1L CONTRACTS OUTLINE Candace Mays PART I: FOUNDATIONS OF CONTRACTS AND RELATED OBLIGATION W1, S1 Lecture 08/24 C1. Introduction I. VOCABULARY: o Theory of Obligation (3) o Promissory Estoppel (3) o Common Law (4) Contract and Related Obligation P. 3-34 VOCABULARY: o Non-Commercial Specially Drafted Agreement (5) o Absolute Principle (8) o Specific Performance (Remedy) (14) o Affirmative Defense (19) o Special Verdict (21) o Tribunal of Trial/Courts of Review (25) o Standard Form Agreements (31) Should be used only in situations that are identical to original use, similar in time and nature. o Contracts of Adhesion (32) o Relational vs Discrete Exchange (33) MAJOR CASES: o White v Benkowski Facts: P (White) entered into a contract with neighbor Benkowski (D) for the purposes of receiving water to his home which had no other source. P was to receive water source in exchange for $3 monthly pmt, $400 for the necessary supplies, and 50% of future repairs related to the water source. Contract drafted by non-lawyer and thus lacked significant foresight. When relationship grew unfavorable, D reported experiencing interruption in water access and sued. Complaint w/ Cir Ct of Wis. o D: Motion to Dismiss (Demurrer), denied. Answer filed. Circuit Ct – Trial by Jury. o Special Verdict: $10 Comp, $2000 Pun. Post-Trial Proceeding: o Judgment for $1 in damages (+ court costs) to P. No remedy for punitive damages available. SC Appeal, compensatory damages reinstated ($10), Otherwise affirmed (no punitive) (28). KEY CONCEPTS: o Punitive Damages. not an available remedy for contract breaches except where a recognized tort is pleaded and proved. At the discretion of the jury, never a right. o Compensatory Damages (20) o Nominal Damages (20) – Trivial sum of money. o Pecuniary Loss (20) o (Theories of) Obligation SIGNIFICANT CITATIONS TREATISES, LAWS, RULES, AND STATUTES CITED o o o UCC, Article 2. “Such an amount (remedies sought in breach) must necessarily reflect the damages to you or it will not be legally enforceable. (11) Conflict of Interest in Client-Lawyer Relationship (Model Rules of Professional Conduct, Rule 1.7 (2002) (12). OTHER CASES CITED o Campbell v. Sutliff (1927), 193 Wis. 370 (24). Precedent: allows for Court to revise damages without new trial. o McWilliams v. Bragg – “under proper circumstances, P entitled to recover exemplary or punitive damages. o Kink v. Combs, Fuch’s v. Cooper, precedent. (27) RE: Punitive Damages. Questions 1. What does it mean to take exception following an overruled objection? (21) II. o o III. Major Soc. Resources That Facilitate Agreements + Their Performance P. 34-38 NEW VOCABULARY: KEY CONCEPTS: General Theories of Obligation and their Remedies (Intro) P. 38-41 A. Theories of Obligation (38) B. Remedies o Uniform Commercial Code SS 1-305A (41) NEW VOCABULARY: CASES: o Name o Citation o Facts o Procedural History o Holding o Reasoning Disposition o Dissent o Reflection KEY CONCEPTS: C2. General Theories of Obligation I. Theories of Obligation + Relevance to Lawyers Role P. 51 II. NEW VOCABULARY: MAJOR CASES: o Name o Citation o Facts o Procedural History o Holding o Reasoning Disposition o Dissent o Reflection HONORABLE MENTIONS: KEY CONCEPTS: o Consideration 51-62 Obligation from Agreement w/ Consideration (53) THE LEADING THEORY NEW VOCABULARY: MAJOR CASES: o Name: Hardesty V. Smith, Supreme Ct of Indiana, 1851 (53) Citation: 3 Ind. 39 Facts Procedural History Holding Reasoning Disposition Dissent Reflection o Name: Dougherty C. Salt, NY Ct of App., 1919 (55) Citation: 227 N.Y. 200, 125 N.E. 94. Facts Procedural History Holding Reasoning Disposition Dissent Reflection KEY CONCEPTS: o Consideration, 51-62 W1, S2 Lecture 08/26 Consideration, Cont’d. P. 62-79 NEW VOCABULARY: MAJOR CASES: a. Name b. Citation c. Facts d. Procedural History e. Holding f. Reasoning Disposition g. Dissent h. Reflection HONORABLE MENTIONS: KEY CONCEPTS: Mutuality of Obligation P. 80-94 NEW VOCABULARY: MAJOR CASES: i. Name j. Citation k. Facts l. Procedural History m. Holding n. Reasoning Disposition o. Dissent p. Reflection KEY CONCEPTS: