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CIVIL PROCEDURE
CONSTITUTIONAL LAW
CONTRACTS
V
CRIMINAL LAW
I. General Principles.................................................................................................................308
II. Crimes against the Person....................................................................................................316
III. Crimes against Property .......................................................................................................331
IV. Inchoate Crimes.....................................................................................................................344
V. Parties to Crime; Accomplice Liability...................................................................................349
VI. Defenses................................................................................................................................352
REAL PROPERTY
TORTS
I. Intentional Torts.....................................................................................................................458
II. Negligence.............................................................................................................................475
III. Strict Liability.........................................................................................................................508
IV. Products Liability...................................................................................................................511
V. Nuisance................................................................................................................................522
VI. Defamation............................................................................................................................528
VII. Invasion of Privacy.................................................................................................................537
VIII. Wrongful Institution of Legal Proceedings.............................................................................540
IX. Economic Torts......................................................................................................................543
X. Miscellaneous Tort Concepts................................................................................................549
VI
Civil Procedure
2
TABLE OF CONTENTS
Pleadings.....................................................................................................................................29
Rule 11.........................................................................................................................................33
Provisional Relief.........................................................................................................................34
Joinder of Claims and Parties......................................................................................................36
Pretrial Conferences and Orders.................................................................................................45
Discovery.....................................................................................................................................47
Adjudication without a Trial .........................................................................................................60
V. MOTIONS
General Rules..............................................................................................................................66
Pre-Trial Motions..........................................................................................................................66
Post-Trial Motions........................................................................................................................69
Jury Verdicts.................................................................................................................................73
Judicial Findings and Conclusions...............................................................................................74
Effect of Verdicts—Claim and Issue Preclusion...........................................................................75
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7
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law claims that do not involve diversity jurisdiction) [28 U.S.C. § 1367].
Supplemental jurisdiction permits a claim falling outside of federal
question jurisdiction or diversity jurisdiction to “piggy back” on a claim
that does fall within one of those jurisdictions.
b. To exercise supplemental jurisdiction over an additional claim, there
must be a claim over which a court has original jurisdiction [Id.]. In other
words, supplemental jurisdiction is only available over a claim if the claim
arises out of the same transaction or occurrence as a claim over which
the court would have federal question or diversity jurisdiction.
(1) Claims arise out of the same transaction or occurrence if they
arise out of a common nucleus of operative fact.
EXAMPLE: C was injured when he was wrongfully arrested by a
police officer. The federal courts have jurisdiction to hear his claim for
violation of his federal constitutional rights [42 U.S.C. §1983]. The fed-
eral courts have supplemental jurisdiction to hear his state law claim
against the arresting officer for battery arising out of the same incident.
c. Supplemental jurisdiction may include claims that involve the joinder or
intervention of additional parties, even if there would not otherwise be
federal jurisdiction over those parties.
(1) In a diversity case, supplemental jurisdiction may be exercised
over the claims of a party other than the plaintiff if the only reason
the other party’s claims do not qualify for diversity jurisdiction is
the failure to meet the amount in controversy requirement.
EXAMPLE: A nine-year-old child seriously injures her hand on
a can of fish sold by a corporation incorporated and having its
principal place of business in another state. The child’s injuries
meet the amount in controversy requirement. The child’s mother
also has a state-law claim against corporation, but the amount of
her claim does not meet the amount in controversy requirement.
The federal court may exercise supplemental jurisdiction to hear
mother’s claim along with child’s claim.
(2) In a diversity case, a court may not exercise supplemental jurisdic-
tion over a claim by a plaintiff proposed to be joined under Rule 19
(compulsory joinder), or a claim by a plaintiff seeking to intervene
under Rule 24, when exercising supplemental jurisdiction would
destroy complete diversity of the parties [28 U.S.C. § 1367(b)].
(3) Moreover, in a diversity case a court may not exercise supplemental
jurisdiction over claims by plaintiffs against persons made party to
the suit under Rule 14 (impleader) 19, 20 (permissive joinder), or 24.
(4) If non-diverse parties are joined to a case, and there is no supple-
mental jurisdiction to hear their claims, the court may dismiss
only the claims of the non-diverse parties.
d. Even if the additional claim arises out of the same transaction or occur-
rence and the plaintiff is not trying to circumvent diversity jurisdiction,
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CIVIL PROCEDURE
the court may (but is not required to) decline to exercise supplemental
jurisdiction in the following situations:
(1) the state law claim raises a novel or complex issue of state law;
(2) the state law claim “substantially predominates” over the claim
over which the district court has jurisdiction;
(3) the court has dismissed all the claims over which it had jurisdiction; or
(4) in “exceptional circumstances,” there are other “compelling
reasons” to decline jurisdiction.
4. Concurrent Jurisdiction
a. A federal court has concurrent jurisdiction over a particular case if the
case could also have been brought in state court.
b. When a court has concurrent jurisdiction to hear a case, both state and
federal laws or policies may apply, resulting in a conflict of laws.
5. Removal
a. A case that was originally brought in state court may be removed to
federal court if the plaintiff could have brought the case in federal court
[28 U.S.C. § 1441]. The defendant in such a situation has a right to
remove or shift that case from state court to federal court.
(1) Note that removal is only an option for defendants; plaintiffs cannot
remove a suit to federal court after having chosen state court.
b. If removal is based on diversity, all of the defendants must be diverse
from the plaintiff. Removal on the basis of diversity will not be granted if
any of the defendants is a citizen of the forum state.
(1) Under the fraudulent joinder rule, the right to removal will not be
defeated if a defendant was fraudulently joined for the purpose of
defeating diversity jurisdiction and preventing removal to federal
court [Marshall v. Manville Sales Corp., 6 F.3d 229 (4th Cir. 1993)].
(a) A party who claims fraudulent joinder has the burden of proving:
1) that there is no possibility the plaintiff would be able to
establish a cause of action in state court against the
in-state defendant; or
2) that there was outright fraud in the plaintiff’s pleading of
jurisdictional facts.
(2) The fraudulent joinder rule applies to defendants named in the
original complaint, as well as to those joined as parties any
time prior to removal [Mayes v. Rapoport, 198 F.3d 457 (4th Cir.
1999)]. In other words, if the removal is based on diversity, diver-
sity is needed both at the time the original claim is filed and at the
time when the notice of removal is filed.
c. The defendant has the right to remove when the plaintiff is suing the
defendant in a jurisdiction that is not the defendant’s home state.
However, if the plaintiff is suing the defendant in state court located
in that defendant’s home state, there is no risk of being “homered.”
Therefore, that defendant cannot remove [28 U.S.C. § 1441(b)(2)].
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(2) The defendant has the burden of showing that the removal was proper.
6. Dismissal
a. The court must dismiss an action if it determines that it does not have
subject-matter jurisdiction over the case [Fed. R. Civ. P. 12(h)(3)].
b. Lack of subject-matter jurisdiction may not be waived by the parties.
7. Lawsuit Based on Invalid Law
a. A lawsuit cannot be filed based on an invalid law. If an action has
been removed to federal court and the court determines that this is
the case, it must either be dismissed or remanded back to state
court for an amended complaint.
b. The federal court cannot consider any pleading subsequent to the removal
petition. If the action is remanded and an amended complaint is filed, the
defendants can file to remove the case to federal court a second time.
B. Territorial Jurisdiction
1. Territorial jurisdiction is the authority of a court to bind a party to the action.
There are three essential ways to establish territorial personal jurisdiction:
a. a federal court has territorial jurisdiction over the state in which that
federal district is located;
b. a federal statute that creates a cause of action may provide that
federal courts have nationwide jurisdiction; or
c. the “100 mile bulge” rule states that a federal court may exercise
jurisdiction over a defendant outside the state in which the court is
located if the defendant is joined under Rule 14 or 19 and is served
within a judicial district of the United States not more than 100 miles
from where the summons was issued [Fed. R. Civ. P. 4(k)].
(1) In order for jurisdiction to be proper under this rule, the defendant
must have the type of minimum contacts with the “bulge” that
would support personal jurisdiction for a court in the “bulge.”
C. Personal Jurisdiction
1. Personal jurisdiction refers to a court’s authority over a defendant.
Personal jurisdiction must be established separately for each defendant.
There are three types of personal jurisdiction:
a. in personam jurisdiction over the parties;
b. in rem jurisdiction over the property that is the subject of the action; and
c. quasi in rem jurisdiction over property that is attached to satisfy the
judgment in an action.
2. In personam jurisdiction is jurisdiction over the parties to a lawsuit. The
defendant typically is physically present in the forum state, or has some
significant contacts with the state. To determine whether a federal court has
personal jurisdiction over a particular party, the personal jurisdiction law of
the state in which the federal court sits must be satisfied and the exercise
of personal jurisdiction must comply with the United States Constitution.
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CIVIL PROCEDURE
NOTE Many states authorize personal jurisdiction to the full extent of the Fourteenth
Amendment. If a state does that, all you need to do is determine whether
personal jurisdiction over a particular defendant is permissible under the
Constitution. If it is, then both state law and constitutional law are satisfied.
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(4) Consent
(a) If the defendant consents to the federal court’s personal
jurisdiction over him, personal jurisdiction is constitutional.
1) A person may expressly consent to personal jurisdiction
by agreement with the other party. For example, parties
to a contract often put a choice-of-forum clause in their
contracts that specifies the forum in which any lawsuit
arising from the contract must be litigated. If a defendant
signs a contract with a choice of forum clause, she has
consented to the power of the court specified in the clause.
EXAMPLE: A man obtains a line of credit from the
bank. The credit agreement provides that all disputes
relating to the agreement will be heard by the federal
district court in Delaware. The man has consented to
personal jurisdiction in Delaware.
2) A state may provide by law that a non-resident has consented
to personal jurisdiction in that state if the non-resident
engages in a particular activity that the state has a substan-
tial interest in regulating, such as driving on public roads.
EXAMPLE: A non-resident who drives a car in
another state has given his implied consent to
personal jurisdiction in that state, for suits arising out
of his operation of a car in the state.
3) A party can also consent to federal jurisdiction by waiving
her objection to personal jurisdiction. If a defendant
appears in court without making a motion to dismiss for
lack of personal jurisdiction, or does not include lack
of personal jurisdiction in a responsive pleading, the
defense is waived [Fed. R. Civ. P. 12(h)(1)]. The defendant
must object to personal jurisdiction in its initial filing or
appearance before the court. A defendant does not waive
objections to lack of personal jurisdiction by making an
appearance before the court to contest jurisdiction.
(5) Service
(a) If a defendant is physically present in the jurisdiction, and
is served with process while present, the court’s exercise of
personal jurisdiction over the defendant is constitutional.
1) It does not matter that the defendant’s presence in the juris-
diction is temporary, or that it is unrelated to the lawsuit.
2) The defendant’s presence must be voluntary, the
plaintiff cannot have coaxed the defendant into the
state under false pretenses. Moreover, personal
jurisdiction would not be constitutional if the defendant
is in the forum state to participate in a legal proceeding.
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(1) If the dispute concerns the parties’ rights in the property itself,
the presence of the property in the state will provide sufficient
minimum contacts.
(2) The minimum contacts requirements for quasi in rem jurisdiction
are similar to those for in personam jurisdiction.
(3) The minimum contacts requirements make quasi in rem jurisdiction
a rarely used gap filler. It is used only when the constitutional require-
ments (minimum contacts, and a finding that the exercise of jurisdic-
tion does not offend traditional notions of fair play and substantial
justice) are satisfied, but in personam jurisdiction is unavailable
because the long-arm statute does not authorize jurisdiction.
5. Judgment Entered without Personal Jurisdiction
a. If the court entered a judgment against a defendant over whom it did
not have constitutional personal jurisdiction, that judgment is void and
not entitled to Full Faith and Credit by another court.
b. However, a judgment has preclusive effect on future litigation if the
defendant in the first case had the opportunity to challenge personal
jurisdiction and either:
(1) waived the personal jurisdiction challenge; or
(2) made the personal jurisdiction challenge and lost.
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NOTE This part of the Erie analysis (when there is no valid federal statute or constitution
provision on point) is really the substantive versus procedure law distinction. If this
inquiry instructs the court to apply state law, the state law is called “substantive”
regardless of its true nature. If this inquiry instructs the court to stick with ordinary
federal practice, that practical is called “procedural,” regardless of its true nature.
e. Although the rules discussed above are the steps to apply in an Erie
analysis, there is general agreement that certain substantive state laws
should be applied in federal diversity cases.
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(1) Federal courts in a diversity action will apply the statute of limita-
tions of the state in which the court sits.
(2) Federal courts in a diversity action will apply the choice-of-law
rules of the state in which the court is located.
f. On the other hand, the Supreme Court has held that the right to a jury
trial in federal courts is to be determined as a matter of federal law.
The court held that “[i]n diversity cases, the substantive dimension of
the claim asserted finds its source in state law, but the characteriza-
tion of that state-created claim as legal or equitable for purposes of
whether a right to jury trial is indicated must be made by recourse to
federal law” [Simler v. Conner, 372 U.S. 221 (1963)]. The reason for
this was to ensure that the right to a jury trial, as guaranteed by the
Seventh Amendment, was exercised uniformly.
3. Uncertain State Law
a. If the federal court is uncertain about the state law to be followed, or if
the law is unclear or unsettled, the court may:
(1) abstain from hearing the state law claim;
(2) if state law allows, certify the question to the state courts and
obtain a ruling on the issue; or
(3) try to predict how the state courts would rule on the issue, using
all available and relevant resources.
b. Federal circuit courts of appeal do not give deference to district
courts’ interpretations of unsettled state law, but review those deci-
sions de novo.
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ERIE DOCTRINE
NO
Follow both
B. Is there a state-stipulated C. Can both procedures be procedures
procedure and a federally YES
followed simultaneously?
YES simultaneously;
stipulated procedure? Erie does not
apply
NO NO
NO
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CIVIL PROCEDURE
A. Pleadings
1. Types of Pleadings
a. The following types of pleadings are allowed under the Federal
Rules of Civil Procedure:
(1) complaints;
(2) answers to complaints;
(3) answers to counterclaims;
(4) answers to cross-claims;
(5) third-party complaints;
(6) answers to third-party complaints; and
(7) replies to answers, if ordered by the court.
2. Rules of Pleading
a. To initiate a lawsuit, the first step is filing a complaint.
b. A pleading that states a claim for relief (including a complaint), must
contain [Fed. R. Civ. P. 8]:
(1) a short and plain statement of the grounds for the court’s jurisdiction;
(2) a short and plain statement of the claim showing that the pleader
is entitled to relief; and
(a) The “short and plain statement of the claim” must include
“sufficient factual matter” to state a plausible claim that is
more than a “sheer possibility that a defendant has acted
unlawfully” [Bell Atlantic Corp. v. Twombly, 550 U.S. 544
(2007); Ashcroft v. Iqbal, 556 U.S. 662 (2009)].
(3) a demand for the relief sought.
c. A pleading may make inconsistent claims or defenses. The court will
allow inconsistent pleadings to be determined by the trier of facts.
EXAMPLE: A sues B, claiming that B’s dog bit him. B’s answer denies
that A was bitten. The answer also claims that A was bit because he
provoked the dog.
d. A party may set out two or more statements of a claim or defense alternatively
or hypothetically, either in a single count or defense or in separate ones.
EXAMPLE: C is hit by a car driven by D. C sues D, alleging that D neg-
ligently hit C. C also alleges that D intentionally hit her with his car.
e. Generally, pleadings in federal court are to be liberally construed.
(1) Courts are directed to ignore technical defects in pleadings, if no
substantial right of the parties is prejudiced.
(2) Note that the Twombly and Iqbal cases referenced supra set out
heightened standards for the allegations in pleadings that may
affect how pleadings are construed.
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f. Parties must plead claims or defenses in a simple, direct, and concise manner.
(1) No technical pleading forms are necessary.
(2) Although parties should use general terms and omit evidentiary
material, a pleading must contain “sufficient factual matter” to set
out a plausible claim for relief.
g. Some cases involve special matters that must be pleaded with particu-
larity [Fed. R. Civ. P. 9]. Those special matters are:
(1) capacity or authority to sue, if required to show the court has jurisdiction;
(2) fraud, mistake, or condition of the mind;
(3) conditions precedent, but only when denying that the condition
has occurred;
(4) time and place, when testing the sufficiency of a pleading; and
(5) special damages.
EXAMPLE: A sues B for injuries sustained in a traffic accident. A al-
leges that B’s negligence caused her to incur medical bills, and to lose
wages because she was unable to work. A must plead with specificity
the amount of lost wages and the amount of her medical bills.
3. Responsive Pleading
a. An answer is a pleading in which the responding party admits or denies
the opposing party’s allegations and lists any defenses he might have.
(1) The responding party must admit those allegations, or parts of alle-
gations, that are true, and deny the others [Fed. R. Civ. P. 8(b)].
(2) A general denial is appropriate only when the responding party
intends in good faith to deny all the allegations in the pleading.
(3) If the defendant fails to deny an allegation, it is deemed admitted.
b. A party must plead certain affirmative defenses in its answer or reply to
a counterclaim.
(1) An affirmative defense is a defense that relies on factual issues
not presented in the complaint. It does not necessarily deny the
allegations of the complaint, but pleads additional facts.
(2) Affirmative defenses that must be pleaded in a responsive
pleading include:
(a) accord and satisfaction;
(b) arbitration and award;
(c) assumption of risk;
(d) contributory negligence;
(e) duress;
(f) estoppel;
(g) failure of consideration;
(h) fraud;
(i) illegality;
(j) injury by fellow servant;
30
CIVIL PROCEDURE
(k) laches;
(l) licenses;
(m) payment;
(n) release;
(o) res judicata;
(p) Statute of Frauds;
(q) statute of limitations; and
(r) waiver.
(3) Affirmative defenses that raise objections based on jurisdiction or
procedural matters may be raised either in a responsive pleading,
or in a pre-answer motion.
(a) If an objection will be raised by a motion, rather than in a
responsive pleading, the motion must be made before a
responsive pleading is made [Fed. R. Civ. P. 12(b)]. These
motions are therefore known as pre-answer motions.
1) A motion to dismiss, a motion for a more definite state-
ment, and a motion to strike are all pre-answer motions
that must be made before a responsive pleading is made.
(b) Objections that may be raised either by a pre-answer motion
to dismiss or responsive pleading are the following:
1) lack of subject-matter jurisdiction;
2) lack of personal jurisdiction;
3) improper venue;
4) insufficient process;
5) insufficient service of process;
6) failure to state a claim upon which relief can be granted; and
7) failure to join a party under Rule 19.
(4) A motion under this rule may be joined with any other motion allowed
by this rule. However, except as provided in Rule 12(h)(2) or (3), a
party that makes a motion under this rule must not make another
motion under this rule raising a defense or objection that was available
to the party but omitted from its earlier motion [Fed. R. Civ. P. 12(g)].
(5) Failure to raise an objection in an answer or pre-answer motion
to dismiss constitutes a waiver of these defenses with the excep-
tion of objections to subject-matter jurisdiction, failure to state a
claim upon which relief can be granted, and failure to join a party
[Fed. R. Civ. P. 12(h)(1)].
(6) A motion to dismiss for failure to state a claim upon which relief can
be granted, failure to join a necessary party, or failure to state a
legal defense to a claim may be raised [Fed. R. Civ. P. 12(g)(2)]:
(a) in any pleading allowed or ordered under Rule 7(a);
(b) by a motion under Rule 12(c); or
(c) at trial.
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(7) If the court determines at any time that it lacks subject-matter juris-
diction, the court must dismiss the action [Fed. R. Civ. P. 12(h)(3)].
c. Timing of Responsive Pleading
(1) An answer (or pre-answer motion) must be filed:
(a) within 21 days of service of process; or
NOTE The 21-day period does not include the date of service, but does include
weekends and holidays. If the 21st day is on a weekend or a holiday, the
answer must be filed on the next business day.
(b) if service was waived, within 60 days after the request for
a waiver was sent, or within 90 days after it was sent to the
defendant outside any judicial district of the United States.
(2) If the defendant responds to plaintiff’s complaint by filing a pre-
answer motion that is denied, the defendant must then file an
answer within 14 days of the denial.
4. Amended and Supplemental Pleadings
a. A party may amend a pleading once as a matter of course if the
amendment is filed [Fed. R. Civ. P. 15]:
(1) within 21 days of service of the original pleading; or
(2) if the pleading requires a response, within 21 days after service
of a responsive pleading or 21 days after service of a motion to
dismiss, a motion for a more definite statement, or a motion to
strike, whichever is earlier.
b. In situations in which a party is not entitled to amend as a matter of
course, a pleading may be amended with the written consent of the
opposing party, or with the leave of the court.
(1) Leave to amend must be freely given when justice requires. In
deciding whether to grant a request to amend, the court will consider:
(a) the reason for the delay in raising the matter to be raised by
the amendment; and
(b) the prejudice to the opposing party caused by the delay.
c. If a party objects at trial to evidence as not being within the scope of
the issues raised in the pleadings, the court may permit the pleadings
to be amended to conform to the evidence.
d. A response to an amended pleading is required if the original pleading
required a response.
e. Doctrine of Relation Back
(1) Under the doctrine of relation back, the court will treat an
amendment to a pleading as though it had been filed with the
original pleading.
(2) An amendment to a pleading that adds a new claim will be
considered filed on the date in which the original complaint was
filed as long as the amendment asserts a claim or defense that
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B. Rule 11
1. Every pleading, written motion, and other paper filed with the court must be
signed by at least one attorney of record in the attorney’s name, or by a party
personally, if the party is not represented by an attorney [Fed. R. Civ. P. 11].
a. The signed document must state the signer’s address, e-mail address,
and telephone number.
b. The court must strike an unsigned paper unless the omission is
promptly corrected after it is called to the attorney’s or party’s attention.
c. Rule 11 does not apply to discovery matter, whether it is a discovery
request, response, motion or any other matter, although other rules
may be applied to abusive discovery.
2. The attorney or unrepresented party who presents to the court a pleading,
written motion, or other document certifies that to the best of the person’s
knowledge, information, and belief, formed after an inquiry reasonable
under the circumstances that:
a. the document is not being presented for any improper purpose, such as to
harass, cause unnecessary delay, or needlessly increase the cost of litigation;
b. the claims, defenses, and other legal contentions are warranted by
existing law or by a nonfrivolous argument for extending, modifying, or
reversing existing law or for establishing new law;
c. the factual contentions have evidentiary support or will likely have
evidentiary support after a reasonable opportunity for further investiga-
tion or discovery; and
d. the denials of factual contentions are either warranted on the evidence
or are reasonably based on belief or a lack of information.
EXAMPLE: A brings a lawsuit against B for false light invasion of
privacy. A’s state has never recognized a cause of action for false light,
but A argues that, under existing precedent, the courts of the state
would likely recognize such an action. A has not violated Rule 11, even
if his action is ultimately unsuccessful.
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3. If the court finds that any of the above representations are untrue, it has
discretion to impose sanctions on the party or the party’s attorney. Sanctions
are ordered after notice to the offending party and an opportunity to be heard.
EXAMPLE: C brings a lawsuit against D for employment discrimination,
claiming that C’s application for employment was denied. C never applied
for a job with D. The court may order sanctions against C.
a. A party may not file a motion for sanctions without first serving the
motion upon the opposing party and providing the opposing party with
21 days to withdraw or correct the offending pleading, written motion,
or other paper (this is known as the safe harbor rule).
b. A court may sua sponte issue an order to show cause why conduct
described in the order does not violate Rule 11.
c. The nature of the sanction must be limited to “what suffices to deter
repetition of the conduct or comparable conduct by others.”
d. An order imposing sanctions must describe the sanctioned conduct
and explain the basis for the sanctions.
C. Provisional Relief
1. Purpose
a. Provisional relief is available to maintain the status quo and prevent irrepa-
rable damage or wasting of assets during litigation or pending arbitration.
b. Provisional relief consists of two remedies:
(1) temporary restraining orders (TROs); and
(2) preliminary injunctions.
c. Both are extraordinary remedies as they are issued prior to a decision on
the merits and provide immediate or quick but short-term injunctive relief.
(1) The temporary restraining order is used in an emergency situa-
tion, when the injunction must issue before any hearing, and lasts
only a few days, generally long enough for the parties to seek a
preliminary injunction.
(2) The preliminary injunction, if granted, will last until a decision on
the merits, however long that may take.
2. Standard for Granting
a. A party seeking either a temporary restraining order or a preliminary
injunction must first establish [Forsyth County v. United States Army
Corps of Eng’rs, 633 F.3d 1032]:
(1) a substantial likelihood of success on the merits;
(2) irreparable harm will be suffered unless the remedy sought is issued;
(3) the harm to the plaintiff if the temporary restraining order or
preliminary injunction is denied is greater than the harm to the
defendant if the remedy is granted; and
(4) the provisional remedy, if granted, will not be adverse to the
public interest.
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4. Impleader Claims
a. After a defendant to an action has served her answer, that defendant
may proceed against a non-party who may be liable for all or part of
the plaintiff’s claim against the defendant [Fed. R. Civ. P. 14].
b. Impleader thus allows a defending party to shift all or part of the liability
owed to the plaintiff to a new party who is or may be liable for it.
EXAMPLE: A sues B for injuries she sustained when B hit her while
driving her car. B claims that she hit A because the steering mecha-
nism on her car was damaged when C, a mechanic, did faulty repair
work. B may proceed against C.
c. The two most important impleader claims are contribution and
indemnity claims.
(1) A contribution claim is a claim against a joint tortfeasor that
shifts part of the defendant’s liability to a new party.
(2) An indemnity claim is a claim that shifts all of the defendant’s
liability to a new party (e.g., an insurance claim).
d. The defendant must file a third-party summons and complaint
with the court where the original action is pending. The defendant
becomes the third-party plaintiff.
(1) Service on the non-party makes that party the third-party defendant.
(2) A defendant may file a third-party complaint any time within 14
days of filing her answer. After that, third-party complaints may be
filed only with leave of court.
(3) When the defendant brings in a third-party, the plaintiff may amend his
original complaint to assert claims against the third-party defendant.
e. A plaintiff may file a third-party complaint to bring in a third-party defen-
dant if a counterclaim has been asserted against the plaintiff and there
is a basis for the plaintiff to argue that a third party is liable for all or
part of the liability pursuant to the counterclaim.
f. Third-party defendants have the same rights as any other party to the
action. These rights include the right to:
(1) service of process;
(2) file an answer to the third-party complaint (the answer may
include any defenses that the third-party plaintiff asserted in his
answer to the original complaint);
(3) assert counterclaims or cross-claims;
(4) implead additional non-parties by third-party complaint; and
(5) appeal orders or final judgment in the action.
g. The court may dismiss a third-party complaint without prejudice, or
order a separate trial of the third-party claim or any separate issue
within it, if it finds that the controversy between a third-party plaintiff
and third-party defendant would unduly delay the determination of the
original action or prejudice a substantial right of one of the parties.
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(2) When appropriate, the court may limit the class to those
members who do not request exclusion from the class within
the specified time after the notice.
EXAMPLE: A class certification order certifies a class of all
persons who bought a computer with a certain operating system
who do not inform the court that they do not wish to be a part of
the action within 90 days of the class certification order.
e. An action may be brought or maintained as a class action with
respect to any particular issue, or a class may be divided into
subclasses with each subclass treated as a class.
f. The court may direct appropriate notice to class members.
(1) For classes certified as a result of common questions of law or
fact, notice is required and must include:
(a) the nature of the action;
(b) the definition of the certified class;
(c) the class claims, issues, or defenses;
(d) the ability of a class member to make an appearance;
(e) the ability of a class member to request exclusion from the
class; and
(f) the binding effect of a judgment on all members of the class.
EXAMPLE: Notice to potential class members in an action
against the seller of computer operating systems must
inform members that if they do not opt out of the class, they
will be bound by the judgment in the class action, even if
they did not file an individual appearance.
(2) Where a class action is brought primarily for injunctive or
declaratory relief, notice need not be given to the class unless
the court finds it necessary in order to protect the class.
g. In every case, the court must have personal jurisdiction over every
defendant and each of the plaintiffs named in the action.
(1) The federal court is not required to have personal jurisdiction
over absent members of the plaintiff class as long as they
receive adequate notice of the pendency of the action and
are afforded the opportunity to opt out of the class [Phillips
Petroleum Co. v. Shutts, 472 U.S. 797 (1985)].
(2) It is unclear whether the court must have personal jurisdiction
over the absent members of the plaintiff classes where there is
no notice and/or opportunity to opt out of the class.
h. Class actions based on diversity jurisdiction are governed by
the Class Action Fairness Act (CAFA) passed in 2005, which has
transformed the doctrine in cases founded on diversity jurisdiction.
(1) Prior to CAFA, diversity jurisdiction required complete diversity between
all of the named representative plaintiffs and all of the defendants. In
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(2) establishing early and continuing control so that the case will
not be protracted because of lack of management;
(3) discouraging wasteful pretrial activities;
(4) improving the quality of the trial through more thorough preparation; and
(5) facilitating settlement.
b. Except in categories of actions exempted by local rule, the district judge—
or a magistrate judge when authorized by local rule—must issue a sched-
uling order that limits the time to join other parties, amend the pleadings,
complete discovery, and file motions. A schedule may be modified only
for good cause and with the judge’s consent [Fed. R. Civ. P. 16(b)].
c. The scheduling order must be issued within the earlier of [Id.]:
(1) 90 days after any defendant has been served with the complaint; or
(2) 60 days after any defendant has appeared.
d. At any pretrial conference, the court may consider and take
appropriate action on the following matters [Fed. R. Civ. P. 16(c)]:
(1) formulating and simplifying the issues, and eliminating frivolous
claims or defenses;
(2) amending the pleadings if necessary or desirable;
(3) obtaining admissions and stipulations about facts and
documents to avoid unnecessary proof, and ruling in advance
on the admissibility of evidence;
(4) avoiding unnecessary proof and cumulative evidence, and limiting
the use of testimony under the Federal Rules of Evidence;
(5) determining the appropriateness and timing of summary adjudication;
(6) controlling and scheduling discovery;
(7) identifying witnesses and documents, scheduling the filing and
exchange of any pretrial briefs, and setting dates for further
conferences and for trial;
(8) referring matters to a magistrate judge or a master;
(9) settling the case and using special procedures to assist in
resolving the dispute when authorized by statute or local rule;
(10) determining the form and content of the pretrial order;
(11) disposing of pending motions;
(12) adopting special procedures for managing potentially difficult
or protracted actions that may involve complex issues, multiple
parties, difficult legal questions, or unusual proof problems;
(13) ordering a separate trial of a claim, counterclaim, cross-claim,
third-party claim, or particular issue;
(14) ordering the presentation of evidence;
(15) establishing a reasonable limit on the time allowed to present
evidence; and
(16) facilitating in other ways the just, speedy, and inexpensive
disposition of the action.
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e. After any pretrial conference, the court should issue an order reciting
the action taken, which controls the course of the action unless the
court modifies it [Fed. R. Civ. P. 16(d)].
f. The court may hold a final pretrial conference to formulate a trial plan,
including a plan to facilitate the admission of evidence. The conference must
be held as close to the start of trial as is reasonable, and must be attended
by at least one attorney who will conduct the trial for each party and by any
unrepresented party. The court may modify the order issued after a final
pretrial conference only to prevent manifest injustice [Fed. R. Civ. P. 16(e)].
g. On motion or on its own, the court may issue sanctions if a party or
its attorney:
(1) fails to appear at a scheduling or other pretrial conference;
(2) is substantially unprepared to participate—or does not
participate in good faith—in the conference; or
(3) fails to obey a scheduling or other pretrial order.
(a) Instead of, or in addition to, any other sanction, the court
must order the party, its attorney, or both to pay the reason-
able expenses—including attorney’s fees—incurred because
of any noncompliance with this rule, unless the noncompli-
ance was substantially justified or other circumstances
make an award of expenses unjust [Fed. R. Civ. P. 16(f)].
F. Discovery
1. Overview
a. The primary purpose of the pleading stage is to provide notice to the
parties; thus, the facts may not be stated in detail in the pleadings.
b. The facts surrounding a cause of action come to light during discovery.
c. The primary function of the discovery process is to provide litigants with an
opportunity to obtain and review all of the pertinent evidence prior to trial.
d. There are mandatory disclosure obligations as well as specific
discovery devices that are designed to elicit information within the
permissible scope of discovery.
e. In general, discovery is initiated by the parties. A court will become
involved only when there is a discovery dispute that cannot be
resolved by the parties.
2. Mandatory Disclosures
a. Initial Disclosures
(1) With limited exceptions, parties are required to disclose some
information as a matter of course upon the commencement of
the litigation, without waiting for a discovery request. Mandatory
disclosure is required by both parties for the following
information [Fed. R. Civ. P. 26(a)(1)]:
(a) the name (and if known, address and telephone number)
of individuals likely to have discoverable information, along
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(b) by that party to any plaintiff or to any other party that has
been served.
(3) The request [Fed. R. Civ. P. 34(b)(1)]:
(a) must describe with reasonable particularity each item or
category of items to be inspected;
(b) must specify a reasonable time, place, and manner for the
inspection and for performing the related acts; and
(c) may specify the form or forms in which electronically stored
information is to be produced.
(4) The party to whom the request is directed must respond in writing
within 30 days after being served or—if the request was delivered
under Rule 26(d)(2)—within 30 days after the parties’ first Rule 26(f)
conference. A shorter or longer time may be stipulated to under
Rule 29 or be ordered by the court [Fed. R. Civ. P. 34(b)(2)(A)].
(5) For each item or category, the response must either state that
inspection and related activities will be permitted as requested
or state with specificity the grounds for objecting to the request,
including the reasons [Fed. R. Civ. P. 34(b)(2)(B)].
(a) The responding party may state that it will produce copies
of documents or of electronically stored information instead
of permitting inspection. The production must then be
completed no later than the time for inspection specified in the
request or another reasonable time specified in the response.
(6) An objection must state whether any responsive materials are
being withheld on the basis of that objection. An objection to
part of a request must specify the part and permit inspection of
the rest [Fed. R. Civ. P. 34(B)(2)(C)].
(7) The response may state an objection to a requested form for
producing electronically stored information. If the responding
party objects to a requested form—or if no form was specified
in the request—the party must state the form or forms it intends
to use [Fed. R. Civ. P. 34(B)(2)(D)].
(8) Unless otherwise stipulated or ordered by the court, these
procedures apply to producing documents or electronically
stored information [Fed. R. Civ. P. 34(b)(2)(E)]:
(a) a party must produce documents as they are kept in the
usual course of business or must organize and label them
to correspond to the categories in the request;
(b) if a request does not specify a form for producing
electronically stored information, a party must produce it in
a form or forms in which it is ordinarily maintained or in a
reasonably usable form or forms; and
(c) a party need not produce the same electronically stored
information in more than one form.
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b. Procedure
(1) A response in writing is required within 30 days after being served or,
if the request was delivered under Rule 26(d)(2), within 30 days after
the parties’ first Rule 26(f) conference [Fed. R. Civ. P. 37(b)(2)].
(2) Instead of permitting inspection of documents or ESI, the
responding party can produce copies of the documents or the
ESI. The production of the copies of ESI must take place within
the same timeframe as the requested inspection or another
reasonable time specified in the response [Fed. R. Civ. P.
37(b)(2)(B)]. ESI does not have to be reproduced in the form
requested. If a party objects to the requested form of producing
ESI, or if the form is specified in the request, the response must
state the form the party intends to use [Fed. R. Civ. P. 37(b)(C)].
(3) Unless otherwise stipulated or ordered by the court, these proce-
dures apply to producing documents or ESI [Fed. R. Civ. P. 37(b)(E)]:
(a) a party must produce documents as they are kept in the
usual course of business or must organize and label them
to correspond to the categories in the request;
(b) if a request does not specify a form for producing ESI,
a party must produce it in a form in which it is ordinarily
maintained or in a reasonably usable form; and
(c) a party need not produce the same ESI in more than one form.
c. Sanctions
(1) If ESI that should have been preserved in the anticipation or
conduct of litigation is lost because a party failed to take reason-
able steps to preserve it, and it cannot be restored or replaced
through additional discovery, the court [Fed. R. Civ. P. 37(e)]:
(a) upon finding prejudice to another party from loss of the infor-
mation, may order measures no greater than necessary to
cure the prejudice; or
(b) if the courts finds that the party acted with the intent to
deprive another party of the information’s use in the litigation,
the court can:
1) presume that the lost information was unfavorable to
the party;
2) instruct the jury that it may or must presume the
information was unfavorable to the party; or
3) dismiss the action or enter a default judgment.
7. Discovery Sanctions
a. Motion to Compel
(1) On notice to other parties and all affected persons, a party may
move for an order compelling disclosure or discovery. The
motion must include a certification that the movant has in good
faith conferred or attempted to confer with the person or party
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(3) A court would dismiss the claim without prejudice (or with leave
to amend) in circumstances where the pleading defect can and
should be rectified.
b. Dismissal for Failure to Prosecute
(1) If a plaintiff fails to prosecute or to comply with the Federal Rules
or a court order, a defendant may move to dismiss. A dismissal
for failure to prosecute is a dismissal with prejudice, unless the
dismissal order states otherwise [Fed. R. Civ. P. 41(b)].
EXAMPLE: Plaintiff brings a lawsuit against defendant. Eighteen
months later, plaintiff has not engaged in any discovery, and has
not made any efforts to move the case forward. Defendant may
bring a motion to dismiss for failure to prosecute.
4. Default Judgment
a. Default judgments involve two steps:
(1) the entry of default; and
(2) the entry of the default judgment.
b. An entry of default must be entered on behalf of a party against whom
a judgment for affirmative relief is sought when the party has failed to
plead or otherwise defend the claim and that failure is shown by affi-
davit or otherwise [Fed. R. Civ. P. 55(a)].
c. Only after an entry of default has been entered may a default judgment
be entered.
d. A default judgment can be entered by the clerk or the court.
(1) If the plaintiff’s claim is for a sum certain, upon the plaintiff’s
request and with an affidavit showing the amount due, the
clerk must enter judgment for that amount and costs against
a defendant who has been defaulted for not appearing [Fed.
R. Civ. P. 55(b)].
NOTE A clerk cannot enter default judgments against minors or incompetent persons.
(2) In all other cases, the party must apply to the court for a default
judgment to be entered.
(3) If the party against whom a default judgment is sought has
appeared personally or by a representative, that party or repre-
sentative must be served with written notice of the application for
default judgment at least seven days before the hearing [Id.].
(4) The court may conduct hearings or make referrals when, to enter
or effectuate judgment, it needs to [Id.]:
(a) conduct an accounting;
(b) determine the amount of damages;
(c) establish the truth of any allegation by evidence; or
(d) investigate any other matter.
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e. The court may set aside an entry of default for good cause. If the
clerk or court entered a default judgment, the court may set it aside
in accordance with a Rule 60(b) post-trial motion.
5. Settlements
a. Settlements may be achieved through counsel and the parties
themselves, or through alternative dispute resolution (ADR) methods
such as arbitration or mediation.
b. A settlement conference is appropriate at any time. It may be held
with a pretrial or discovery conference, or separately.
c. Settlement conferences are not mandatory under the Federal Rules.
d. A judge may, on his own or at a party’s request, refer a settlement
conference to another judge or magistrate.
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NOTE If both legal and equitable relief are sought in an action, the right to a
jury exists for any issue of fact underlying a damages claim, even if the
resolution of that issue may also support injunctive relief.
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C. Jury Selection
1. A federal jury can be composed of six to twelve members. Each juror
must participate in the verdict unless excused [Fed. R. Civ. P. 48(a)].
2. The federal jury is selected by the voir dire process [Fed. R. Civ. P.
47]. The court may conduct the examination or permit the attorneys to
question directly the prospective jurors.
3. The purpose of the voir dire is to explore germane factors that might
expose a basis for challenge, whether for cause or peremptory.
4. Attorneys may ask the court to excuse any juror for cause. There are
three categories of challenges for cause:
a. general disqualification—a person may lose the right to sit on
any jury because of a felony conviction or some other inherent
disqualification;
b. implied bias—potential jurors may be removed if the attorney
believes a bias may exist; and
EXAMPLE: A juror who has a relationship with the parties or their
attorneys could be removed due to an implied bias.
c. actual bias—jurors may be removed for cause if they indicate during
voir dire that they would use predetermined beliefs or principles to
decide the case instead of deciding the case based upon the facts.
5. Peremptory Challenges
a. In federal court, each party may exercise three peremptory challenges
to excuse jurors without having to state the reason before the court.
b. Peremptory challenges may not be used to exclude jurors on the
basis of race or gender.
c. Peremptory challenges may be objected to by the opposing party
only where the exclusion gives rise to an inference of racial or
gender discrimination. If objected to, the excluding party must
provide a nondiscriminatory explanation for the strikes or else
rescind its strike of each juror involved.
D. Jury Instructions
1. Requests
a. At the close of the evidence or at any earlier reasonable time that
the court orders, a party may file and furnish to every other party
written requests for the jury instructions it wants the court to give
[Fed. R. Civ. P. 51(a)].
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V. MOTIONS
A. General Rules
1. Requirements Regarding Form
a. Any applications to the court for an order shall be made by motion.
b. A motion must:
(1) be in writing, unless made during a hearing or trial; and
(2) state with particularity the grounds for the request and a
request for relief.
c. All rules governing matters of form in pleadings also apply to motions.
2. Other Requirements
a. Local court rules may set out specific requirements for motion practice,
such as the papers to be filed, and the timing for making a motion.
b. The court may issue standing orders in a particular case regarding
the timing of motions.
B. Pre-Trial Motions
1. Motion to Dismiss
a. A motion to dismiss is a motion filed by a defending party seeking the
dismissal of a claim filed against him.
b. A motion to dismiss may be made on any of the following grounds
[Fed. R. Civ. P. 12(b)]:
(1) lack of subject-matter jurisdiction;
(2) lack of personal jurisdiction;
(3) improper venue;
(4) insufficient process;
(5) insufficient service of process;
(6) failure to state a claim upon which relief can be granted; and
(7) failure to join a party under Rule 19.
c. A motion to dismiss based on lack of personal jurisdiction, improper
venue, insufficient process, or insufficient service of process must
be made in the defending party’s first response to the court—either a
pre-answer motion to dismiss or an answer.
(1) If the defending party makes a motion to dismiss and one of
the aforementioned defenses is not included, that defense is
waived and cannot later be included in the answer.
(2) If no pre-answer motion to dismiss is made, the defense must
be in the defending party’s answer, or else it is waived.
d. A motion to dismiss based on failure to state a claim upon which relief
can be granted or failure to join a necessary party can be raised at
any time before the trial ends, or else it is waived.
e. Lack of subject-matter jurisdiction is never waived, it can be raised at
any time, even on appeal.
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C. Post-Trial Motions
1. Judgment as a Matter of Law
a. A motion for judgment as a matter of law (JMOL) was formerly
known as a motion for a directed verdict.
b. The defendant or the plaintiff may move for JMOL after the other
party closes her case. If the motion is granted, the motion results in
judgment for the moving party [Fed. R. Civ. P. 50(a)].
c. A JMOL will be granted if the court finds that a reasonable jury would
not have a legally sufficient evidentiary basis to find for the non-
moving party on the issue at hand [Id.].
EXAMPLE: In an action for copyright infringement, the plaintiff
fails to show that she is the owner of the copyright in question. The
defendant’s motion for JMOL should be granted.
d. The analysis for JMOL motions is identical to that on a summary
judgment motion.
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NOTE A party that did not timely move for a JMOL during trial cannot move for a
renewed JMOL.
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A. Jury Verdicts
1. In General
a. Unless the parties stipulate otherwise, a jury verdict must be
unanimous and must be returned by a jury of at least six members
[Fed. R. Civ. P. 48(b)].
b. After a verdict is returned but before the jury is discharged, the court
must on a party’s request, or may on its own, poll the jurors individu-
ally. If the poll reveals a lack of unanimity or lack of assent by the
number of jurors that the parties stipulated to, the court may direct the
jury to deliberate further or may order a new trial [Fed. R. Civ. P. 48(c)].
2. General Verdicts
a. The court may direct the jury to return a general verdict, which
simply states which party should win, the plaintiff or defendant,
without addressing specific findings on each issue of fact.
3. Special Verdicts
a. The court may require a jury to return only a special verdict in the
form of a special written finding on each issue of fact. The court may
do so by [Fed. R. Civ. P. 49(a)(1)]:
(1) submitting written questions susceptible of a categorical or
other brief answer;
(2) submitting written forms of the special findings that might
properly be made under the pleadings and evidence; or
(3) using any other method that the court considers appropriate.
b. The court must give the instructions and explanations necessary to
enable the jury to make its findings on each submitted issue [Fed.
R. Civ. P. 49(a)(2)].
c. A party waives the right to a jury trial on any issue of fact raised by the
pleadings or evidence but not submitted to the jury unless, before the jury
retires, the party demands its submission to the jury. If the party does
not demand submission, the court may make a finding on the issue. If the
court makes no finding, it is considered to have made a finding consis-
tent with its judgment on the special verdict [Fed. R. Civ. P. 49(a)(3)].
4. General Verdict with Answers to Written Questions
a. The court may submit to the jury forms for a general verdict, together
with written questions on one or more issues of fact that the jury must
decide. The court must give the instructions and explanations necessary
to enable the jury to render a general verdict and answer the questions
in writing, and must direct the jury to do both [Fed. R. Civ. P. 49(b)(1)].
b. When the general verdict and the answers are consistent, the court
must approve, for entry under Rule 58, an appropriate judgment on
the verdict and answers [Fed. R. Civ. P. 49(b)(2)].
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c. When the answers are consistent with each other but one or more is incon-
sistent with the general verdict, the court may [Fed. R. Civ. P. 49(b)(3)]:
(1) approve for entry an appropriate judgment according to the
answers, notwithstanding the general verdict;
(2) direct the jury to further consider its answers and verdict; or
(3) order a new trial.
d. When the answers are inconsistent with each other and one or more
is also inconsistent with the general verdict, judgment must not be
entered; instead, the court must direct the jury to further consider its
answers and verdict, or must order a new trial [Fed. R. Civ. P. 49(b)(4)].
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b. Any party affected by the judgment may appeal the judgment while
the rest of the action remains pending.
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Constitutional Law
TABLE OF CONTENTS
III. THE RELATION OF THE NATION AND THE STATES IN THE FEDERAL SYSTEM
Constitutional Basis......................................................................................................................130
Standards of Review....................................................................................................................130
Proving Discrimination.................................................................................................................131
Suspect Classifications................................................................................................................132
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Ripeness, Abstention & Adequate State Grounds, Mootness, Political Questions, Standing
b. Mootness
(1) If a controversy or matter has already been resolved, then the
case will be dismissed as moot. An actual case or controversy
must exist at all stages of the litigation [Liner v. Jafco, Inc., 375
U.S. 301 (1964)].
(a) Although the principal issue in a lawsuit has been resolved,
if a party still has an interest in resolving collateral (or lesser)
matters, the case will not be dismissed.
EXAMPLE: A case about wrongful termination is not moot even
though the plaintiff had his employment restored if issues of
back pay remain [Powell v. McCormick, 395 U.S. 486 (1969)].
(b) The case will not be dismissed for mootness if the injury is
“capable of repetition, yet evading review,” meaning that it is
a practical impossibility for there to be adjudication or appel-
late review before the claims of the plaintiff, or other individ-
uals who are members of the class, become moot.
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CONSTITUTIONAL LAW
NOTE The Flast v. Cohen principle has not been extended to other areas of
government activity.
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CONSTITUTIONAL LAW
NOTE A claim that a state has redrawn its electoral districts in a racially discrimi-
natory manner is not a political question. However, a claim that a state has
redrawn electoral districts to benefit one political party is a political question
and, therefore, is nonjusticiable. The Supreme Court has ruled that there
are manageable judicial standards for deciding claims of race discrimination,
but that there are no such standards for deciding when a political party has
been unfairly advantaged when electoral districts are redrawn.
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CONSTITUTIONAL LAW
NOTE To validly exercise its Commerce Clause power under the “substantial effects”
test, Congress must now show: (1) that the regulated activity is “economic” in
nature; and (2) that the regulated activity (when taken cumulatively through-
out the nation) has a substantial effect on interstate commerce.
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NOTE The Tenth Amendment does prevent Congress from interfering with a state’s
lawmaking processes. Congress may not commandeer the legislative pro-
cesses of the states by directly compelling them to enact and enforce a fed-
eral regulatory program.
NOTE The Tenth Amendment also prevents Congress from commandeering state
executive officials. That is, Congress may not order state officials to act as
administrators of federal programs.
NOTE The Sixteenth Amendment gives Congress the power to collect taxes on
incomes derived from any source.
b. Congress has used its taxing power as a necessary and proper means
of achieving a regulatory effect. Generally, as long as Congress has
the power to regulate the activity taxed, the tax can then be used as a
regulating device rather than for revenue-raising purposes.
EXAMPLE: The Supreme Court sustained a tax on coal producers who
violated a fair competition law, even though it was clearly designed to
be a penalty rather than revenue-raising [Sunshine Anthracite Coal Co.
v. Adkins, 310 U.S. 381 (1940)].
(1) Even when Congress does not have power to regulate the
activity taxed, the tax will nevertheless be upheld if its “domi-
nant intent” is revenue-raising. Thus, even though the tax may
have a substantial regulatory effect, if the tax in fact raises
revenue, it will be valid.
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(3) As long as civilian courts are available, military courts are denied
jurisdiction over civilians and their dependents unless Congress
has affirmatively granted such jurisdiction.
EXAMPLE: The Supreme Court held that, absent military exi-
gency, the president may not try alleged terrorists in special military
courts if Congress has enacted a statute denying the president that
authority. Congress, however, may affirmatively grant that authority
to the president [Hamdan v. Rumsfeld, 548 U.S. 557 (2006)].
(4) Although civilian courts have no general power of review over
court-martial proceedings, there can be a limited examination of
the regularity of such proceedings by a civilian court [Burns v.
Wilson, 339 U.S. 103 (1950)].
6. Investigatory Power
a. Although Congress does not have any express constitutional power
to investigate, the Necessary and Proper Clause permits Congress
to conduct investigations incident to its legislative power [McGrain v.
Daugherty, 273 U.S. 135 (1927)].
(1) Congress’s investigatory power is broad, and it may extend to
any matter within a “legitimate legislative sphere.”
(2) If a witness fails to appear after being summoned before a
congressional committee or fails to answer a question posed by
such a committee, Congress may either:
(a) cite the witness for contempt; or
(b) refer the matter to the U.S. attorney general for prosecution.
(3) Generally, a witness can raise as a defense:
(a) the privilege against self-incrimination;
(b) lack of due process safeguards; or
(c) interference with the First Amendment rights to privacy and
freedom of association.
EXAMPLE: The Supreme Court upheld the refusal of a
member of the NAACP to release membership lists to a leg-
islative committee because there was not a sufficient nexus
between the investigation and the records sought [Gibson v.
Florida Legislative Committee, 372 U.S. 539 (1963)].
7. Property Power
a. Congress has the power “to dispose of and make all needful Rules and
Regulations respecting the Territory or other Property belonging to the
United States” [U.S. Const. art. IV, § 3].
8. Power of Eminent Domain
a. Although the Constitution does not expressly give Congress the power
of eminent domain, the power to take property is “implied in aid of
the other powers granted to the federal government” [Kohl v. United
States, 91 U.S. 367 (1876)].
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EXAM TIP Be sure to consider and include an analysis under the Takings Clause.
NOTE The post office has now been moved out of the Cabinet and is a self-operat-
ing entity within the government.
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B. Executive Power
1. Chief Executive
a. “The Executive Power shall be vested in a President of the United
States.” This provision confers broad authority in the president to
execute the laws of the United States. There are few enumerated
powers expressly granted to the president under Article II. Many of the
president’s domestic and foreign powers are implied. The Supreme
Court has held that the president has no power to make laws, but has
the power to execute them [U.S. Const. art. II, § 1].
(1) Appointment Power
(a) Article II gives the president the power, “with the Advice
and Consent of the Senate,” to nominate and appoint all
“Ambassadors, other public Ministers and Consuls, Judges
of the Supreme Court, and all other Officers of the United
States, whose appointments are not herein otherwise
provided for” [U.S. Const. art. II, § 2].
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(c) However, while the exact scope of this has never been
defined, courts have construed the provision as vesting the
executive branch “with substantial discretion in choosing
when and how to prosecute cases” [United States v. Bolden,
353 F.3d 870 (10th Cir. 2003)].
2. Commander-in-Chief
a. “The President shall be the Commander in Chief of the Army and
Navy of the United States, and of the militia of the several States
when called into the actual service of the United States by Congress”
[U.S. Const. art. II, § 2].
(1) Military Powers
(a) The president has the power to deploy military forces
without a formal declaration of war in response to an attack
upon the United States (as determined by the Prize Cases)
[Brig Amy Warwick, 67 U.S. 635 (1863)].
(b) He additionally has the power to seize private property
during wartime unless Congress denies him that power
[United States v. Pewee Coal Co., 341 U.S. 114 (1951)].
(c) However, the president does not have the power to declare war.
(2) Unsettled Areas
(a) Clearly, the president may commit troops to repel a sudden
attack on the United States. However, certain issues remain
unclear, such as:
1) whether the president may commit forces without
congressional approval to aid a U.S. ally under attack
(although provisions in certain defense treaties would
authorize such intervention); and
2) whether the president may order a preemptive strike in
anticipation of an enemy attack.
3. International Affairs
a. Treaty Power
(1) The president has the power to make treaties with foreign
nations “by and with the Advice and Consent of the Senate”
[U.S. Const. art. II, § 2, cl. 2]. Treaties require consent of two-
thirds of the Senate before they can be enacted.
(a) A treaty is self-executing when it takes effect without the
necessity of any further action by Congress beyond consent
or ratification [Missouri v. Holland, 252 U.S. 416 (1920)].
(b) A treaty is not self-executing when it requires Congress
(or state legislatures) to pass legislation to implement its
provisions—i.e., requiring a change in either federal or state
law which would enable fulfillment of treaty obligations.
(2) In accordance with the Supremacy Clause, treaties are “the
supreme Law of the land; and the Judges of every State shall
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NOTE Treaties take precedence over any conflicting state law regardless of whether
a treaty precedes or follows the enactment of the state law [Nielsen v. John-
son, 279 U.S. 47 (1929)]. However, when a treaty and federal statute conflict
on the issue in question, time determines the controlling authority—the last-
in-time will prevail.
b. Executive Agreements
(1) The president has the power to enter into executive agreements
and compacts with foreign nations. Such agreements are valid
and prevail over inconsistent state law [United States v. Belmont,
301 U.S. 324 (1937)].
(2) Executive agreements are the sole responsibility of the president,
and need not be ratified by Congress.
(3) Executive agreements do not prevail over federal statutes.
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c. Legislative Veto
(1) A legislative veto occurs when Congress enacts a law
containing a provision that Congress can change the law
without a new Congressional vote or presidential signature.
(2) The Supreme Court has held that a legislative veto violated the
constitutional requirements of bicameralism and presentment to
the president [Immigration & Naturalization Service v. Chadha,
462 U.S. 919 (1983)].
d. Investigative Power
(1) As indicated earlier, under the Necessary and Proper Clause,
Congress has the implied power to conduct investigations
concerning all matters over which Congress has jurisdiction.
e. Delegation to Executive
(1) On numerous occasions Congress has delegated to the
executive branch the authority to make rules having the power
of law (through rulemaking by such agencies, such as the
Department of Health, Education, and Welfare; the Environmental
Protection Agency; and the Nuclear Regulatory Commission).
f. Appropriations Power
(1) Where Congress by legislative act explicitly directs the president to
spend appropriated money, the president has no power to impound
(i.e., refuse to spend or delay spending) the authorized funds.
2. Presidential Limits on Congress
a. Every act of Congress must be approved and signed by the president
before it can become law, or, being disapproved, must be passed by a
two-thirds vote of each House [U.S. Const. art. I, § 7].
3. Judicial Limits on Congress and the President
a. The federal judiciary is the ultimate arbiter of cases whose disposition
depends upon construction of the Constitution, an act of Congress,
or a federal treaty [U.S. Const. art. III, § 2].
U.S.
Constitution
Treaties and
Federal Statutes
Executive Orders
and Agreements
State Constitution
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B. Intergovernmental Immunities
1. Immunity of the Federal Government
a. The federal government and its agencies are immune from suits by
private individuals except where they allow themselves to be sued
(e.g., the Federal Tort Claims Act).
EXAMPLE: The U.S. Postal Service is part of the federal government
rather than a separate antitrust “person” under the Sherman Act, and,
therefore is not subject to antitrust liability [U.S. Postal Service v. Fla-
mingo Industries (USA) Ltd., 540 U.S. 736 (2004)].
b. Taxation of the Federal Government by a State
(1) In accordance with McCulloch v. Maryland [17 U.S. 316 (1819)],
the federal government and its agencies are immune from state
taxation and state regulation. States may nevertheless collect a
nondiscriminatory tax on persons who deal or contract with the
federal government.
(a) A nondiscriminatory gross-receipts tax applied to a contractor
performing work for the federal government has been upheld
[James v. Dravo Contracting Co., 302 U.S. 134 (1937)].
(b) A state’s sales tax on goods purchased by a contractor, even if
the goods will eventually be sold to the United States, is valid. In
a “cost-plus” contract with the federal government, the tax will be
part of the cost [Alabama v. King & Boozer, 314 U.S. 1 (1941)].
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NOTE Where a state engages in a proprietary business (i.e., one similar in nature to
a business operated by a private individual), then the state may be taxed to
the same extent as the private citizen.
EXAM TIP The Tenth Amendment is frequently a “red herring” wrong answer choice ex-
cept when the facts show the federal government “commanding” the states.
b. The Constitution specifically prohibits any state from [U.S. Const. art. I, § 10]:
(1) making treaties with other nations;
(2) coining money;
(3) passing a bill of attainder;
(4) enacting an ex post facto law;
(5) impairing the obligation of contracts;
(6) laying any duty on imports or exports, except where necessary
for executing its inspection laws;
(7) engaging in war; or
(8) maintaining a peacetime army.
c. The Tenth Amendment prohibits the federal government from using an
enumerated power to force a state legislature to pass a law or a state
executive official to administer a federal program. This is known as the
anti-commandeering doctrine.
2. The Dormant Commerce Clause
a. The Commerce Clause gives Congress the power to regulate interstate
commerce. Where Congress has not enacted legislation, the states are
free to regulate local transactions affecting interstate commerce, subject
to certain limitations. These limitations are generally known as the
dormant Commerce Clause, or the negative implications doctrine.
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NOTE The Supreme Court has ruled that the “company town” rationale did not apply
to a privately owned shopping center [Hudgens v. National Labor Relations
Board, 424 U.S. 507 (1976)].
(2) In Smith v. Allwright [321 U.S. 649 (1944)], the Supreme Court
held that because holding an election is a public function, a
political party could not racially discriminate against blacks by
excluding them from voting in a primary election.
b. Where there is “significant state involvement” in private discrimination,
the constitutional right of equal protection may be applicable.
EXAMPLE: A restaurant owner, whose business was located in a
building owned by the city, was prohibited from discriminating against
racial minorities. The Court found that there was a “symbiotic relation-
ship” between the city and the restaurant [Burton v. Wilmington Parking
Authority, 365 U.S. 715 (1961)].
EXAMPLE: State court enforcement of restrictive covenants prohibiting the
sale of property to blacks was held to involve sufficient state involvement
so as to constitute state action [Shelley v. Kraemer, 334 U.S. 1 (1948)].
EXAMPLE: However, state action was not found in granting a liquor
license to a private club that racially discriminated against blacks
[Moose Lodge No. 107 v. Irvis, 407 U.S. 163 (1972)].
EXAMPLE: More recently, the Supreme Court found state action be-
cause of the “entwinement” between a state and a private organization
that regulated interscholastic athletic competitions among public and
private secondary schools [Brentwood Academy v. Tennessee Second-
ary School Athletic Association, 531 U.S. 288 (2001)].
(1) 42 § U.S.C. 1983 provides citizens with the opportunity to seek
redress against those who are acting under the authority of a
state or local government, and denying citizens their federal
constitutional and statutory rights.
6. Thirteenth Amendment
a. The Thirteenth Amendment prohibits slavery and involuntary servi-
tude. The amendment has been interpreted as providing Congress
with the power to pass legislation prohibiting badges and incidents of
slavery, and thus can be used to proscribe purely private acts of forced
labor without the requirement of state action. The Peonage Abolition
Act of 1867 was designed to help enforce the Thirteenth Amendment
and abolished “the voluntary or involuntary service or labor of any
persons... in liquidation of any debt or obligation.”
b. The Thirteenth Amendment to the United States Constitution applies to
both state action and private action. It prohibits slavery and involuntary
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NOTE As with any other constitutional right, procedural due process is not required
where there is no “state action” [Flagg Brothers v. Brooks, 436 U.S. 149 (1978)].
4. Life Interests
a. Capital punishment is clearly a deprivation of a life interest, and rigorous
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due process protections are applicable. When life interests have been
claimed in other contexts, such as in abortion or right-to-die situations, the
Supreme Court has addressed it under other provisions of the Constitution.
5. Type of Process Required
a. Once it is determined that there is a sufficient deprivation of life, liberty, or prop-
erty, the next step is to decide what process is required. In order to determine
what procedural safeguards are necessary, the Supreme Court set forth the
following factors to look at [Mathews v. Eldridge, 424 U.S. 319 (1976)]:
(1) the private interest that will be affected by the official action;
(2) the risk of an erroneous deprivation of this interest through the
procedures used, and the probable value of additional or substi-
tute procedures; and
(3) the government’s interest in streamlined procedures, including the
function involved and the fiscal and administrative burdens that the
additional or substitute procedural requirements would entail.
EXAMPLE: The Supreme Court held that a full hearing was not
required for the dismissal of a medical student from a state medical
school for academic deficiency because the decision was an eval-
uative one, made by faculty officers and outside practitioners [Bd.
of Curators of Univ. of Missouri v. Horowitz, 435 U.S. 78 (1979)].
EXAMPLE: The Supreme Court held that it was not necessary
for a public school to give a student a hearing before imposing
corporal punishment [Ingraham v. Wright, 430 U.S. 651 (1997)].
EXAMPLE: The Supreme Court ruled that a temporary suspen-
sion of a driver’s license without a hearing, where the driver
refused to take a breathalyzer test, was valid, because he had a
right to an immediate hearing following the suspension [Mackey
v. Montrym, 443 U.S. 1 (1979)].
b. Due process requires a judge to recuse himself when the judge has
a pecuniary interest in the case, such that an average judge would
“possibly be tempted” to render an “imbalanced or untrue” judgment.
EXAMPLE: If one party to a case had a “significant and disproportion-
ate influence” in getting the judge elected, then due process requires
that the judge recuse himself. Such a disproportionate influence exists
when, for example, an appellant contributed more than 50% of all cam-
paign contributions to the appellate judge’s election campaign [Caper-
ton v. A. T. Massey Coal Co., 556 U.S. 868 (2009)].
6. Irrebuttable Presumptions
a. In recent cases, the Supreme Court has held that irrebuttable
presumptions violate procedural due process.
b. Civil Proceedings
(1) The Supreme Court held that a statutory presumption that a
pregnant schoolteacher was physically incapable of performing
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Thirteenth Amendment • Best answer when private individuals, who do not qualify as state
actors, discriminate.
Fourteenth Amendment • All the elements of the Constitution incorporated into the amendment
are, hence, protected by it.
• Frequently best answer when First Amendment right of free speech
or freedom of religion is not offered as a choice.
Commerce Clause • Grants Congress the power to enact legislation that affects
interstate commerce.
• Important source of congressional power over civil rights.
• Does not empower Congress to push states into acting.
Contract Clause • Can be an issue where the state revokes a contract to which it is a party.
Equal Protection Clause • Best option when state action interferes with a fundamental interest
(e.g., right to vote or travel, or classifications by race, alienage, or sex).
General Welfare Power • Congress’ power to spend treasury funds, but not to regulate activity.
or Spending Power • Best answer when voluntary cooperation by party with federal
government is the ONLY way to reach result.
Police Power • Can be the answer only when state action versus federal action.
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Privileges and • Article IV’s Privileges and Immunities Clause bars states from
Immunities Clauses discriminating against nonresident citizens on fundamental matters,
unless the regulation in question specifically targets a problem
arising from such nonresident’s behavior.
• The Privileges or Immunities Clause of the Fourteenth Amendment
is almost never a correct answer.
EXAM TIP When answering a question involving the various arguments that can be used
to attack the constitutionality of a statute regulating economic activity, you
should still consider the argument that it violates substantive due process, es-
pecially if the statute operates in an arbitrary and unreasonable manner and
there is no legitimate reason for the legislature to pass the statute.
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Deal, the Supreme Court has not struck down any economic regulation
on substantive due process grounds.
c. Such an economic regulation will be upheld if it is rationally related to a
legitimate government interest.
2. Fundamental Rights
a. The substantive due process doctrine is now used to evaluate govern-
mental regulations that affect fundamental rights of personhood, rather
than rights of property. Strict scrutiny review, or other forms of height-
ened scrutiny, apply to laws that burden the exercise of fundamental
rights, including the right to vote, the right to travel, the right to privacy,
First Amendment rights, family rights, and other rights referred to as
fundamental rights.
b. The following are some of the categories that fall under the penumbra
of privacy rights.
c. Contraceptives
(1) The Supreme Court invalidated a state law prohibiting the use of
contraceptive devices, thus recognizing a right of marital privacy
[Griswold v. Connecticut, 381 U.S. 479 (1965)].
(2) The Supreme Court later expanded the Griswold decision and held
that the right to use contraceptives belonged to single as well as
married persons [Eisenstadt v. Baird, 405 U.S. 438 (1972)].
(3) In Carey v. Population Services International [431 U.S. 678 (1977)],
the Supreme Court invalidated a state law that prohibited the sale of
contraceptives to minors except through a licensed pharmacist.
(4) But in 2014, the Court held that corporations cannot be required to
pay for contraception coverage for their female workers (the first
time that the court has recognized a for-profit corporation’s claim of
religious belief) [Burwell v. Hobby Lobby, 134 S. Ct. 2751 (2014)].
d. Marriage
(1) The right to marry is deemed fundamental. Any substantial inter-
ference with that right must be necessary to further a compelling
interest [Zablocki v. Redhail, 434 U.S. 374 (1978)].
(2) In June 2015, the United States Supreme Court announced that
governmental bans on same-sex marriage are unconstitutional
under the U.S. Constitution. Specifically, the Court held that such
bans violate the substantive due process doctrine and the funda-
mental right to marriage. This ruling impacts every state with a statu-
tory or constitutional ban on same-sex marriage. All states must now
recognize the same-sex marriages legally performed in other states,
assuming that such marriages are otherwise in accord with the
laws of the state where the marriage occurred. Most significantly, all
states must now allow same-sex couples to get married and accord
such couples the same rights and obligations otherwise accorded
people who marry [Obergefell v. Hodges, 135 S. Ct. 2584 (2015)].
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e. Abortion
(1) Planned Parenthood of Southeastern Pennsylvania v. Casey [505
U.S. 833 (1992)] modified the Supreme Court’s approach to repro-
ductive freedom that was established in Roe v. Wade [410 U.S.
113 (1973)]. The Casey holding rejected the trimester approach of
Roe and instead adopted an “undue burden” standard.
(a) A woman has a protected privacy interest in choosing to
have an abortion before the fetus is viable.
(b) During the first two trimesters (that is, before viability), the
government may regulate (but not ban) abortion in the
interest either of the mother’s health or of the potential life of
the fetus. The regulation may not impose an “undue burden”
on the woman’s right to choose an abortion.
(c) For the period of time subsequent to viability, the Supreme
Court reaffirmed Roe in concluding that a state may “regu-
late, and even proscribe, abortion except where it is neces-
sary…for the preservation of the life or health of the mother.”
(2) Consent Requirements
(a) Neither spousal notification nor spousal consent may be
required before a woman may obtain an abortion [Planned
Parenthood of Missouri v. Danforth, 428 U.S. 52 (1976)].
(b) However, parental consent may be required before an uneman-
cipated woman under the age of 18 obtains an abortion if the
state establishes a “judicial bypass” procedure through which
a minor may obtain an abortion with the consent of a judge
[Hodgson v. Minnesota, 497 U.S. 417 (1990)].
(3) Public Funding
(a) There is no constitutional right for indigent women to obtain
government funding for abortions [Maher v. Roe, 432 U.S. 464
(1977)]. Furthermore, a state may prohibit the use of public
facilities and publicly employed staff in performing abortions
[Webster v. Reproductive Health Services, 492 U.S. 490 (1989)].
(4) Late-Term Abortion
(a) Where a Nebraska statute prohibited “deliberately and
intentionally delivering into the vagina a living unborn
child, or a substantial portion thereof, for the purpose of
performing a procedure that the person performing such
procedure knows will kill the unborn child and does kill the
unborn child,” such a statute was unconstitutional because
it did not provide an exception for the health of the mother
and because it prohibited the dilation and evacuation
procedure used in most second-trimester abortions, as
well as the less frequently used “partial-birth” procedure
[Stenberg v. Carhart, 530 U.S. 914 (2000)].
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NOTE This fundamental right does not apply to unrelated persons [Belle Terre v.
Boraas, 416 U.S. 1 (1974)].
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EXAM TIP The Privileges or Immunities Clause of the Fourteenth Amendment has fre-
quently been a wrong answer on the MBE. Almost all the privileges and immunities
are protected by the Commerce Clause, Due Process Clause, or Equal Protection
Clause. However, the Privileges or Immunities Clause is not entirely dead: In
Saenz v. Roe [526 U.S. 489 (1999)], the Supreme Court ruled that it was an al-
ternative to an Equal Protection Clause protection with regard to the right to travel.
l. Right to Vote
(1) The fundamental right of U.S. citizens over age 18 to vote
extends to all federal, state, and local elections, as well as to
primaries. Strict scrutiny review is used to adjudicate restrictions
on the right to vote.
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(4) However, Whalen v. Roe provided little guidance for lower courts
dealing with medical privacy issues. Regarding the first of the
Court’s dual privacy interests, “the individual interest in avoiding
disclosure of personal matters,” Whalen left unclear what consti-
tuted a violation of the right, and failed to establish what type of
constitutional treatment the courts were to use when assessing it.
The Court’s second privacy interest in “independence in making
certain kinds of important decisions,” had been fleshed out by other
Supreme Court decisions, but there was no clear legal precedent
for a privacy interest in nondisclosure of personal matters [Id.].
(5) The courts of appeals have split over whether Whalen v. Roe
created a constitutional right to confidentiality. Most courts of
appeals have affirmed the existence of the right; two courts of
appeals have practically denied it.
(6) In addition, the constitutional treatments used to assess the
right contrast greatly among all the courts of appeals. In some
circuits, the federal courts hold that the needs of the government
always supersede the patient’s implied right of privacy. In
other circuits, the federal court apply a balancing test. While
the factors of the balancing tests differ between circuits, the
main factors used to determine whether an intrusion into an
individual’s privacy is justified center around [United States v.
Westinghouse Electric Corp., 638 F.2d 570 (3rd Cir. 1980)]:
(a) the type of record requested;
(b) the information it does or might contain;
(c) the potential for harm in any subsequent nonconsensual
disclosure;
(d) the injury from disclosure to the relationship in which the
record was generated;
(e) the adequacy of safeguards to prevent unauthorized disclosure;
(f) the degree of need for access; and
(g) whether there is an express statutory mandate, articulated
public policy, or other recognizable public interest militating
toward access.
D. Takings Clause
1. The Fifth Amendment provides that private property shall not be taken for
public use without just compensation. This prohibition also applies to the
states through the Due Process Clause of the Fourteenth Amendment.
2. In Agins v. City of Tiburon [447 U.S. 255 (1980)], the Supreme Court held
that a taking of property occurs if a regulation of private property “does not
substantially advance legitimate state interests.”
a. Agins was overruled in Lingle v. Chevron U.S.A., Inc. [544 U.S. 528
(2005)], in which the Supreme Court held that the extent to which a
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A. Constitutional Basis
1. The Fourteenth Amendment provides that no state shall “deny to any
person within its jurisdiction the equal protection of the laws.” The Supreme
Court has ruled that equal protection also applies to the federal government
under the Due Process Clause of the Fifth Amendment.
2. The guarantee of substantive due process assures that a law will be fair
and reasonable, not arbitrary; equal protection review is triggered where
persons similarly situated are treated differently.
a. Substantive due process review applies where a law affects the rights
of all persons with respect to a specific activity (e.g., a state law
prohibits the sale of birth control devices except by prescription).
b. Equal protection review applies where a law affects the rights of
some persons with respect to a specific activity (e.g., a state law
prohibits the sale of birth control devices to unmarried persons
except by prescription).
B. Standards of Review
1. Under the strict scrutiny standard, the burden of persuasion is on the
government to prove that the measure being challenged is necessary to
further a compelling interest.
a. The word necessary means that there is no less restrictive alternative
means available. There must be a very close “fit” between the means
and the end.
b. The government usually fails to prove its burden under strict scrutiny,
so an equal protection challenge to a law is generally successful (i.e.,
the law is presumptively invalid).
c. Strict scrutiny review applies to government action that uses suspect
classifications—race, alienage, and national origin.
2. Under the intermediate scrutiny standard, the burden of persuasion is
placed on the government to prove that the measure being challenged is
substantially related to the achievement of an important governmental interest.
a. The key term, substantially related, means that an exceedingly
persuasive justification must be shown. Intermediate scrutiny is much
closer to strict scrutiny than it is to rational basis.
b. Intermediate scrutiny applies to government action using quasi-suspect
classifications—gender and illegitimacy.
3. Under the rational basis standard of review, the burden of persuasion is on
the plaintiff to show that the measure being challenged serves no legitimate
government interest or is not rationally related to any legitimate interest.
a. Rational relationship is a minimal requirement which means that the
law cannot be arbitrary or unreasonable.
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The plaintiff must prove no The government must prove The government must prove
legitimate governmental interest. its classification is substantially its classification is necessary
related to an important to achieve a compelling
government interest. government interest.
C. Proving Discrimination
1. Discriminatory intent—purposeful discrimination—must be shown to
trigger strict or intermediate scrutiny. Mere discriminatory effect is insuf-
ficient. Discriminatory intent may be shown facially, as applied, or where a
discriminatory motive exists.
a. Facial discrimination arises where a law, by its very language,
creates distinctions between classes of persons (e.g., “only white, male
U.S. citizens may apply for positions with the state police department”).
b. Where a law that appears neutral on its face but in its application has a
disproportionate effect on a particular class of persons, strict or intermediate
scrutiny will apply only if the court finds a discriminatory purpose exists.
EXAMPLE: The fact that black applicants scored lower than white ap-
plicants on a police qualifying test did not per se prove a discriminatory
purpose in hiring practices, so strict scrutiny review was not triggered
and no equal protection violation was found [Washington v. Davis, 426
U.S. 229 (1976)].
c. A facially neutral law can be applied in a discriminatory manner. Where the
challenger can show a discriminatory purpose, the law will be invalidated.
EXAMPLE: Where a law prohibited the operation of laundries in wood-
en buildings, most of which were owned by Chinese individuals, and
government officials granted discretionary exemptions to white-owned
laundries, the Supreme Court found that purposeful discrimination in
the application of the law violated equal protection [Yick Wo v. Hopkins,
118 U.S. 356 (1886)].
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D. Suspect Classifications
1. Strict Scrutiny
a. Strict scrutiny applies to classifications based on race, alienage,
and national origin. Such laws will be presumptively invalid absent
a showing by the state that the measure is necessary to achieve a
compelling state interest.
(1) A state law prohibiting interracial marriages was held unconstitu-
tional [Loving v. Virginia, 388 U.S. 1 (1967)]. Similarly, a state law
prohibiting interracial cohabitation was held invalid [McLaughlin v.
Florida, 379 U.S. 184 (1964)].
(2) Deliberate de jure segregation violates equal protection [Brown
v. Board of Education, 347 U.S. 483 (1954); Plessy v. Ferguson,
163 U.S. 537 (1896)].
(a) Various plans to hinder desegregation have been deemed
unconstitutional, including the closing of all public schools
[Griffin v. County School Board of Prince Edward County,
377 U.S. 218 (1964)].
(b) The Supreme Court has held that public aid to private,
segregated schools—such as tuition grants and the exclu-
sive use of public facilities—was unconstitutional [Norwood
v. Harrison, 413 U.S. 455 (1973)].
(c) School boards have an affirmative duty to eliminate the
intentional racial segregation of schools.
1) Court-ordered busing is constitutional where it is imple-
mented to remedy past discrimination in a particular school
system, rather than to attract nonminority students from
outside districts to achieve integration. Court-ordered
busing is a temporary measure that must be terminated
once the vestiges of past discrimination have been elimi-
nated [Board of Education v. Dowell, 498 U.S. 237 (1991)].
