Contracts
Happiness and Heartbreak
by Kennedy
ISBN: 9780262374835 | Copyright 2023
Instructor Requests
A casebook to be used as the primary text for first-year law school contracts courses, written by a leading scholar in contract law.
Renting a home, buying a ticket, downloading an app—humans enter into contracts constantly, often with little consciousness of the legal implications. We typically become alert to the consequences only when a problem arises. Contracting can increase our happiness by enabling us to do things that we would otherwise be unable to do, but heartbreak follows when things go wrong. This casebook, which can be used as a primary text for a first-year law school contracts course, covers a wide spectrum of quandaries that emerge in contract law, from problems of overreach and interpretation to enforcement and fraud. Taken together, these cases offer an exploration of contract pathology and introduce students to concepts that are essential to understanding the vast subject of Anglo-American contract law.
This book is part of the Open Casebook series from Harvard Law School Library and the MIT Press.
•Primary text for a first-year law school contracts course
•Developed for use at Harvard Law School by a leading scholar in contract law
•Diverse cases show differing approaches to a range of problems within contracting
•Classroom tested
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| Cover Page (pg. Cov-1) | |
| Title Page (pg. iii) | |
| Copyright Page (pg. iv) | |
| Contents (pg. vii) | |
| 1 | A Note on Contracts and Happiness (pg. 1) | |
| 1.1 Contracts and Happiness (pg. 1) | |
| 1.2 Louis and Ella. The musical selections are advisory not mandatory. They reflect the sensibility and moods behind the ordering of the cases assigned. After reading listen to “Cheek to Cheek” as performed by Ella Fitzgerald and Louis Armstrong. (pg. 2) | |
| 1.3 Bella and Andrea. After reading listen to “Night and Day” as performed by Etta James. (pg. 3) | |
| 1.4 Mary and Samuel Duke. After reading listen to “Our Love Is Here to Stay” as performed by Ella Fitzgerald and Louis Armstrong. (pg. 4) | |
| 1.5 Rick James. After reading listen to “Don’t You Worry ’Bout a Thing” as performed by Stevie Wonder. (pg. 5) | |
| 2 | Public Policy and Contracting (pg. 7) | |
| 2.1 Restatement Second of Contracts §§ 1–2, 178 (pg. 7) | |
| 2.2 The Illegal Contract: His Excellency Abdulaziz Bin Ibrahim Al-Ibrahim v. Edde, 897 F. Supp. 620 (1995) (pg. 9) | |
| 2.3 Note (pg. 12) | |
| 2.4 The Non-competition Clause: Valley Medical Specialists v. Farber, 982 P. 2d 1277 (1999) (pg. 13) | |
| 2.5 Note (pg. 24) | |
| 2.6 Breach of Promise to Marry (pg. 25) | |
| 2.6.1 Gilbert v. Barkes, 987 S.W. 2d 772 (1999) (pg. 25) | |
| 2.6.2 Note (pg. 30) | |
| 2.7 The Problem of Surrogacy (pg. 32) | |
| 2.7.1 The Problem of Surrogacy: Matter of Baby M, 537 A. 2d 1227 (1988) (pg. 32) | |
| 2.7.2 Note (pg. 53) | |
| 3 | Contract Formation (pg. 55) | |
