statute Of Frauds
407
I.
History and Purpose
407
II.
Types of Contracts Typically Covered Under Statutes of Frauds
408
A.
Executor/Administrator Contracts
409
B.
Suretyship Contracts
410
Yarbro v. Neil B. McGinnis Equipment Co.
410
Problem 92
414
Problem 93
414
C.
Made in Consideration of Marriage
414
Problem 94
414
D.
Land Transactions
415
Problem 95
415
E.
The One-Year Provision
415
Professional Bull Riders, Inc. v. AutoZone, Inc.
415
Note
421
Problem 96
421
F.
Modification of Contracts
422
Problem 97
422
G.
Sale of Goods
423
Eastern Dental Corp. v. Isaac Masel Co.
423
Problem 98
427
III.
Satisfaction of the Statute
427
Restatement (Second) of Contracts [§]131
427
Crabtree v. Elizabeth Arden Sales Corp.
428
Notes and Questions
432
Problem 99
433
Problem 100
433
IV.
Mitigating Doctrines and Exceptions
433
A.
Restitution
433
Problem 101
433
B.
Part Performance
434
Wagers v. Associated Mortgage Investors
434
Restatement (Second) of Contracts [§]129
440
Notes and Questions
440
Problem 102
441
C.
Admissions
441
Problem 103
441
Notes
442
Problem 104
442
D.
Confirmations
443
Thomson Printing Machinery Co. v. B. F. Goodrich Co.
443
Problem 105
447
E.
Waiver and Estoppel
447
Problem 106
447
Restatement (Second) of Contracts [§]139
448
Notes and Questions
449
McIntosh v. Murphy
449
Notes
456
ch. 5
The Parol Evidence Rule And Interpretation Of The Contract
459
I.
Introduction
459
Problem 107
459
II.
Parol Evidence Rule
460
A.
Meaning of "Parol Evidence"
460
Problem 108
461
B.
Exceptions to the Rule
461
Restatement (Second) of Contracts [§]213
461
Uniform Commercial Code [§]2-202
461
Mitchill v. Lath
462
Questions
466
Betaco, Inc. v. Cessna Aircraft Co.
468
Questions and Notes
480
Luria Bros. & Co. v. Pielet Bros. Scrap Iron
481
Questions and Notes
483
Lee v. Joseph E. Seagram & Sons
483
Notes and Questions
488
Problem 109
489
Pym v. Campbell
490
III.
Interpretation
493
A.
Admissibility of Evidence of Surrounding Circumstances and Evidence of Intent
493
Eichengreen v. Rollins, Inc.
493
Notes and Questions
498
Pacific Gas & Electric Co. v. G. W. Thomas Drayage & Rigging Co.
500
Notes and Questions
503
Restatement (Second) of Contracts [§]212
505
B.
Admissibility of Evidence of Usage of Trade, Course of Dealing, and Course of Performance
505
Nanakuli Paving & Rock Co. v. Shell Oil Co.
505
Notes and Questions
515
C.
Rules of Interpretation
515
Restatement (Second) of Contracts [§][§]202, 203, 206, 207
516
Problem 110
517
IV.
Conclusion
518
Zell v. American Seating Co.
518
Note
526
ch. 6
Avoidance Of The Contract
527
I.
Introduction
527
II.
Mistake
527
A.
Misunderstanding
527
Raffles v. Wichelhaus
528
Questions
529
Restatement (Second) of Contracts [§]20
530
Problem 111
530
Problem 112
530
B.
Mutual Mistake
531
Sherwood v. Walker
531
Questions and Note
538
Wood v. Boynton
538
Question
541
Corbin on Contracts [§]605
542
Problem 113
542
Problem 114
542
Williams v. Glash
542
Question and Note
549
Bailey v. Ewing
549
Question
553
Note on the Law of Warranty
553
Problem 115
554
Problem 116
555
C.
Unilateral Mistake
556
First Baptist Church of Moultrie v. Barber Contracting Co.
556
Questions
561
Problem 117
561
Problem 118
561
Problem 119
561
Problem 120
562
Note on Unilateral Mistakes in Other than Construction Bidding Cases
562
D.