(3) Where it can be shown that race was the “predominant factor” in
defining the borders of new election districts (rather than contiguity,
compactness, or community interest), then such a plan will be
subject to strict scrutiny [Miller v. Johnson, 515 U.S. 900 (1995)].
b. The Court will generally apply strict scrutiny when a state law discrimi-
nates against aliens.
EXAMPLE: A state law prohibiting aliens from owning land was invali-
dated [Oyama v. California, 332 U.S. 633 (1948)].
EXAMPLE: A state law denying commercial-fishing licenses to resident
aliens who were ineligible for citizenship was held invalid [Takahashi v.
Fish & Game Commission, 334 U.S. 410 (1948)].
EXAMPLE: The Supreme Court invalidated a state law that excluded
financial assistance for higher education to aliens who were eligible for
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NOTE Federal laws that discriminate against aliens are not subject to the strict scru-
tiny test because Congress has broad plenary power to regulate immigration.
2. Intermediate Scrutiny
a. Distinctions drawn between legitimate and illegitimate children are
subject to an intermediate, or “quasi-suspect,” standard [Mathews v.
Lucas, 427 U.S. 495 (1976)]. As a result, it is now close to the “almost
suspect” standard used for gender discrimination [Mills v. Habluetzel,
456 U.S. 91 (1982)].
(1) Classifications must be “substantially related to an important
state interest” [Id.].
(2) Classifications that favor legitimates and disfavor illegitimates are
generally struck down because the overriding government interest
in this area is not to punish the offspring of an illicit relationship.
EXAMPLE: In Levy v. Louisiana [391 U.S. 68 (1968)], the Supreme
Court struck down a state law that permitted legitimate children, but
not illegitimate children, to maintain a wrongful death action.
EXAMPLE: Similarly, the Supreme Court invalidated a state law
that excluded illegitimate children from sharing equally with other
children in worker’s compensation death benefits [Weber v. Aetna
Casualty and Surety Co., 406 U.S. 164 (1972)].
EXAMPLE: Likewise, illegitimate children are entitled to welfare
benefits [New Jersey Welfare Rights Organization v. Cahill, 411
U.S. 619 (1973)].
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EXAM TIP In some cases, laws discriminating against men have been upheld when they are
“substantially related to the achievement of an important government interest.”
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NOTE Corporations and aliens are not protected under the Fourteenth Amendment
Privileges or Immunities Clause.
EXAM TIP When an in-state citizen is discriminated against on the basis of the
citizen having only resided in the state for a limited time (i.e., a durational
residency requirement), this citizen can assert that the Fourteenth
Amendment Privileges or Immunities Clause has been violated, insofar
as an aspect of a citizen’s right to travel (the right to elect to become a
permanent resident of a new state) has been violated.
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(4) extends the statute of limitations for a crime as to which the previ-
ously applicable statute of limitations has already expired.
C. Bills of Attainder
1. A bill of attainder is a legislative act that inflicts punishment without a judicial
trial upon named individuals or an easily ascertainable group for past conduct.
2. Article I, Section 9, Clause 3 states: “No bill of attainder…shall be passed”;
and Article I, Section 10, Clause 1 provides: “No state shall pass any Bill of
Attainder.” These two provisions prevent both federal and state legislatures
from passing bills of attainder.
a. The Supreme Court held that a provision in the Landrum-Griffin Act
making it a crime for a member of the Communist Party to act as an
officer of a labor union was the equivalent of legislative punishment, and
hence a bill of attainder [United States v. Brown, 381 U.S. 437 (1965)].
b. However, the Court later held that legislation authorizing government
control of various presidential papers and tape recordings did not
constitute a bill of attainder, because the act was nonpunitive [Nixon v.
Administrator of General Services, 433 U.S. 425 (1977)].
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B. Freedom of Expression
1. The First Amendment provides: “Congress shall make no law…abridging
the freedom of speech, or of the press; or the right of the people peaceably
to assemble, and to petition the government for a redress of grievances.”
a. The First Amendment was held applicable to the states through the
Due Process Clause of the Fourteenth Amendment [Gitlow v. New
York, 268 U.S. 652 (1925)].
2. The government may neither censor all categories of speech nor engage in
content-based discrimination among different categories of speech (even if
that speech is offensive), with some exceptions.
3. Exceptions to Freedom of Speech
a. Strict Scrutiny
(1) The regulation of speech is allowable if it passes strict scrutiny.
EXAMPLE: A provision of the District of Columbia Code prohibiting
signs within 500 feet of a foreign embassy that tended to bring the
foreign government into “public odium” or “public disrepute” was held
unconstitutional as a content-based regulation of political speech that
could not be justified by proof of a compelling governmental interest
served by narrowly tailored means [Boos v. Barry, 485 U.S. 312 (1988)].
EXAMPLE: Congress banned corporations and unions from
using their general treasury funds to advocate the election
or defeat of a candidate within 30 days of an election. Citi-
zens United wanted to run a television show that was critical
of presidential candidate, Hillary Clinton, shortly before the
primary election. The Court ruled that corporate spending
on speech merits the same First Amendment protection as
speech by natural persons. Hence, Congress could not cen-
sor such corporate speech [Citizens United v. Federal Elec-
tion Commission, 558 U.S. 310 (2010)]. However, the Court
has held that a state ban on the use of payroll deductions to
fund political campaigns is not an abridgement of speech. The
unions may engage in political speech, but are barred from
enlisting the state’s support through payroll deductions [Ysursa
v. Pocatello Education Association, 353 U.S. 553 (2009)].
EXAMPLE: In Washington State, citizens may put a referendum
on the ballot if they can get a certain number of signatures on
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NOTE This test is very much like the test for intermediate scrutiny under
equal protection.
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(7) A public school may not deny use of its facilities to religious
groups if other public and private groups are allowed similar
access [Lamb’s Chapel v. Center Moriches Union Free School
District, 508 U.S. 672 (1992)].
(8) The owner of a private shopping center is not required by the
Constitution to allow access for purposes of picketing and/or leaf-
leting [Hudgens v. NLRB, 424 U.S. 507 (1976)].
(a) However, a state’s constitution may be interpreted to protect
such expressive activity [Pruneyard Shopping Center v.
Robins, 447 U.S. 74 (1980)].
4. Freedom of Association
a. There is a close “nexus” between the freedoms of speech and associa-
tion. The Supreme Court has acknowledged that “state action which
may curtail (or have the effect of curtailing) the freedom to associate is
subject to the closest scrutiny.”
(1) Under the freedom to associate, the Court has struck down laws
that prevented the NAACP from assisting individuals and that
prevented a labor union from assisting its members in retaining
lawyers [NAACP v. Button, 371 U.S. 415 (1963); Brotherhood of
Railroad Trainmen v. Virginia, 377 U.S. 1 (1964)].
(2) It is unconstitutional for the government to order the Boy Scouts
of America to allow homosexuals to participate in the organiza-
tion. The organization’s view that homosexual conduct was incon-
sistent with the values it sought to instill in youth members fell
within its First Amendment right of expressive association [Boy
Scouts of America v. Dale, 530 U.S. 640 (2001)].
(a) The Supreme Court refused to extend First Amendment
protection to a high school student’s lewd and offensive
campaign speech delivered at a school assembly [Bethel
School District No. 403 v. Fraser, 478 U.S. 675 (1986)].
5. Public Employment
a. In general, an individual cannot be denied public employment based
upon membership in a political organization unless the position is a
high-level policy-making position [Keyishian v. Board of Regents,
385 U.S. 589 (1967)].
(1) The Court invalidated political patronage dismissals by the Democratic
sheriff of Cook County [Elrod v. Burns, 427 U.S. 347 (1976)].
(2) The Court held that party affiliation is not an appropriate
requirement for the position of public defender [Brand v.
Finkel, 445 U.S. 507 (1980)].
b. An individual may be deprived of public employment for political asso-
ciation if [Scales v. United States, 367 U.S. 203 (1961)]:
(1) he is an active member of a subversive organization;
(2) such membership is with knowledge of the illegal aims of the
organization; and
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(3) he has a specific intent to further those illegal ends (e.g., violent
overthrow of the government).
EXAMPLE: A provision of the Subversive Activities Control Act
was held unconstitutionally overbroad by denying members
of the Communist Party “employment in any defense facility”
[United States v. Robel, 389 U.S. 258 (1967)].
c. In the past, the Court has chosen to deal with loyalty oath
qualifications under the “vagueness” and “overbreadth” doctrines.
EXAMPLE: An Arkansas statute requiring teachers to file an affidavit
listing “every organization to which they have belonged or regularly
contributed within the preceding five years” was invalidated as
overbroad [Shelton v. Tucker, 364 U.S. 479 (1960)].
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8. Vagueness
a. The vagueness doctrine is closely related to the overbreadth
doctrine. In NAACP v. Button [371 U.S. 415 (1963)], the Court
admonished that governmental regulations must be drawn “with
narrow specificity.” The following statutes have been ruled “void for
vagueness” under due process inquiries:
(1) a statute making it a crime to “publicly mutilate, trample upon,
deface or treat contemptuously the flag of the United States”
[Smith v. Goguen, 415 U.S. 566 (1974)];
(2) a municipal vagrancy ordinance defining vagrants to include
“rogues and vagabonds,…lewd, wanton, and lascivious
persons,…[and] persons wandering or straying around
from place to place without any lawful purpose or objective”
[Papachristou v. City of Jacksonville, 405 U.S. 156 (1972)]; and
(3) a city ordinance that defined loitering as “to remain in any
one place with no apparent purpose” and gave police officers
absolute discretion to issue dispersal orders to groups of two
or more persons seen loitering in a public place if the officer
reasonably believed that one of them was a criminal street gang
member, and which made it a criminal offense to disobey such
order [City of Chicago v. Morales, 527 U.S. 41 (1999)].
9. Press
a. The press has no greater freedom to speak than any ordinary
member of the general public does. Also, the press has no special
right of access to government information.
(1) The First Amendment guarantees both the public and the press
a right to attend criminal trials. However, this right is not absolute
and may be outweighed where the judge finds an “overriding”
interest that cannot be accommodated by less restrictive means
[Richmond Newspapers v. Virginia, 448 U.S. 555 (1980)].
(2) A gag order—a pretrial order prohibiting the press from
publishing certain types of information—will almost never
be held constitutional because the trial judge has other
alternatives at his disposal (e.g., a change of venue,
postponement of the trial, careful voir dire, or restricting
statements of the lawyers, police, and witnesses) [Nebraska
Press Association v. Stuart, 427 U.S. 539 (1976)].
(3) A newsperson has no First Amendment right to refuse to testify
before a grand jury [Branzburg v. Hayes, 408 U.S. 665 (1972)].
(4) In general, radio and television broadcasting can be more closely
regulated than the press, due to the limited number of airwaves
available. A radio broadcast of “patently offensive sexual and
excretory speech” (even if not “obscene” under the Miller test) can
be sanctioned to protect the privacy interests of children likely to
be listening [FCC v. Pacifica Foundation, 438 U.S. 726 (1978)].
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(5) The Court has held that cable television receives First
Amendment protection somewhere between that of broadcast
television and newspapers.
(6) Where cable television operators are subjected to content-
neutral regulations, intermediate scrutiny is applied [Turner
Broadcasting System, Inc. v. FCC, 512 U.S. 622 (1994)].
(7) On the other hand, where content-specific regulation is imposed,
the Court has yet to select a standard of review. However, the
Court allows cable television operators the right to ban “indecent”
programming that describes sexual activities in a patently
offensive manner when in programming on channels that are
leased outright to unaffiliated third parties (but not to public
access channels) [Denver Area Educational Telecommunications
Consortium, Inc. v. FCC, 518 U.S. 727 (1996)].
(8) The Supreme Court held that where a radio commentator played
a tape on his talk show that he had legally obtained, but which had
been recorded by another person in violation of the law, such a
publication was protected under the First Amendment. The Court
reasoned that a stranger’s illegal conduct does not suffice to
remove the First Amendment shield from speech about a matter
of public concern [Bartnicki v. Vopper, 535 U.S. 514 (2001)].
(9) As a general rule, any prior restraint of publication will be
deemed illegal. This does not mean that, after publication, there
may not be civil or criminal consequences from the publication
itself. Consider the timing of the action in question and
determine if it takes place before or after publication.
10. Bar Admission
a. The state is permitted, under the Due Process Clause, to inquire into
the qualifications and fitness of candidates for admission to the bar.
(1) A candidate cannot be denied admission for past membership
in the Communist Party [Schware v. New Mexico Board of Bar
Examiners, 353 U.S. 232 (1957)].
(2) However, the state can refuse bar membership to an applicant
who refuses to answer questions (e.g., regarding past
Communist Party membership) if his refusal obstructs the bar
examiner’s investigation of his qualifications [Konigsberg v.
State Bar of California, 366 U.S. 36 (1961)].
(3) Reaffirming the validity of Konigsberg, the Court held that a state
can inquire into knowing membership in subversive organizations
in screening its applicants for the bar. Thus, the First Amendment
does not extend unlimited protection to a bar applicant who
refuses to disclose his political affiliations [Law Students Civil
Rights Research Council, Inc. v. Wadmond, 401 U.S. 154 (1971)].
(4) A residency requirement by the New Hampshire state bar
requiring a Vermont resident to establish a home address in
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Contracts
TABLE OF CONTENTS
In General....................................................................................................................................168
The Uniform Commercial Code....................................................................................................168
The Common Law of Contracts...................................................................................................169
Basic Definitions and Concepts of Contract Law.........................................................................170
In General....................................................................................................................................172
The Offer......................................................................................................................................172
Acceptance under Common Law.................................................................................................182
Acceptance and the UCC.............................................................................................................185
In General....................................................................................................................................201
The Statute of Frauds in Operation..............................................................................................201
Evaluating Statute of Frauds Issues............................................................................................201
Analyzing Problems under the Statute of Frauds.........................................................................202
Analyzing Problems under the UCC Statute of Frauds................................................................208
Effect of Satisfying the Statute of Frauds.....................................................................................215
No Mutuality of Obligation under the Statute of Frauds...............................................................215
Limitations on the Statute of Frauds............................................................................................216
In General....................................................................................................................................217
Filling in the Gaps with Default Provisions...................................................................................217
Interpreting Ambiguous Language...............................................................................................221
Trade Usage, Course of Dealing, and Course of Performance....................................................223
The Parol Evidence Rule.............................................................................................................224
166
VII. DEFENSES
Incapacity.....................................................................................................................................256
Misrepresentation.........................................................................................................................259
Duress..........................................................................................................................................264
Undue Influence...........................................................................................................................267
Unconscionability.........................................................................................................................268
Public Policy.................................................................................................................................270
VIII. REMEDIES
In General....................................................................................................................................293
Classification of the Third-Party Beneficiary.................................................................................293
Rights of Parties to Enforce the Contract.....................................................................................295
Assignment of Rights...................................................................................................................298
Delegation of Duties.....................................................................................................................303
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A. In General
1. There are two principal sources of contract law: Article 2 of the Uniform
Commercial Code (“UCC”) and state common law.
2. In deciding which source of contract law applies, first look for the subject matter
covered by the UCC. If the UCC does not apply, then common law will apply.
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EXAM TIP The UCC governs the sale of all goods, not just the sale of goods priced at
$500 or more. The UCC’s Statute of Frauds [§ 2-201] applies only to the sale
of goods for a price of $500 or more, requiring that a writing be signed by the
party against whom enforcement of the contract is sought, but the rest of the
UCC applies to the sale of all goods.
EXAM TIP The UCC governs all sales of goods, not just sales of goods involving mer-
chants. The UCC has a number of provisions that create special rules for
merchants (e.g., Section 2-205—only a merchant can make a firm offer; Sec-
tions 2-314 and 2-315—the merchant warranty provisions). Although the sale of
goods by and between consumers is beyond the scope of the special merchant
provisions, such sales are governed by all the other provisions of the UCC.
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A. In General
1. In many cases, parties to a would-be contract negotiate in advance of
reaching agreement, engaging in a communications “volley” where inqui-
ries, proposals, and counterproposals are exchanged. The law of “offer
and acceptance” provides the rules for determining the point at which the
parties have a legally enforceable contract.
B. The Offer
1. In order to constitute an offer, a party’s communication must meet
two requirements:
a. an outward manifestation; and
(1) The manifestation can be oral, written, or made via conduct.
EXAMPLE: A newspaper seller stands on the corner with a stack of
newspapers and hands them to people who pay the posted price.
(2) Inward thoughts or subjective intentions are irrelevant unless they
are reasonably apparent to the other party.
EXAMPLE: A seemingly serious offer to sell real property made
in secret jest is nonetheless an offer.
EXAMPLE: A proposal to sell at a price that a reasonable per-
son would regard as “too good to be true” (e.g., “new HDTVs for
$8.99”) does not constitute an offer.
b. the signal that acceptance will conclude the deal.
(1) An offer must signal to the would-be offeree that the latter’s
agreement will conclude the deal. The key inquiry is whether
the party making the communication expressed a willingness to
commit without further assent.
EXAMPLE: “I will sell you my car if you’ll pay me $2,000 cash.”
This is an offer because it expresses a willingness to conclude
the deal if the other party pays the required $2,000.
EXAMPLE: “Yes, I’d be willing to sell you my car, but what are
you willing to pay for it?” This is not an offer because the commu-
nicating party is obviously reserving the right to decide whether
she likes the price suggested by the other party. She is thus with-
holding the privilege of further assent, or she is reserving the right
to assent (or not assent) to the other party’s proposal.
(2) Communications that withhold the privilege of further assent fall
short of constituting an offer.
(a) A preliminary negotiation is a generic term that applies to
the give-and-take that occurs during bargaining.
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NOTE If an offer to enter a unilateral contract was mailed to the offeree, then the
offeror may revoke the offer even if the offeree has placed the acceptance
in the mail. The mailbox rule (discussed later in this outline) only applies to
bilateral contracts, and so dispatch could not constitute acceptance to create
a unilateral contract.
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EXAM TIP In a situation where the parties simultaneously dispatch identical offers, re-
member that offers are not effective until received, and the only effect an offer
has once received is to create the power of acceptance in the offeree. Ac-
cordingly, unless and until one of the parties receives and accepts one of the
offers passing in the night, there is no contract.
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b. Failure of Consideration
(1) A failure of consideration is a claim that the party has not
performed in accordance with his promise.
EXAMPLE: If A promises to deliver a horse to B in exchange
for B’s promise of payment and A then fails to deliver the horse,
then there is a failure of consideration. However, we would not
say that the consideration for B’s promise was lacking, since
A’s original promise of performance constituted consideration
for B’s promise of payment.
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A. In General
1. The general rule in contract law is that a contract need not be in writing and
that oral and written agreements are equally enforceable.
2. However, the Statute of Frauds provides an important exception to that
rule and makes some classes of contracts unenforceable unless reflected
in a signed writing. The Statute of Frauds was originally an English statute
and has been adopted in every U.S. jurisdiction through either legislation
or common law.
3. The Statute of Frauds can be divided into two general areas of application:
a. certain sales of goods; and
(1) The Statute of Frauds governs certain sales of goods in every
jurisdiction except Louisiana [§ 2-201].
b. certain transactions not involving the sales of goods.
(1) Other types of transactions that do not fall under Section 2-201
of the UCC may still be governed by the Statute of Frauds
where states adopted the original Statute of Frauds or some
modified version of it.