| 3.1 Restatement Second of Contracts §§ 24, 50 (pg. 55) | |
| 3.2 Lucy v. Zehmer, 84 N.E. 2d 516 (1954) (Supreme Court of Virginia) (pg. 56) | |
| 3.3 Note (pg. 63) | |
| 3.4 Leonard v. PepsiCo, Inc., 88 F.Supp.2d 116 (1999) (pg. 65) | |
| 3.5 Normile v. Miller, 362 S.E. 11 (1985) (pg. 81) | |
| 3.6 Walker v. Keith, 382 S.W. 2d 198 (1964) (pg. 89) | |
| 3.7 Note (pg. 97) | |
| 3.8 The Problem of the Standardized Contract: Carnival Cruise Lines v. Shute, 499 U.S. 585 (1991) (pg. 98) | |
| 3.9 Note (pg. 109) | |
| 3.10 The Problem of Online “Click to Submit” Contracting: Specht v. Netscape Communications Corp., 306 F. 3d 17 (2002) (pg. 110) | |
| 3.11 Battle of the Forms: Brown Machine v. Hercules, 770 S. W. 2d 416 (1989) (pg. 126) | |
| 3.12 Note: U.C.C. 2–207 (pg. 133) | |
| 4 | Grounds for Enforcing Promises (pg. 135) | |
| 4.1 Consideration (pg. 135) | |
| 4.1.1 Restatement Second Contracts § 71 (Consideration) (pg. 135) | |
| 4.1.2 Hamer v. Sidway, 124 N.Y. 538 (1891) (pg. 135) | |
| 4.1.3 Note (pg. 137) | |
| 4.1.4 Dougherty v. Salt, 227 N.Y. 200 (1919) (pg. 138) | |
| 4.1.5 Note (pg. 139) | |
| 4.1.6 Plowman v. Indian Refining Co., 20 F. Supp. 1 (1937) (pg. 140) | |
| 4.1.7 Note (pg. 145) | |
| 4.1.8 Batsakis v. Demotsis, 226 S.W. 2d 673 (1949) (pg. 146) | |
| 4.1.9 Allegheny College v. National Chautauqua County Bank of Jamestown, 246 N.Y. 369 (1927) (pg. 148) | |
| 4.1.10 Note (pg. 155) | |
| 4.1.11 Dohrmann v. Swaney, 14 N.E. 3d 605 (pg. 155) | |
| 4.1.12 Note (pg. 164) | |
| 4.1.13 Alaska Packer’s Association v. Domenico, 117 F. 99 (1902) (pg. 164) | |
| 4.1.14 Note (pg. 170) | |
| 4.1.15 Restatement Second Contracts § 89 (Modification of Contract) (pg. 170) | |
| 4.2 Reliance as a Basis for Enforcing Promises: (Promissory Estoppel) (pg. 173) | |
| 4.2.1 Restatement Second of Contracts § 90 (Promissory Estoppel) (pg. 173) | |
| 4.2.2 Kirksey v. Kirksey, 8 Ala 131 (1845) (pg. 173) | |
| 4.2.3 Wright v. Newman (pg. 174) | |
| 4.2.4 Note (pg. 179) | |
| 4.2.5 Katz v. Danny Dare, 610 S. W. 2d 121 (1980) (pg. 180) | |
| 4.2.6 Note (pg. 185) | |
| 4.2.7 Pop’s Cones, Inc. v. Resorts International Hotel, Inc., 704 A. 2d 1321 (1998) (pg. 185) | |
| 4.2.8 Note (pg. 193) | |
| 4.2.9 Berryman v. Kmoch, 559 P. 2d 790 (1977) (pg. 194) | |
| 4.2.10 Note (pg. 199) | |
| 4.2.11 James Baird Co. v. Gimbel Bros., 64 F. 2d 344 (1933) (pg. 199) | |
| 4.2.12 Note (pg. 201) | |
| 4.2.13 Drennan v. Star Paving Co., 51 Cal. 2d 409 (1958) (pg. 202) | |
| 4.2.14 Note (pg. 206) | |
| 4.2.15 Ypsilanti v. General Motors, 1993 WL 132385 (1993) (pg. 207) | |
| 4.2.16 Ypsilanti v General Motors, 201 Mich. App. 128 (1993) (pg. 222) | |
| 4.2.17 Note (pg. 229) | |
| 4.3 Promises Grounded in the Receipt of Past Benefits (pg. 231) | |
| 4.3.1 Mills v. Wyman, 3 Pick 207 (1825) (pg. 231) | |
| 4.3.2 Webb v. McGowin, 168 So. 196 (1935) (pg. 233) | |
| 4.3.3 Note (pg. 236) | |
| 4.4 Restitution (pg. 239) | |
| 4.4.1 Credit Bureau Enterprises v. Pelo, 608 N.W. 2d 20 (2000) (pg. 239) | |