Reformation
563
Beynon Building Corp. v. National Guardian Life Insurance Co.
563
III.
Fraud
570
Vokes v. Arthur Murray, Inc.
570
Notes and Questions
574
Problem 121
576
Stambovsky v. Ackley
576
Restatement (Second) of Contracts [§]161
581
Cousineau v. Walker
582
Problem 122
590
Note on the Federal Trade Commission Act and State Unfair and Deceptive Trade Practice Acts
591
IV.
Duress and Undue Influence
593
Problem 123
593
Totem Marine Tug & Barge v. Alyeska Pipeline Service Co.
594
Question
602
Kase v. French
602
Odorizzi v. Bloomfield School District
612
Notes and Questions
619
Problem 124
620
V.
Illegality
620
A.
The Effect of Illegality
621
Bennett v. Hayes
621
Question and Note
623
Carnes v. Sheldon
624
Notes and Questions
630
B.
Licenses
632
Problem 125
632
Problem 126
633
Restatement (Second) of Contracts [§]181
633
C.
Contracts in Restraint of Trade
633
Problem 127
634
White v. Fletcher/Mayo/Associates
635
Questions
640
VI.
Incapacity
640
A.
Minors
640
Valencia v. White
641
Note
646
Problem 128
647
B.
Mental Infirmity
648
Problem 129
648
Problem 130
649
Problem 131
649
VII.
Unconscionability
649
Questions
650
Williams v. Walker-Thomas Furniture Co.
650
Note and Question
654
Note on Door-to-Door Sales
654
Problem 132
655
Problem 133
655
AT&T Mobility v. Concepcion
656
Note and Question
670
Weaver v. American Oil Co.
671
Questions
678
Problem 134
678
Note on Unconscionability in the Leasing of Goods
679
VIII.
Impossibility
680
Taylor v. Caldwell
680
Questions
683
Problem 135
683
Nissho-Iwai Co. v. Occidental Crude Sales
683
Problem 136
691
Problem 137
691
Problem 138
691
Problem 139
691
Sunflower Electric Cooperative, Inc. v. Tomlinson Oil Co.
692
Questions
701
Krell v. Henry
701
Questions
705
Problem 140
705
Problem 141
705
ch. 7
Conditions And Promises: Performance And Breach
707
I.
Basic Concepts
707
Problem 142
707
Problem 143
707
Problem 144
708
II.
Express Conditions and Implied-in-Fact Conditions
709
A.
The Policy Concerns
709
Howard v. Federal Crop Insurance Corp.
709
Notes and Questions
713
Jones Associates v. Eastside Properties
714
Question
719
Bright v. Ganas
719
Notes and Questions
721
B.
Conditions Precedent vs. Conditions Subsequent
722
Gray v. Gardner
722
Notes and Questions
724
III.
Some Types of Express Conditions, Including Conditions of Satisfaction
725
Chodos v. West Publishing Co.
725
Problem 145
735
Gulf Construction Co. v. Self
736
Notes and Questions
741
Problem 146
741
Problem 147
741
IV.
Performance and Constructive Conditions
742
A.
Need for Constructive Conditions of Exchange
742
Kingston v. Preston
742
Shaw v. Mobil Oil Corp.
744
B.
Ordering Performances through Constructive Conditions
747
Restatement (Second) of Contracts [§]234
747
Problem 148
748
Problem 149
748
Problem 150
748
Problem 151
749
C.
Substantial Performance of Conditions; the Effects of Material Breach on Performance
750
Jacob & Youngs, Inc. v. Kent
750
Notes and Questions
755
Problem 152
756
Problem 153
756
Problem 154
756
Restatement (Second) of Contracts [§]240
757
O. W. Grun Roofing & Construction Co. v. Cope
757
Note on Substantial Performance vs. Material Breach
761
Carter v. Sherburne Corp.
762
Problem 155
766
Note
766
Problem 156
766
Problem 157
767
Printing Center of Texas, Inc. v. Supermind Publishing Co.
767
Capitol Dodge Sales v. Northern Concrete Pipe, Inc.