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STATUTE OF FRAUDS
MY LEGS
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d. Promise to Marry
(1) Most states have abolished the cause of action for breach of a
promise to marry, though it still exists in some jurisdictions. In
jurisdictions that recognize this claim, the coverage of the Statute
of Frauds has been narrowed as follows:
(a) A promise to marry that has been given in exchange for
dowry or other settlement is governed by the Statute, and
there must be a signed writing in order to secure enforce-
ment of either party’s obligations.
(b) An exchange of promises to marry is not governed by the Statute
of Frauds and does not need signed writing to secure enforcement.
e. Performance within One Year
(1) The year at issue under the one-year provision is measured from
the date of the contract’s formation rather than the date of the
beginning of performance. A contract that contemplates a dura-
tion of less than a year may nonetheless fall under the Statute of
Frauds if performance is not to be completed until more than one
year after the contract’s formation.
EXAMPLE: In June of her first year of law school, Law Student
enters an oral agreement with Law Firm to work for the firm dur-
ing June, July, and August of her second summer. Although the
duration of the contemplated performance is only three months,
the performance will not be complete until 14 months after the
making of the agreement. Accordingly, the contract is governed
by the one-year provision, and a signed writing is required in
order to secure enforcement.
(2) When a contract does not specify a date by which performance
is to be completion, the question of whether a particular contract
is to be performed within one year of the making thereof is
answered by determining whether it is at all possible to complete
the required performance within a year’s time.
EXAMPLE: It is highly unlikely that the construction of an oil-pro-
ducing facility in a war-ravaged country would be completed within
a year. But because the performance is possible within that time—
even if exceedingly unlikely—the agreement is not governed by the
one-year provision, and no signed writing is required.
EXAMPLE: One of the parties to an oral construction agreement
attempts to back out 14 months into the project and raises the
Statute of Frauds as a defense. Because the prospect of perfor-
mance is measured from the point of making the contract (when
completion within a year was possible) rather than from the time
of the dispute (when completion within the first year is clearly no
longer possible), the agreement is not governed by the one-year
provision and no signed writing is required.
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d. Performance
(1) The Statute of Frauds may be satisfied with respect to some of
the categories of governed contracts via part performance.
(2) Land Contracts
(a) Part performance will make an oral contract for the sale of
land enforceable in two situations:
1) in an action by the buyer against the seller, but not in an
action by the seller against the buyer; and
2) in an action for specific performance, but not in an
action for money damages.
(b) Part performance requires a showing of any combination, or
all three, of the following:
1) payment of all or part of the purchase price;
2) taking of possession; and
3) making substantial improvements to the property.
(3) One-Year Contracts
(a) Full performance of an oral contract for services by the party
performing the services will make the contract enforceable
against the paying party. On the other hand, part perfor-
mance is not compensable on the contract. However, the
performing party may be able to recover for the reasonable
value of the services actually rendered via quantum meruit.
(4) Sale of Goods Contracts
(a) The UCC Statute of Frauds may be satisfied by part perfor-
mance of a sale of goods contract, and the rules governing
such satisfaction are discussed later.
3. Enforcement Where the Statute of Frauds Is Not Satisfied
a. If the contract is within the Statute of Frauds but the Statute is not satis-
fied because the breaching party never signed a written document, the
aggrieved party may nevertheless be able to secure some protection for
his interests via an action for restitution or promissory estoppel.
b. Recovery for Benefits Conferred
(1) Where one party bestows benefits upon another in connection
with an oral contract, even if the enforcement of that contract is
barred by the Statute of Frauds, the aggrieved party may recover
something. The party has the option of filing a cause of action for
restitution, seeking to recover the value of the benefits that he
conferred. Alternatively, if services are involved, the party may
recover on a theory of quantum meruit, meaning he could sue to
recover the reasonable value for the services he rendered.
EXAMPLE: A spends three months working for B under an oral
two-year employment contract. If B fires A and successfully raises
a Statute of Frauds defense against enforcement of the oral con-
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law Statute of Frauds rules, a written offer that will satisfy the
latter may not be enough under the UCC.
1) Because the UCC’s writing requirement says that the
writing must be “sufficient to indicate that a contract for sale
has been made between the parties,” the plain language
suggests that only a writing that is contemporaneous with
or subsequent to contract formation will satisfy the test.
2) However, a written offer that proposes a sale of goods
at a price of $500 or more that meets the requirements
of the UCC firm offer rule is enforceable against the
signing merchant. In such a case, the UCC Statute of
Frauds is irrelevant, despite the fact that without docu-
mentary proof of acceptance, the offer is not sufficient to
indicate that a contract for sale has actually been made.
(2) Merchant’s Confirmation
(a) The UCC Statute of Frauds may be satisfied when two
merchants enter an oral agreement and one of them sends the
other a written confirmation of the agreement. In such a circum-
stance, the Statute is satisfied against the recipient merchant if
the latter fails to object to the confirmation in a timely fashion.
(b) A valid merchant’s confirmation requires a writing that [§ 2-201(2)]:
1) is “sufficient against the sender”;
a) The question here is whether the confirmation
meets the requirements of Section 2-201(1) (i.e.,
it must be signed by the sender, it must contain a
quantity term, etc.).
2) is “in confirmation of the contract”;
a) The authorities are divided on whether this language
imposes a requirement on valid merchants’ confirma-
tions in addition to the requirement that the writing be
“sufficient against the sender.” Some courts hold that
a writing that is sufficient against the sender under
Section 2-201(1) is all that is necessary; other courts
stress the “and” term and require express language
confirming the existence of a prior oral agreement.
EXAMPLE: During a telephone conversation on
March 8, A places an order and B agrees to fulfill it.
A sends a signed letter to B that outlines the price,
quantity, and delivery terms “per 3/8 discussion,”
and ends with the following language: “We look
forward to you fulfilling our order per these terms.”
Because the signed writing would be sufficient to
satisfy the UCC Statute of Frauds against sender
A, some courts would hold that it would also be
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A. In General
1. Parties to a contract ordinarily reach explicit and unambiguous agree-
ments on the essential issues of the contract, such as quantity and price.
However, they frequently fail to be as explicit as to the details. This can
result in either gaps in the contract or contractual language that is subject to
more than one interpretation. This section deals with the rules courts use to
fill contractual gaps and resolve contractual ambiguities.
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(c) any sample or model that is made part of the basis of the
bargain creates an express warranty that the whole of the
goods will conform to the sample or model.
(2) The seller need not use formal words such as “warrant” or “guar-
antee,” nor must the seller have a specific intention to make a
warranty in order to create an express warranty. However, a mere
affirmation of the value of the goods or a statement of the seller’s
opinion does not create a warranty [§ 2-313(2)].
(3) Words or conduct relevant to the creation of an express warranty and
words or conduct tending to negate or limit warranty shall be construed
wherever reasonable as consistent with each other [§ 2-316(1)].
(a) Where an express warranty conflicts with a limitation or
disclaimer, the express warranty will prevail [Id.].
(4) The measure of damages for breach of warranty is the difference
at the time and place of acceptance between the value of the
goods accepted and the value they would have had if they had
been as warranted [§ 2-714(2)].
c. Missing Terms
(1) Under the UCC, where there are pertinent terms missing, the
following provisions will supplant the contract:
(a) The default rule for a missing price term is the reasonable price
at the time established by the contract for the delivery of goods.
(b) A missing time term exists if the contract is silent as to the
date of delivery or any other date by which action must be
taken under the contract. The default rule for a missing time
term is that contractual action must be performed within a
reasonable time.
(c) The default rule for a missing place of delivery term is that
the place of delivery will be the seller’s place of business
unless otherwise agreed.
4. Common Law Default Rules for Service and Employment Contracts
a. Missing Price Term
(1) If one party performs services at the request of another but
no price is discussed in advance, then the default rule under
common law will apply. The default rule for a missing price term
is the reasonable value of the services rendered. This is typically
available based on quantum meruit.
b. Missing Duration Term
(1) In practically every jurisdiction, the employment-at-will rule is
the default rule for duration of an employment contract; absent
an agreement to the contrary, an employer may dismiss, and an
employee may quit, at any time for any reason.
(2) In a majority of jurisdictions, oral or written assurances of job
security made to an individual employee, as well as assurances
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NOTE For ease of reference, courts refer to all such evidence as “parol evidence.”
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the parol evidence rule will not bar efforts to prove that the
written agreement is invalid or unenforceable. The absence
of an enforceable agreement may be proved by parol
evidence or any other extrinsic evidence.
(b) A party can assert such a claim in one of the following ways:
1) Failure of an Oral Condition Precedent to the Agreement
a) Evidence that the parties orally agreed to a condi-
tion precedent to the contract taking effect as well
as further evidence that the condition failed would
not be barred by the parol evidence rule where both
parties’ obligations would be discharged by the
failure of that condition.
EXAMPLE: The parties to a written contract for the
sale of artwork orally agree that the sale will not take
effect unless and until a certificate of authenticity is
issued by a named art expert. Because authentication
is a condition precedent to the sale, the parol evi-
dence rule will not bar proof of the oral agreement.
2) Absence of Consideration
a) Evidence that a written agreement lacks consider-
ation or that there was a false recital of consider-
ation is not barred by the parol evidence rule.
3) Mistake or Duress
a) Evidence that the written agreement was formed
from mistake or duress may be admissible to prove
that there was never a contract.
4) Fraud
a) The majority rule is that the parol evidence rule will
not bar extrinsic evidence of fraud.
b) The minority rule is that extrinsic evidence is inad-
missible to prove fraud where the written contract
expressly eliminates an element of the claim (e.g.,
“the parties agree that neither party relied in any
way on representations made outside the four
corners of this agreement”).
5) Reformation
a) The parol evidence rule is also inapplicable where
a party to a written agreement alleges facts entitling
him to reformation of the agreement. Reformation is
based on the premise that the parties had reached
an agreement concerning the instrument, but while
reducing their agreement to written form, and as the
result of mutual mistake or fraud, some provision or
language was omitted from, inserted, or incorrectly
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(a) If the contract requires the seller to tender delivery of the goods at
a particular destination, the seller must, at the destination, put and
hold conforming goods at the buyer’s disposition [§ 2-503(1)].
(b) The seller must also give the buyer any notice of tender that
is reasonably necessary and provide the buyer with any docu-
ments of title necessary to obtain delivery. Tender of documents
through ordinary banking channels is sufficient [§ 2-503].
(4) In contracts that specify that delivery is free on board (“F.O.B.”),
the F.O.B. point is the delivery point.
(a) If the contract is F.O.B. the seller’s place of shipment, the
seller need only, at his expense and risk, put the goods in
the possession of the carrier.
EXAMPLE: Seller is a shirt manufacturer with a factory in
Baltimore. He contracts to sell 2,000 shirts to Buyer, who
runs a retail clothing store in Las Vegas. If their contract
states that the goods are “F.O.B. Baltimore,” Seller’s risk and
expense would end once he puts it in the possession of the
carrier (e.g., The Quick-Ship Co.).
(b) If the contract is F.O.B. the destination, the seller must, at his
expense and risk, tender delivery of the goods at the desti-
nation location [§ 2-319(1)].
EXAMPLE: If in the above example, the contract states that
the goods are “F.O.B. Las Vegas,” the Seller would continue
to bear the expense and risk while the goods are being
shipped by The Quick-Ship Co., until the goods are actually
tendered for delivery at the destination location.
(5) In contracts that specify the delivery is free alongside (“F.A.S.”), the
seller must deliver the goods alongside the vessel (in the manner
usual at the port of delivery) or on a dock designated by the buyer
and obtain and tender a receipt for the goods [§ 2-319(2)].
3. Buyer’s Obligations
a. Unless otherwise agreed-upon, the buyer’s tender of payment is a condi-
tion to the seller’s duty to tender and complete delivery [§ 2-511(1)].
b. A tender of payment is sufficient when it is made by any means or
in any manner current in the ordinary course of business, unless the
seller demands payment in cash and gives the buyer a reasonable
extension of time to procure it [§ 2-511(2)].
c. A buyer’s payment by check is conditional and will be defeated if the
check is not honored upon presentment [§§ 2-511(3); 2-511, cmt. 5].
d. Inspection of the Goods
(1) Generally, unless the parties agree otherwise, the buyer has a
right to inspect goods upon tender or delivery before making
payment or acceptance [§ 2-513(1)].
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B. Modification
1. At common law, parties were free to enter a contract on virtually any terms
that they wished. Once they had entered the contract, however, the law
made it very difficult for them to modify those terms.
2. The contemporary rules allowing for modification under the UCC and
common law are more flexible. However, effective modification of a valid
contract is still a burdensome project.
3. Modification at Common Law
a. The Preexisting Duty Rule
(1) At common law, a promise to increase compensation under an
existing contract is an unenforceable modification to an existing
contract because there is no consideration offered for the
modification under the preexisting duty rule.
EXAMPLE: The captain of a fishing vessel promised to pay $100
to each of the sailors for their work on a fishing voyage. Midway
through the voyage, the sailors threatened to cease work unless they
were promised an additional $50 each, and the captain reluctant-
ly agreed. At the end of the voyage, the captain paid each of them
the originally promised $100 but refused to pay the $50 increase,
so the sailors sued to recover the additional amount. Because the
sailors were already obliged to perform the work in question under
the terms of their original contract with the captain, his promise of
an additional $50 is unenforceable under the preexisting duty rule.
b. Exceptions to the Preexisting Duty Rule
(1) Mutual Modification
(a) A promise to increase compensation under an existing contract
is enforceable as a mutual modification to the contract if:
1) both parties agree to a performance that is different
from the one required by the original contract; and
2) the difference in performance is not a mere pretense of
a newly formed bargain.
EXAMPLE: During the course of the fishing voyage, the
ship’s cook takes ill, and the captain instructs the young-
est of the sailors to perform the cook’s duties in addition
to his fishing duties. The sailor refuses to perform the
work unless the captain promises him an additional $50
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b. The duress defense is available not only in common law cases, but
also in sales of goods cases governed by the UCC.
6. Effect of “No Oral Modifications” Clauses
a. Unless required by the Statute of Frauds, modifications can generally
be oral or written. However, the enforceability of an oral modification to
an agreement may depend upon whether the contract contains a “no
oral modifications” clause.
(1) There is no specific language required for this type of provision.
“No oral modifications,” “all modifications must be in writing,” or
any such similar language would suffice.
b. Common Law Cases
(1) Originally, there was a common law rule that made oral modi-
fication clauses invalid, and even today most courts will refuse
to enforce them where a party has reasonably relied on the oral
agreement at issue. However, their enforcement is becoming more
likely in modern cases, particularly in the construction context.
c. UCC Cases
(1) Under Section 2-209, clauses prohibiting subsequent oral modifi-
cations are presumptively valid.
(2) An oral modification made in violation of such a clause may
nevertheless be enforceable if the disadvantaged party relies on
the modification or the parties perform in accordance therewith.
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contract. This requires that the mistaken facts will significantly impact
the value of the transaction to one or both parties.
c. When only one of the parties to a contract is operating under a faulty
assumption about material facts as they exist at the time of contracting,
the situation is governed by the rules of unilateral mistake. When
both parties labor under a common faulty assumption, the situation is
governed by the rules of mutual mistake.
(1) Unilateral Mistake
(a) Under the rules governing unilateral mistake, a party oper-
ating under a faulty assumption about material facts as
they exist at the time of contracting is not excused from his
contractual performance unless:
1) the other party knew or had reason to know of the mistake; or
EXAMPLE: A agrees to sell B a cow, which A knows to
be barren and, as the parties are writing up and signing
the agreement, B asks A a series of questions about the
care and feeding of pregnant cows. Because A has rea-
son to know that B is mistaken with respect to the cow’s
capacity to bear calves, B’s obligation to purchase the
cow is excused on account of unilateral mistake.
2) the mistake was based on a clerical error.
a) The clerical error exception is not available in all
jurisdictions, and where available, it is subject to
the following exceptions:
i) where the error was caused by extreme negli-
gence on the part of the party making the error; or
ii) where the other party has relied on the clerical error.
(2) Mutual Mistake
(a) Where both parties have labored under a common faulty
assumption regarding the present facts, there is a mutual
mistake. Under the rules of mutual mistake, the contract will
be voidable by the disadvantaged party where:
1) the fact about which the parties were mistaken is
essential to the contract (i.e., it goes to the very heart
of the exchange);
2) both parties were mistaken; and
3) the disadvantaged party did not bear the risk of mistake
under the parties’ agreement.
EXAMPLE: A agrees to sell B a cow at beef cow prices be-
cause at the time of contracting, both parties were under the
assumption that the cow was barren. A short time later, the
cow was discovered to be with calf, which greatly increased
her resale value. The contract is voidable at the option of A.
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3) illegality.
a) The doctrine of impossibility will discharge the
parties’ obligations if performance is prohibited by a
change in a constitution, statute, administrative regu-
lation, or municipal ordinance, or by judicial order.
d. Impracticability
(1) Courts are reluctant to excuse performance for any reason other
than impossibility. However, under the doctrine of impracti-
cability, a promisor may be excused from performance where
unforeseen difficulties have made performance prohibitively
expensive or otherwise extremely burdensome.
(2) The doctrine of impracticability has its source in Section 2-615
of the UCC, but has since been adopted in the common law of
contracts as well.
(3) The following elements are required to show that performance
under a contract would be impracticable:
(a) the impracticability of the performance was caused by some
unforeseen contingency;
(b) the risk was neither assumed nor allocated by the parties; and
(c) the increase in the cost of performance would be far beyond
what either party anticipated.
1) Even the courts that have allowed relief due to
impracticability have held that increased cost alone is
not sufficient as an excuse.
(4) Impracticability under the UCC
(a) Under the UCC, a number of examples of contingencies that
would not excuse performance are listed.
1) Increased cost alone does not excuse performance
unless the rise in cost is due to an unforeseeable contin-
gency and alters the essential nature of performance.
2) A rise or collapse in the market will not justify
impracticability because those contingencies are
exactly the types of business risks that fixed-price
contracts are intended to account for.
(b) The UCC also lists the following examples of contingen-
cies that would trigger impracticability. All involve a severe
shortage of raw materials or supplies:
1) where the shortage is caused by:
a) war or embargo;
b) local crop failure; or
c) unforeseen shutdown of major sources of supply; or
2) the shortage either caused a marked increase in cost or
prevents the seller from securing the supplies necessary
for his performance.
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(b) The insecure party may also suspend his own performance
where the performing party:
1) does not respond to a demand for assurances within a
reasonable time (30 days under the UCC); or
2) does not respond in a manner that provides reasonable
assurance to the other party.
a) In this situation, the reasonableness of an assur-
ance of performance is determined by:
i) the circumstances;
ii) the relationship between the parties;
iii) the parties’ past dealings; and
iv) the nature of the insecurity requiring assurance.
(c) The failure to respond with reasonable assurances constitutes
a repudiation of the contract by the non-responding party.
e. Rights of the Aggrieved Party upon Repudiation
(1) If the aggrieved party chooses to treat the anticipatory breach as
a breach of contract, he may:
(a) cancel the contract and terminate all rights and obligations
under it; or
(b) bring an action for damages or specific performance.
(2) The aggrieved party may immediately resort to one of these
remedies upon repudiation, or he may wait until performance
should have occurred.
(3) If an aggrieved party chooses to ignore a repudiation, then he is
prevented from continuing to perform on the contract if perfor-
mance would increase his damages from the contract.