| 4.4.2 Watts v. Watts, 405 N.W. 2d 303 (Wisconsin 1987) (pg. 245) | |
| 4.4.3 Note (pg. 256) | |
| 5 | Remedies (pg. 257) | |
| 5.1 Expectation Damages (pg. 257) | |
| 5.1.1 Handicapped Children’s v. Lukaszewski, 332 N. W. 2d 774 (Wisconsin 1983) (pg. 257) | |
| 5.1.2 American Standard v. Schectman, 427 N.E. 2d 512 (1981) (pg. 262) | |
| 5.2 Specific Performance (pg. 267) | |
| 5.2.1 American Broadcasting Companies, Inc. v. Warner Wolf et al. (pg. 267) | |
| 5.2.2 City Stores v. Ammerman, 394 F. 2d 950 (1968) (pg. 274) | |
| 5.2.3 Doreen Houseman v. Eric Dare, 405 N.J.Super. 538 (2009) (pg. 278) | |
| 5.3 The Foreseeability Limitation (pg. 284) | |
| 5.3.1 Hadley v. Baxendale, 29 Exch. 341 (1854) (pg. 284) | |
| 5.3.2 Note (pg. 286) | |
| 5.3.3 Florafax International Inc. v. GTE Market Resources, Inc. (pg. 286) | |
| 5.4 The Uncertainty Limitation (pg. 302) | |
| 5.4.1 Fera v. Village Plaza, Inc., 396 Mich. 639 (1976) (pg. 302) | |
| 5.5 Injuries for Which Recovery Is Often Withheld (pg. 308) | |
| 5.5.1 Erlich v. Menezes, 981 P. 2d 978 (1999) (pg. 308) | |
| 5.5.2 B & M Homes, Inc. v. Hogan, 376 So. 2d 667 (Ala. 1979) (pg. 321) | |
| 5.6 Mitigation of Damages (pg. 325) | |
| 5.6.1 Rockingham County v. Luten Bridge, Co., 35 F. 2d 301 (1929) (pg. 325) | |
| 5.6.2 Note (pg. 328) | |
| 5.6.3 Parker v. Twentieth Century Fox, 474 P. 2d 689 (1970) (pg. 328) | |
| 5.6.4 Note (pg. 333) | |
| 5.7 Alternatives to Recovering Expectation Damages (pg. 334) | |
| 5.7.1 Reliance Damages (pg. 334) | |
| 5.7.2 Restitutionary Recovery (pg. 342) | |
| 5.7.2.1 United States v. Algernon Blair, Incorporated (pg. 342) | |
| 5.7.3 Agreed Damages/Liquidated Damages (pg. 344) | |
| 5.7.3.1 Restatement Second Contracts § 356 (pg. 344) | |
| 5.7.3.2 Barrie School v. Patch, 933 A. 2d 382 (2006) (pg. 344) | |
| 5.7.3.3 Dobson Bay Club II DD, LLC v. La Sonrisa de Siena, LLC (pg. 363) | |
| 6 | Statute of Frauds (pg. 379) | |
| 6.1 Restatement Second of Contracts § 110 (pg. 379) | |
| 6.2 Crabtree v. Elizabeth Arden Sales Corp., 305 N.Y. 48 (1953) (pg. 381) | |
| 6.3 Alaska Democratic Party v. Rice, 934 P. 2d 1313 (1997) (pg. 386) | |
| 7 | Parol Evidence Rule (pg. 391) | |
| 7.1 Restatement Second Contracts §§ 209–210 (pg. 391) | |
| 7.2 Thompson v. Libby, 34 Minn. 374 (1885) (pg. 392) | |
| 7.3 Rebecca D. Masterson et al. v. Lu E. Sine et al. (pg. 395) | |
| 8 | Problems of Interpretation (pg. 409) | |
| 8.1 Abraham Barkhordar, Sarah Zelasky, and Ella Wechsler-Matthaei v. President and Fellows of Harvard College (pg. 409) | |
| 8.2 Wood v. Lucy, Lady Duff-Gordon, 222 N.Y. 88 (1917) (pg. 417) | |
| 8.3 Note (pg. 419) | |
| 8.4 Frigaliment Importing Co. Ltd. v. BNS International Sales Corp., 190 F. Supp. 116 (1960) (pg. 420) | |
| 8.5 C & J Fertilizer, Inc. v. Allied Mutual Insurance Co., 227 N.W. 2d 169 (1975) (pg. 426) | |
| 8.6 Morin Building Products Co. v. Baystone Construction, Inc., 717 F. 2d 413 (1983) (pg. 445) | |
| 8.7 Locke v. Warner Bros., 66 Cal. Rptr. 2d 921 (1997) (pg. 449) | |