771
Notes and Questions
774
Colonial Dodge, Inc. v. Miller
774
Notes and Questions
778
V.
Excuse
779
A.
Prevention and Cooperation
779
Sullivan v. Bullock
779
Question
783
Problem 158
783
Problem 159
783
Note on Good Faith
784
B.
Forfeiture as an Excuse
785
Burger King Corp. v. Family Dining, Inc.
785
Question
795
Note on the Different Uses of the Forfeiture Concept
795
Inman v. Clyde Hall Drilling Co.
796
Note
800
C.
Waiver and Estoppel
800
Problem 160
800
Moe v. John Deere Co.
801
Notes
806
Problem 161
807
D.
Election
808
Problem 162
808
E.
Impossibility
808
Problem 163
808
Problem 164
809
F.
A Short Drafting Exercise
809
Problem 165
809
ch. 8
Anticipatory Repudiation
811
Problem 166
811
Hochster v. De La Tour
811
Questions
813
Problem 167
814
Hope's Architectural Products v. Lundy's Construction
814
Problem 168
823
Restatement (Second) of Contracts [§]252
823
Problem 169
823
Problem 170
824
Problem 171
824
Greguhn v. Mutual of Omaha Insurance Co.
824
Questions
829
Corbin on Contracts [§]965
830
Problem 172
830
ch. 9
Third Party Beneficiaries
833
I.
Types of Third Party Beneficiaries
833
Problem 173
833
Problem 174
833
A.
The Historical Development of Beneficiary Rights
833
Lawrence v. Fox
834
A Digression about Novation
838
Problem 175
838
Problem 176
839
Problem 177
839
Seaver v. Ransom
839
Questions
844
Note on Terminology
844
H. R. Moch Co. v. Rensselaer Water Co.
844
Note on Municipal Contracts
847
Questions
848
B.
The Need for the Restatement (Second) Changes
848
Problem 178
850
Note on the Miller Act
850
II.
Expanding Use of Third Party Beneficiary Concepts
851
Blair v. Anderson
852
Bain v. Gillispie
855
Problem 179
857
Problem 180
857
III.
Rights of the Parties
858
A.
The Promisor's Defenses
858
Restatement (Second) of Contracts [§]309
858
Problem 181
859
Problem 182
859
B.
Vesting of the Beneficiary's Rights
859
Restatement (Second) of Contracts [§]311
860
Board of Education of Community School District No. 220 v. Village of Hoffman Estates
860
Problem 183
865
Problem 184
865
IV.
Mortgages and Third Party Beneficiaries
866
Problem 185
866
Problem 186
867
Problem 187
867
ch. 10
Assignment And Delegation
869
I.
Terminology
869
Problem 188
869
Problem 189
870
II.
Validity of the Assignment/Delegation
870
A.
Performance Obligations
870
Macke Co. v. Pizza of Gaithersburg, Inc.
870
Question
874
Problem 190
875
B.
Payment Obligations
875
Problem 191
875
Herzog v. Irace
875
III.
The Formalities of an Assignment
878
A.
Gifts
878
Problem 192
878
Restatement (Second) of Contracts [§]332
879
B.
Assignments for Consideration
880
Restatement (Second) of Contracts [§]324
880
Problem 193
880
Restatement (Second) of Contracts [§]326
880
Note on Wage Assignments
881
IV.
Limitations on the Assignment
881
Problem 194
882
Problem 195
882
Cheney v. Jemmett
882
Notes
890
V.
Defenses of the Obligor
890
A.
Waiver of Defense Clauses
890
Problem 196
890
Problem 197
891
Ford Motor Credit Co. v. Morgan
892
Note on Debtor's Right to Seek Affirmative Relief
897
B.
Setoff and Recoupment
897
Problem 198
897
Seattle-First National Bank v. Oregon Pacific Industries
898
Question
900
C.
Modifications
900
Problem 199
900
VI.
Warranties by the Assignor
901
Problem 200
902
Restatement (Second) of Contracts [§]333
902
Question
903
VII.
Delegation of Duties
903
Langel v. Betz
903
Questions
906
Problem 201
906
Rouse v. United States
907
Table of Cases
909
Index
915