(4) If the aggrieved party can prove to the court that he was willing,
ready, and able to render performance had the anticipatory repu-
diation not occurred, then the aggrieved party is relieved of:
(a) performance of contractual obligations; and
(b) performance of any conditions precedent.
f. Retraction of Repudiation
(1) A party who has made an anticipatory repudiation to the other
party may retract the repudiation unless and until the other party:
(a) acts in reliance on the repudiation;
(b) positively accepts the repudiation by signifying this to the
breaching party; or
(c) commences a suit for damages or specific performance.
E. Conditions
1. In some contracts, the obligation to perform is conditioned upon the
happening of some event or upon action by the other party. The law
regarding conditions governs two distinct issues: the order of parties’ perfor-
mances and the remedies where conditions to the contract have failed.
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NOTE There is another consideration that applies to insurance contracts only. In deciding
to excuse a condition, courts will consider whether, where a contract for insurance
benefits conditions benefits payments on timely notice of covered events, such
notice is not provided because of circumstances outside the insured’s control.
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NOTE A helpful way to look at divisibility is by asking whether the contract is nothing
more than the sum of its parts. If so, then the contract is divisible. If the con-
tract involves more than the sum of its parts, then it is unlikely to be divisible.
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NOTE The buyer must revoke his acceptance within a reasonable time after the
buyer discovers or should have discovered the grounds for revocation, and
before there is any substantial change in the condition of the goods (unless
caused by their own defect). The revocation is only effective once the buyer
notifies the seller of it [§ 2-608(2)].
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VII. DEFENSES
A. Incapacity
1. Infancy
a. Infancy is the time period before a person reaches the age of majority.
An infant, commonly referred to as a minor, is any person who is under
the age of 18.
b. At common law, minors lacked the capacity to enter into a contract.
The modern rule is that a minor may enter into a contract, but the
contract is voidable at the option of the minor. However, in certain
circumstances the contract may be ratified, or alternately, the minor
may still be liable for the benefits received.
EXCEPTION: In most states, minors enjoy the power of avoidance
even if they are married or emancipated. However, a minority of juris-
dictions deprive married or emancipated minors of the power of avoid-
ance, making all contracts they enter into enforceable against them.
c. Power of Avoidance
(1) While minors have the capacity to enter a contract before they reach
the age of majority, they also have the power to disaffirm contracts
they enter into (the power of avoidance), with some exceptions.
(2) The power of avoidance means that the minor has the option
of voiding the contract. However, the contract is not void against
the other parties to a contract, and so is enforceable against
everyone but the minor.
(a) There is an increasing trend toward limiting minors’ use of the
power of avoidance to a defense only. The minor is allowed to
disaffirm a contract that the other party seeks to enforce against
him. However, he may not use the defense to bring suit against
the other party to secure restitution of monies already paid.
(3) Upon exercising the right to disaffirm a contract, the minor is obligated
to return to the other party any goods received under the contract.
(a) The minor must return the goods if they are in his possession when
he disaffirms the contract. However, he is not liable for damage,
wear and tear, or any other depreciation in value of the goods.
(b) If the minor is not in possession of the goods at the time of
disaffirming the contract because he sold the goods, then the
minor will be obligated to turn over the proceeds of the sale
of the goods to the other party.
(c) A contract between a minor and another party may be for
something that cannot be returned, such as a services
contract or a lease. In such a case, where the subject matter
of the contract is non-returnable, the minor is under no
further obligation to return or compensate the other party.
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c. Legal Consequences
(1) In most jurisdictions, a contract entered into by an incompetent
person is voidable. This means that the contract is enforceable at
the option of the incompetent party, rather than void, which would
make it unenforceable by either party.
(a) Some jurisdictions, as well as the Second Restatement, hold that
a person adjudicated incompetent and under guardianship has no
capacity to incur contractual duties, making such contracts void.
(2) A party who is mentally incompetent at the time of contract
may ratify the contract if he becomes competent at a later time.
Ratification may be accomplished by an oral or written manifesta-
tion of the intention to be bound by the original contract.
(3) If the mentally incompetent person exercises his power of avoid-
ance and has received some benefit under the contract, then he
is required to make the other party whole by paying the reason-
able value of the goods or services rendered.
(a) A mentally incompetent party will be responsible for damage,
wear and tear, or any other depreciation in value of the goods.
EXCEPTION: If the other party takes unfair advantage of
the mentally incompetent person, and has knowledge of the
person’s incompetence, then the other party is entitled only
to a return “as is” of any goods still in the possession of the
mentally incompetent party and will have no right of recovery
for goods or services already consumed.
(4) The rules governing the liability of a mentally incompetent party
for contracts for necessaries are the same as for minors. The
mentally incompetent party will be liable to the other party for the
reasonable value of those goods and services.
(a) For mentally incompetent persons, necessaries include the
retention of legal services in connection with adjudicating
mental incompetence.
B. Misrepresentation
1. Misrepresentation can play two roles in contract cases: it may be a “sword,”
as the basis for affirmative relief, or a “shield,” a defense to enforcement.
a. Misrepresentation can be used as a basis for affirmative relief under
a tort claim brought by the aggrieved party in the form of an action for
rescission and damages.
b. Misrepresentation can be used as a defense to an effort to enforce
the contract.
2. Misrepresentations are untrue statements or assertions that relate to
existing facts.
a. Misrepresentations relate to existing facts, not to future conduct or
action. If one says, “I’m going to do something,” and doesn’t do it,
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(3) The same remedies are available to the victim of either negligent
or innocent misrepresentation, so the difference between them is
merely descriptive (i.e., what to call a particular misrepresenta-
tion) but has no further legal consequence.
c. Fraudulent Nondisclosure
(1) The wrong that must be committed under a claim of fraudulent
nondisclosure relates not to an assertion made by the defendant,
but to the defendant’s silence where there was a duty to disclose.
(2) To prove fraudulent nondisclosure, one must show that:
(a) the nondisclosure was material to the contract, under either
an objective standard or a subjective standard; and
(b) there was reasonable reliance on the nondisclosure.
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C. Duress
1. At common law, the defense of duress was available in two circumstances:
a. physical compulsion; and
(1) A party could claim duress as a defense to contract liability if the
party signed the contract under force of physical compulsion.
b. unlawful threat.
(1) A party could claim duress as a defense to contract liability if the
party signed the contract under threat of unlawful activity against
himself or his family.
2. Although the above two circumstances still constitute duress, the contem-
porary definition of the term has been relaxed to cover less egregious
instances of coercive persuasion. Thus, under modern law, there are three
elements to a defense of duress:
a. a threat;
(1) A threat made by the perpetrator is a manifestation of intent to
inflict harm on the other person, made in words or by conduct.
EXAMPLE: The words “your money or your life” would be consid-
ered a threat.
EXAMPLE: An example of conduct considered a threat is the scene
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NOTE A minority of jurisdictions add another element to the requirements for economic
duress: the aggrieved party must protest the threatened breach rather than acqui-
esce without complaint in the demand for additional payment or other benefits with
the secret intention of refusing to make the newly promised payment at contract’s
end. The courts that impose this additional requirement hold that the obligation of
good faith requires the aggrieved party to speak up at the time of the threat.
3. Third-Party Duress
a. If the wrongful threat is made by a third party, rather than the other party to
the contract, the aggrieved party will still have a valid claim of duress unless:
(1) the other party gives value or relies materially on the transaction; and
(2) the other party is proceeding in good faith without reason to know
of the duress.
4. Remedies
a. Contracts made under physical compulsion are void.
b. Contracts entered into under other forms of duress are voidable at the
option of the aggrieved party.
c. The aggrieved party is:
(1) entitled to restitution of any benefits conferred under duress; and
(2) required to return excess value of benefits to the perpetrator.
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5. The common law defense of duress can be used in cases arising under the
UCC as a supplementary provision.
D. Undue Influence
1. An aggrieved party may avail himself of the defense of undue influence
when the circumstances reveal a vulnerable, but not incapacitated, party
who succumbs to untoward bargaining tactics and pressures from the other
party, where those pressures or tactics fall short of fraud or duress.
2. Elements
a. There are two elements to the defense of undue influence:
(1) unfair persuasion was used; and
(a) Although the test for unfair persuasion is one that looks at all
of the circumstances, courts have looked in particular to the
following indicia of untoward pressure:
1) discussion of the transaction at an unusual or
inappropriate time;
2) consummation of the transaction at an unusual place;
3) insistent demands that the transaction or business be
finished immediately;
4) extreme emphasis on the untoward consequences of
delaying the transaction;
5) the use of multiple persuaders against the target of
persuasion;
6) absence of third-party advisers to the target of persuasion; and
7) statements that there is no time to consult financial
advisers or attorneys.
(2) the other party was vulnerable to such persuasion.
(a) A vulnerable party can be established in any of the following ways:
1) where the mental infirmity is due to age or illness but
falls short of mental incompetence;
2) where the vulnerability is due to some recent trauma
or event; or
3) where the vulnerable party is reliant on the other party
because of some relationship of trust or confidence with
the other party.
3. Remedies
a. Contractual obligations assumed under undue influence are voidable
at the option of the aggrieved party.
b. The aggrieved party is entitled to restitution of any benefits conferred
on the other party, but must return the value in excess of those benefits
to the other party.
c. Where the vulnerable party suffers undue influence at the hands of a third
party rather than the other party to the contract, the aggrieved party has the
power to avoid the contract at his option, unless two conditions are met:
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(1) the other party gives value or relies materially on the transaction; and
(2) the other party is proceeding in good faith without reason to know
of the undue influence.
4. Like the other defenses, the common law claim of undue influence is avail-
able in cases arising under the UCC as a supplementary provision.
E. Unconscionability
1. Just as with undue influence, the defense of unconscionability may be
available when a party uses inappropriate bargaining tactics to take unfair
advantage of a vulnerable party. Unconscionability, however, focuses not
only on the unfair process but also on the unfair results.
2. Elements
a. There are two elements to a defense of unconscionability. In most
jurisdictions, both of the following elements must be proved in order to
succeed on a defense of unconscionability. However, where there is
an extremely strong showing of one element, the party may be able to
succeed on a defense of unconscionability despite a weaker showing
of the other element. The elements are:
(1) procedural unconscionability; and
(a) This element can be met where the bargaining process
that produced the contract in question created an absence
of meaningful choice for the aggrieved party. The following
are circumstances that may establish the absence of a
meaningful choice:
1) near-miss cases;
EXAMPLE: When a party is vulnerable to the pressure
of the other party, such as because of language barri-
ers or advanced age, but the vulnerability falls short of
mental incompetence or duress.
EXAMPLE: When the victim is subjected to misleading or
coercive sales tactics that fall short of actual fraud or duress.
2) absence of bargaining power; and
EXAMPLE: When the party is forced to accept pro-
posed terms, as may be the case in standard form con-
tracts with “take it or leave it” provisions which sellers
and suppliers impose on all customers and that cannot
be varied by bargaining, greatly limiting the other party’s
power to bargain.
EXAMPLE: Where one party is weakened by poverty or
language barriers, which greatly limits his ability to shop for
alternative terms particularly with respect to necessaries.
3) fine-print terms.
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F. Public Policy
1. The last of the defenses is called the public policy defense. It is a claim
that courts should not enforce a contract because doing so would violate or
undermine some important public policy.
2. Public policy may be raised as a defense to the enforcement of a contract
in the following four contexts:
a. where the subject matter of the contract itself is specifically prohib-
ited by law;
EXAMPLE: In most jurisdictions, a contract for prostitution, gambling, or
bribery is illegal under the law and, accordingly, unenforceable in court.
b. where a contract is formed for the purpose of committing a crime or
violating a legal regulation;
EXAMPLE: A contract between an employer and a hired assassin
would be a contract for the commission of a crime.
c. where the contract performance would not constitute a crime, but
would constitute a tort; or
EXAMPLE: A publicist being hired for the express purpose of spread-
ing a defamatory story about a private citizen would be a contract for
the commission of a tort.
d. where the contract performance would violate certain values and free-
doms designated by the state or jurisdiction.
EXAMPLE: A contract that prohibits one party from marrying for an ex-
tended period of time would violate the public policy of promoting free
and consent-based marriages.
3. Sources of Public Policies
a. Legislation
(1) Legislation is frequently the source of the “policy” invoked under
the public policy defense.
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(a) Provisions that limit liability for negligent (rather than reckless
or intentional) tortious conduct are generally permissible.
e. Unlicensed Goods or Services
(1) When a contract is for unlicensed goods or services, then the contract
may be rendered unenforceable by the public policy defense.
EXAMPLE: An unlicensed contractor could be prevented from
recovering payment for his services if the homeowner invokes a
public policy defense.
EXCEPTION: Because the homeowner is not in pari delicto with
the unlicensed contractor, an action by the homeowner against the
contractor for shoddy work might survive the public policy defense.
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VIII. REMEDIES
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(4) The most common use of reliance damages arises when the
expectation damages would be uncertain or speculative, as
where the breach would deprive the aggrieved party of opportuni-
ties to enter potential transactions with third parties.
EXAMPLE: Inventor signs a contract with Railroad Co. for shipment
of a new stove Inventor plans to display at a manufacturers’ conven-
tion, and he pays fees to the convention hotel for a room and for dis-
play space, as well as an exhibition fee to the convention sponsor. If
Railroad Co. breaches the contract by failing to deliver the stove until
after the convention, Inventor will be unable to recover damages for
opportunities he may have lost due to his inability to showcase the
stove, as calculating the probability and value of those opportunities
would be too speculative. However, Inventor would be entitled to reli-
ance damages (i.e., a return of Railroad Co.’s fee, plus compensa-
tion for the amounts he paid to the hotel and convention sponsor).
d. Restitutionary Damages
(1) A party aggrieved by a breach of contract is entitled to restitu-
tionary damages rather than expectation damages at his option.
If chosen, the aggrieved party may choose to recover the value
of the benefits conferred on the breaching party by the aggrieved
party during the course of the contract.
(a) Restitutionary damages are available to both the breaching
and aggrieved parties.
(2) The aggrieved party’s restitutionary interest will be measured by either:
(a) the reasonable value of the benefit conferred upon the
breaching party; or
1) This is measured by the market value of the service(s)
rendered, and not the price established by the parties in
the contract.
2) The contract price may be admissible as evidence in
calculating the restitutionary damages, as evidence of
the price of retaining those services on the market.
EXAMPLE: Where General Contractor dismisses Sub-
contractor halfway through Subcontractor’s performance,
Subcontractor’s restitutionary interest is measured by
the market value of the services rendered thus far. The
contract price may be admitted as relevant evidence for
determining the market value for these services.
(b) the extent to which the breaching party’s property has increased
in value based upon the aggrieved party’s performance.
EXAMPLE: Contractor built a Turkish bathhouse on Home-
owner’s property. The market value of the services is the cost to
Homeowner of hiring another contractor to do the work, which
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a) Seller Resells
i) If the seller resells, he can recover the
contract-resale differential—that is, the
difference between the contract price and the
resale price [§ 2-706].
ii) In order for the seller to recover, the resale
must be made in good faith and in a commer-
cially reasonable manner.
EXAMPLE: A seller may not make a “sweet-
heart” deal to sell the goods at a below-market
discount to a friend or a relative.
iii)
The seller is not accountable to the buyer for
any profit made on any resale [§ 2-706(6)].
b) Seller Does Not Resell
i) If the seller does not resell, he can recover
the contract-market differential—that is, the
difference between the market value of the
goods at the time and place of the promised
delivery and the contract price [§ 2-708].
3) Whether or Not the Seller Resells
a) Whether or not the seller resells, he is also entitled
to recover incidental damages—that is, the costs
associated with getting stuck with goods the seller
thought he had sold as well as the costs of resale.
EXAMPLE: Incidental costs associated with the
seller remaining in possession of the goods include
such things as storage and insurance. Inciden-
tal costs associated with the resale of the goods
include costs incurred in the form of new advertise-
ments and sales commissions.
b) However, the seller’s damages will be reduced by
an amount reflecting expenses avoided on account
of the breach.
EXAMPLE: If the seller had expected to pay ship-
ping costs in connection with the original contract,
and instead incurs substantial savings by reselling to
a local buyer, the seller’s recovery will be reduced.
(3) Lost Profits for Lost Volume Sellers
(a) In the ordinary case, a seller’s profit is built into the contract
price and, accordingly, either the contract-market differen-
tial (if there is no resale) or the contract-resale differential
(if there is a resale) will fully protect the seller’s right to that
profit in the event of breach by the buyer.
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B. Equitable Remedies
1. The typical remedy for contract claims is to award monetary damages.
However, where an award of money damages would be inadequate to compen-
sate the aggrieved party, a court may instead award an equitable remedy.
2. The most common equitable remedies in contracts cases are specific perfor-
mance (which requires the breaching party to take some particular action),
negative injunctions (which prohibit the breaching party from a particular
action), and rescission (which amounts to a cancellation of the contract).
3. Specific Performance
a. Specific performance is an extraordinary remedy that is available to
order a breaching party’s performance only where a monetary award
would be inadequate to grant relief to the aggrieved party.
b. As a practical matter, specific performance is a remedy for paying,
rather than performing, parties (e.g., buyers who pay money for goods,
purchasers who pay money for real estate, and parties who pay money
for services rendered).
(1) When the paying party breaches, the remedy of money damages
will, in the ordinary case, give the performing party the promised
money, and so the availability of specific performance is a nonissue.
(2) When the performing party breaches, however, the paying party
may prefer to secure the promised performance itself rather than
money damages; this raises the question of whether specific
performance is available.
c. Cases Where Specific Performance is Generally Available
(1) At common law, money damages are presumed to be inadequate
when a party is purchasing either:
(a) unique objects; or
EXAMPLE: Works of art and precious heirlooms.
(b) real property.
EXAMPLE: At common law, Blackacre was presumed to be
“unique,” and such factors as location, natural resources, cli-
mate, and permissible uses justify that characterization even
in contemporary real estate markets.
(2) Equity Considerations
(a) Specific performance is an equitable remedy, and a decision
to grant or deny it is, accordingly, a decision for the court and
not the jury.
(b) Whether to grant or deny specific performance is committed
to the court’s remedial discretion based on the competing
equities in particular cases, and is not bound by hard-and-
fast rules (such as those governing money damages).
(c) The court’s determination is likely to take into account some
or all of the following factors:
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NOTE This exception does not apply to non-medical persons whose life-saving ef-
forts are deemed “gratuitous.”
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A. In General
1. In a typical contract, the parties promise performances to each other. If one
party refuses to perform, the other has standing to bring a claim for breach
because the parties are in contractual privity. In some contracts, however,
one of the parties promises a performance that will benefit a third party (a
third-party beneficiary).
EXAMPLE: In exchange for B’s promise of payment, A promises to deliver
widgets to C. C is the third-party beneficiary of the contract between A and B.
2. The critical issue in third-party beneficiary law is the circumstances under
which the third-party beneficiary has standing to enforce the contract
against the promisor.
a. Under common law, courts traditionally held that a third-party benefi-
ciary did not have standing to sue the promisor because there was no
contractual privity between them; however, under contemporary law, the
privity requirement has been relaxed and third-party beneficiaries may
have standing to sue the promisor for breach, even though the promise
was made to the promisee and not to the third-party beneficiary.
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A. Assignment of Rights
1. An assignment is a transfer of a right to receive a performance under a contract.
2. Assignments typically have three relevant parties in a basic factual
scenario: A and B have a valid contract, and B subsequently assigns his
rights under the contract to C. In this scenario:
a. A is the obligor (the party with the obligation to perform);
b. B is the assignor (the party who assigned the right); and
c. C is the assignee (the party to whom the right was assigned).