| 8.8 Balla v. Gambro, Inc., 584 N.E. 2d 104 (1991) (pg. 459) | |
| 8.9 Cook v. Advertiser Co., 458 F. 2d 1119 (1972) (pg. 470) | |
| 9 | Defenses against Contractual Liability: The Problem of Over-Reaching (pg. 477) | |
| 9.1 Duress (pg. 477) | |
| 9.1.1 Restatement Second Contracts §§ 175-176 (pg. 477) | |
| 9.1.2 Zuckerman v. Metropolitan Museum of Art, 307 F. Supp. 3d 304 (2018) (pg. 478) | |
| 9.1.3 Austin Instrument v. Loral Corp., 29 N.Y. 2d 124 (1971) (pg. 489) | |
| 9.1.4 Biliouris v. Biliouris, 57 Mass. App. Ct. 149 (2006) (pg. 494) | |
| 9.1.5 Brady v. United States, 397 US 742 (1970) (pg. 499) | |
| 9.1.6 Bordenkircher v. Hayes (pg. 504) | |
| 9.2 Undue Influence (pg. 514) | |
| 9.2.1 Odorizzi v. Bloomfield School District, 246 Cal. App. 123 (1966) (pg. 514) | |
| 9.3 Non-disclosure and Misrepresentation (pg. 521) | |
| 9.3.1 Laidlaw v. Organ, 15 U.S. 178 (1817) (pg. 521) | |
| 9.3.2 Mallen v. Mallen, 622 S.E. 2d 812 (2005) (pg. 522) | |
| 9.3.3 Patel v Navitlal, 627 A. 2d 683 (1992) (pg. 528) | |
| 9.3.4 Note (pg. 534) | |
| 9.3.5 Stambovsky v. Ackley, 572 N.Y.S. 2d 672 (1991) (pg. 534) | |
| 9.3.6 Vokes v. Arthur Murray, 212 So. 2d 906 (1968) (pg. 539) | |
| 9.3.7 Note (pg. 543) | |
| 9.4 Unconscionability (pg. 544) | |
| 9.4.1 Williams v. Walker-Thomas Furniture Company, 350 F. 2d 445 (1965) (pg. 544) | |
| 9.4.2 Note (pg. 548) | |
| 9.4.3 Robert W. Ryan v. Norman D. Weiner, 610 A.2d 1377 (1992) (pg. 548) | |
| 9.4.4 Mitchell v. HCL America, Inc., 190 F. Supp. 3d 477 (2016) (pg. 559) | |
| 10 | Excuses for Nonperformance (pg. 575) | |
| 10.1 Minority (pg. 575) | |
| 10.1.1 Dodson v. Shrader, 824 S.W. 2d 545 (1992) (pg. 575) | |
| 10.2 Mental Incapacity (pg. 582) | |
| 10.2.1 Ortelere v. Teachers’ Retirement Board, 250 N.E. 2d 460 (1969) (pg. 582) | |
| 10.2.2 Note (pg. 591) | |
| 10.3 Mistake (pg. 592) | |
| 10.3.1 Lenawee County Board of Health v. Messerly, 417 Mich. 17 (1982) (pg. 592) | |
| 10.3.2 Nelson Estate v. Rice, 12 P.3d 238 (2000) (pg. 598) | |
| 10.4 Changed Circumstances: Impossibility/Impracticability/Frustration (pg. 600) | |
| 10.4.1 Opera Co. of Boston, Inc. v. Wolf Trap Foundation for the Performing Arts, 817 F. 2d 1094 (19 (pg. 600) | |
| 10.4.2 Lloyd v. Murphy, 25 Cal. 2d 48 (1944) (pg. 612) | |
| 11 | Issues Regarding the Performance of Terms in the Agreement (pg. 619) | |
| 11.1 Express Conditions (pg. 619) | |
| 11.1.1 Lionel Luttinger et al. v. Charles E. Rosen et al. (pg. 619) | |
| 11.1.2 J. N. A. Realty Corp. v. Cross Bay Chelsea, Inc., 366 N.E. 2d 1313 (1977) (New York Court of (pg. 620) | |
| 11.1.3 Note (pg. 630) | |
| 11.2 Substantial Performance (pg. 631) | |
| 11.2.1 Jacob & Youngs, Inc. v. Kent, 230 N.Y. 239 (1921) (pg. 631) | |
| Acknowledgments (pg. 637) | |
| Index of Cases (pg. 639) | |
Randall Kennedy
Randall Kennedy is Michael R. Klein Professor at Harvard Law School where he teaches courses on contracts, criminal law, and the regulation of race relations.
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