EXAMPLE: A and B have a contract whereby B agrees to provide services
to A in exchange for A’s payment. B’s right to A’s payment may be assigned
to C, a third party. Upon assignment, A has a payment obligation to C. In
this transaction, B is the assignor, who assigned the right to receive pay-
ment; C is the assignee, to whom that right was assigned; A is the obligor,
the party with the obligation to perform (here, to make the payment).
3. To make an effective assignment of a contract right [Restatement (2d) of
Contracts §§ 324, 327]:
a. the owner must manifest an intention to make a present transfer of
the right without further action by the owner or the obligor; and
(1) There are no “magic words”—not even an express reference to
“assignment”—required to make a manifestation effective.
(2) Oral assignments are effective unless there is some independent
applicable writing requirement, such as an assignment of a right
to real property under a contract of sale, which must be in writing
under the Statute of Frauds.
(3) A promise to transfer a currently existing right at a future date is
not an effective assignment.
(4) A promise to transfer a right that the assignor expects to acquire
in the future is not an effective assignment.
EXAMPLE: The statement “I will assign you 10% of the royalties
when I obtain them” is not an assignment, as it expresses only
an intent to assign in the future.
b. a manifestation of assent by the assignee is essential, unless:
(1) a third person gives consideration for the assignment; or
(2) the assignment is irrevocable by virtue of the delivery of a
writing to a third person.
(a) An assignee who has not manifested assent to an assignment
may, within a reasonable time after learning of its existence and
terms, render it inoperative from the beginning by disclaimer.
EXAMPLE: A contracts to buy $200 worth of widgets from B.
B delivers the widgets, but requests that A pay C the $200 as
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NOTE An “order” by an obligee directing an obligor to pay the debt to a third party is
not an assignment. The most common example of an order is a check, which,
under both common law and the UCC, does not operate as an assignment of
the drawer’s rights against the bank.
4. Partial Assignments
a. A partial assignment is valid. Hence, there can be an assignment of a
fraction of the assignor’s rights.
EXAMPLE: If A owes B $10,000 for goods B delivered to A, B may as-
sign his right to $5,000 of that money to C.
b. When suit is brought, however, all of the parties owning rights after the
assignment must be joined in the action, unless joinder is not feasible
and it is equitable to proceed without joinder.
5. Rights to Be Assigned
a. The general rule is that all rights are assignable, subject to the
following exceptions:
(1) a right is not assignable if the assignment would materially alter
the risks to or obligations of the other party to the contract;
EXAMPLE: A and B are parties to a requirements contract under the
terms of which A is obligated to supply B with B’s monthly require-
ments for widgets. B’s rights under the contract are not assignable to
C if C’s monthly requirements would greatly exceed B’s.
(2) a right is not assignable if the obligor has a personal interest in rendering
the performance in question to the obligee and not to a third party;
EXAMPLE: Nanny A’s obligation under a contract to provide child-
care services to B’s family is not assignable to another family.
(3) a right is not assignable if assignment would violate applicable
law or public policy; and
EXAMPLE: A state statute prohibiting assignment of wages.
(4) a right is not assignable if assignment is prohibited by the
contract. (Note that such provisions are strictly construed in both
scope and effect.)
(a) Although there is older precedent invalidating an assignment
when the contract expressly states that attempted assign-
ments are “void,” most courts will treat an assignment in
violation of contractual restriction as a breach of contract
by the assignor—making him liable for any damages to the
obligor—but not as a basis for nullifying the obligor’s perfor-
mance obligation to the assignee.
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EXAM TIP The right of a partner to share in the management of the partnership is not assign-
able, but the right to profits and to the partner’s share in a dissolution is assignable.
6. Assignment for Value Contrasted with Gratuitous Assignment
a. An assignment for value, where the assignee acquires the assign-
or’s contractual right(s) in exchange for payment or a promise thereof
to the assignor, is valid against the obligor and cannot be revoked by
the assignor, although it may be modified like any other contract via
mutual consent of the parties.
b. A gratuitous assignment, where the assignor assigns contractual
rights to the assignee without consideration for such transfer, has the
following legal effects:
(1) A gratuitous assignment is valid and binding against the obligor,
who cannot raise the absence of consideration between the
assignor and the assignee as a defense to any breach of his
obligations to the assignee.
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(2) Between the assignor and the assignee, the law of gifts governs
the question of whether the assignor can revoke the assignment.
A gift requires that there be donative intent and delivery.
(a) Because the assignment is a transfer of legal rights under
a contract, it is impossible to physically deliver an intan-
gible right. However, delivery of something representative or
symbolic of an intangible right, such as a savings account
book, is held to be sufficient to meet the delivery requirement.
(3) Even if there is no delivery, the assignment becomes irrevocable
once payment of the obligation is made to the assignee.
(4) The assignor will be estopped from revoking the assignment if the
assignee acts to his detriment in reliance upon the assignment.
7. Rights and Obligations of the Parties after Assignment
a. Rights of Assignee against the Obligor
(1) The basic rule is that:
(a) an assignee gets whatever rights to the contract his
assignor had; and
(b) the assignee takes subject to whatever defenses the obligor
could have raised against the assignor, such as a lack of
consideration, incapacity, fraud, duress, or mistake.
(2) Payment to Assignor
(a) If the obligor pays the assignor, this defense can be raised
against the assignee, provided that payment was made
before notice of the assignment was given to the obligor.
(b) Once notice of the assignment is given, payment to the
assignor is no defense.
(c) If the obligor doubts whether the assignment was made, he can
pay the money into court and interplead the assignor and assignee.
(3) Setoffs and Counterclaims
(a) If the obligor has a right of setoff that could be raised against
the assignor, such right can always be raised against the
assignee if the alleged setoff arises out of the same transaction.
(b) If, however, the setoff arises out of a separate transaction, it
is available against the assignee only if the transaction which
gave rise to the setoff arose before notice of the assignment
was given to the obligor.
(c) The obligor and the assignor may agree to an adjustment of
their rights without consent of the assignee up until the time that
the assignee has given notice of the assignment to the obligor.
(4) Waiver of Defenses
(a) If one of the original parties to the contract agrees that he will not
raise defenses against an assignee in the event that the rights
are assigned, the agreement is enforceable with two limitations:
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NOTE An assignment does not, in and of itself, operate as a warranty that the obli-
gor is solvent or that the obligor will perform his obligation.
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B. Delegation of Duties
1. A delegation occurs when a third party agrees to satisfy a performance
obligation owed by one of the parties to a contract.
2. Delegations typically have three relevant parties in a basic factual scenario:
A and B have a valid contract, and B subsequently delegates duties under
the contract to C. In this scenario:
a. A is the obligee (the party for whom the performance obligation is owed);
b. B is the obligor (the party with a performance obligation), and is also the
delegator (the party who delegated his performance to a third party); and
c. C is the delegatee (the party to whom the performance obligation
was delegated).
3. Rights of the Obligee against the Delegator
a. A delegation does not relieve the delegator from his obligations under
the contract. Despite the delegator’s delegation to the delegatee of
the performance obligation owed to the obligee, the delegator remains
liable for the performance.
(1) Thus, while an assignment of rights effectuates a transfer of
those rights to a third party (upon assignment, the assignee and
not the assignor has rights under the original contract), a delega-
tion of duties does not operate as a “transfer” of those duties from
the delegator to the delegatee.
b. Novation
(1) If there is a novation, the delegator is relieved from the obligations
under the contract. This requires a clear promise by the obligee to
release the delegator in return for the liability of the delegatee.
(2) Simple assent to the delegation is not enough to effectuate a
novation; there must also be a promise to release the delegator.
4. Liability of the Delegatee
a. When the delegatee has agreed to perform the delegator’s contract
obligations, he is liable to the delegator if he does not do so.
b. Under the third-party beneficiary theory, the delegatee is also liable
to the obligee, because the obligee is an intended beneficiary of the
promise made to the delegator.
EXAMPLE: Joe Plumbing Co. enters a contract to provide plumb-
ing services for Mondo Condo Association and subsequently hires a
plumbing subcontractor, Elite Plumbers Inc., to perform the services in
question. If Elite Plumbers Inc. fails to perform the delegated duties, it
would be liable for breach of contract to both Joe Plumbing and Mondo
Condo. Elite Plumbers would be liable to Mondo Condo because it is a
third-party beneficiary of the Joe Plumbing-Elite Plumbers contract.
5. Delegable Duties
a. The general rule is that all obligations can be delegated.
b. The exceptions fall into the following two categories:
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Criminal Law
TABLE OF CONTENTS
I. GENERAL PRINCIPLES
Introduction and the Bases of Criminal Law (Common Law and Statutory Law).........................308
Types of Crimes...........................................................................................................................308
Constitutional Issues....................................................................................................................309
Elements of Crimes......................................................................................................................309
Homicide......................................................................................................................................316
Assault and Battery......................................................................................................................323
Mayhem.......................................................................................................................................325
False Imprisonment......................................................................................................................326
Kidnapping...................................................................................................................................326
Rape.............................................................................................................................................328
Other Crimes against the Person.................................................................................................330
Theft Crimes.................................................................................................................................331
Larceny........................................................................................................................................331
Embezzlement.............................................................................................................................333
Robbery........................................................................................................................................334
Obtaining Property by False Pretenses.......................................................................................335
Bad Checks..................................................................................................................................335
Credit Card Fraud........................................................................................................................336
Larceny by Trick...........................................................................................................................336
Extortion.......................................................................................................................................336
Receiving Stolen Property............................................................................................................337
Forgery.........................................................................................................................................338
Crimes against the Habitation......................................................................................................339
Possession Offenses....................................................................................................................341
Solicitation....................................................................................................................................344
Attempt.........................................................................................................................................344
Conspiracy...................................................................................................................................346
Accomplice...................................................................................................................................349
Principal in the First Degree.........................................................................................................350
Principal in the Second Degree....................................................................................................350
Accessory before the Fact...........................................................................................................350
Accessory after the Fact..............................................................................................................351
306
VI. DEFENSES
Responsibility...............................................................................................................................352
Justification..................................................................................................................................355
Entrapment...................................................................................................................................358
Mistake.........................................................................................................................................358
Consent........................................................................................................................................359
Condonation.................................................................................................................................359
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OUTLINE
I. GENERAL PRINCIPLES
A. Introduction and the Bases of Criminal Law (Common Law and Statutory Law)
1. The substantive criminal law is defined by statute in most jurisdictions. To that
end, some questions on the bar exam will include an excerpt from a statute.
2. Many jurisdictions follow the common law approach to criminal law when
writing criminal statutes; a smaller number of jurisdictions choose instead to
follow the approach of the Model Penal Code (“MPC”).
3. The Multistate Bar Exam (MBE) generally tests the law “common to the
states” (also referred to as “the generally prevailing view” or “the generally
accepted view”). On some points of law, there is a divergence between the
early common law approach and the modern majority trend among common
law jurisdictions. This outline notes where modern statutes diverge from
the common law. In all released questions available to date from the MBE,
the bar examiners have either specified the approach in the question (the
common law or the modern trend) or they have specified facts in the ques-
tion that eliminate any possible differences in the answer to the question.
EXAMPLE: At common law, burglary maintained the elements of the location
being a dwelling and the timing being at night. The modern majority approach
is to define burglary as including any structure and to include entries made
during the day as well as at night. The question specified that the structure
was a dwelling and was entered at night in order to eliminate the differences
between the common law and the modern approach on this point.
B. Types of Crimes
1. Felony
a. A felony is a crime punishable by death or by imprisonment for more
than one year. At common law, burglary, arson, robbery, rape, larceny,
murder, manslaughter, and mayhem were considered felonies.
2. Misdemeanor
a. A misdemeanor is a crime punishable by imprisonment for less than
one year or by a fine only. At common law, crimes not considered felo-
nies were deemed misdemeanors.
3. Malum Prohibitum
a. Malum prohibitum is an act that is wrong only because it violates a
statute (e.g., speeding or failing to register a firearm).
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4. Malum In Se
a. Malum in se is an act that is inherently wrong or “evil”—an act that involves
a general criminal intent or moral turpitude (e.g., murder, theft, and battery).
5. An infamous crime at common law involves fraud or dishonesty.
C. Constitutional Issues
1. Void-for-Vagueness Doctrine
a. Under the Due Process Clause of the Fifth and Fourteenth Amendments
of the United States Constitution, people must be on notice that certain
conduct is forbidden. Therefore, the Supreme Court has required that
criminal statutes be specific and give a person of ordinary intelligence
“fair notice” of what conduct is prohibited. Furthermore, the void-for-
vagueness doctrine requires statutes to be fair and consistent in their
enforcement and not be arbitrarily or erratically enforced.
2. Ex Post Facto
a. Under the Constitution, ex post facto laws are also prohibited. An ex
post facto law is one that retroactively:
(1) makes conduct criminal;
(2) enforces a stricter punishment for the same conduct; or
(3) alters procedural or evidentiary rules in such a way that the
criminal defendant may be more easily convicted.
D. Elements of Crimes
1. Generally, the prosecution must prove the following elements:
a. actus reus (a guilty act);
(1) This element may be met by:
(a) a voluntary act that causes an unlawful result;
(b) an omission to act where the defendant is under a legal duty
to act; or
(c) vicarious liability where the defendant is responsible for the
acts of another party.
(2) Criminal liability can be imposed on a defendant for an omission
to act where:
(a) there is a legal duty to act; and
(b) the defendant can physically perform the act.
(3) Such a legal duty to act may arise in the following ways:
(a) by statute (e.g., failure to file a tax return);
(b) by contract (e.g., failure of a lifeguard, nurse, or guide on a
hiking or river-rafting expedition to rescue);
(c) based upon relationship (e.g., a parent for a child or a
spouse for a spouse);
(d) where a voluntary undertaking is begun (e.g., unreasonable
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EXAM TIP If, on the exam, you encounter a criminal activity that does not appear by its
classification (see classification chart below) to involve specific intent, the
malice standard, or strict liability, and the question does not indicate or supply
a mental state requirement, you should assume that for criminal culpability,
general intent would be required. General intent is the “catch-all.”
(5) The requisite intent for malice is met when a defendant acts
intentionally or with reckless disregard of an obvious or known
risk that the particular harmful result will occur.
(a) Malice crimes are common law murder and arson.
(6) Under strict liability, culpability is imposed on a defendant
merely for doing the act that is prohibited by statute. In other
words, no particular mental state is required for at least some
element of a strict liability crime.
EXAMPLE: State A has a statute that makes having sex with a
minor under the age of 17 a strict liability crime. Joe meets Lolita
in a bar and assumes that she is 21 because 21 is the drinking
age in State A. Lolita also tells Joe that she is 21, and nothing
about her appearance suggests she may be lying. She also pres-
ents to Joe a completely convincing piece of false identification
that states a birth date that would make her 21. However, in real-
ity, Lolita is only 15. If Joe has sex with her, he is guilty of violat-
ing the State A statute.
(a) Strict liability crimes fall under the categories of:
1) regulatory offenses (e.g., traffic violations, vehicle
offenses, or administrative statutes);
2) public welfare offenses (e.g., regulation of firearms,
food, and drugs); and
3) morality crimes (e.g., statutory rape, and bigamy).
(b) The transferred intent doctrine preserves liability where
a defendant intends criminal conduct against one party but
instead harms another party, so that his actions bring about
an unintended, yet still criminal, result.
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CLASSIFICATION OF CRIMES
Specific Intent General Intent Malicious Strict Liability
Crimes Crimes Crimes Crimes
c. concurrence in time between the act and the requisite mental state; and
(1) It is not only necessary that the defendant’s criminal intent occur
at the time he commits the criminal act, but the mental state
should also actuate, or put into action, the act or omission.
EXAMPLE: In burglary, the “intent to commit a felony or theft of-
fense therein” must exist at the time of the breaking and entering.
d. some (but not most) crimes require the occurrence of a result for the
crime to be complete (e.g., homicide crimes require that the victim die).
(1) For such crimes, causation between the defendant’s act and the
required result must be evident.
(2) The defendant’s conduct must be both the actual and the proxi-
mate cause of the specified criminal result.
(a) Actual cause (also called cause-in-fact) may be satisfied by
any of three tests:
1) if the criminal result would not have occurred absent the
defendant’s act, then the defendant’s act is the actual
cause of the criminal result;
a) In other words, were it not for, or “but for” the
defendant’s actions, the criminal result would not
have occurred.
2) when there are multiple causes or other parties respon-
sible for the criminal result, courts will still find a defen-
dant responsible if the defendant’s act was a substantial
factor causing the criminal result; or
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A. Homicide
1. A homicide results when there is a killing of a human being caused by
another human being (i.e., the defendant). A more complete way of stating
the rule is that a criminal homicide results from some action or actions of
the defendant that cause the death of another human being, with criminal
intent, and without legal excuse or justification.
2. The difference between the varying homicide crimes typically depends on the
mental state the defendant had with respect to the conduct causing the death.
3. Murder
a. At common law, murder is defined as the unlawful killing of a human
being with malice aforethought.
b. The actus reus may be a voluntary act, an involuntary act arising from
a voluntary act (such as a person who has frequent seizures driving a
car), or an omission to act where there is a legal duty to act.
c. The act must actually and proximately cause the death of another
living person. The common law requirement for a living person was
one “born alive” (though a state may extend criminal liability to include
a fetus after the first trimester).
d. The death must be caused by someone other than the victim.
(1) Suicide is not homicide because the death must be caused by another.
(2) To persuade or aid another to commit suicide is a sufficient basis
for murder in some jurisdictions.
e. The defendant’s conduct must be both the actual cause and a legal
cause of the victim’s death.
(1) For common law murder, the “but-for” test applies. In other words,
the fact finder must determine that the victim’s death would not
have occurred but for the defendant’s actions. Even if the defen-
dant’s actions alone would be insufficient to cause the victim’s
death, but instead contributed to the death, a court may still find
actual causation.
(2) In situations when a victim is already dying, if the defendant’s
actions bring about the victim’s death more quickly than if the
defendant had not acted, the defendant’s actions would be an
actual cause of the killing.
EXAMPLE: Disconnecting life support to a dying patient is an actual
cause of the patient’s death if she dies more quickly as a result.
(3) Where the victim’s death was a “natural and probable” conse-
quence of the defendant’s conduct, the defendant may be guilty
of murder, even where he did not foresee the exact chain of
events that resulted in the victim’s death.
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(4) Note that where an intervening act occurs that is outside the
universe of foreseeable events caused by the defendant’s acts, such
an intervening act will sever the chain of causation, and the defen-
dant will be acquitted of murder. Additionally, remember that a dead
person cannot be killed. Thus, if an intervening cause kills the victim
before the defendant can complete his act, he will be acquitted.
(5) At common law, if the victim died more than one year and one
day after the defendant’s act, the courts would rule that the
defendant’s act was not the proximate cause of the killing. Most
states have either eliminated this rule or have extended the
period within which the defendant is held legally responsible.
(6) Defendants who do not personally commit any acts sufficient to
amount to actual cause may nonetheless be legally responsible
for a killing in the following circumstances:
(a) a defendant who is an accomplice to the killer may be held
liable for a homicide even though only the killer actually
acted to cause the victim’s death;
(b) where the reasonably foreseeable result of a conspiracy is
a homicide, and that homicide was committed in furtherance
of the conspiracy, then all members of the conspiracy can
be held liable for the homicide regardless of which of the
conspirators actually caused the killing;
(c) where both a third party and the defendant together cause a
victim’s death, the causation question varies depending on
whether the defendant’s act was a direct or indirect cause; and
1) When a victim would not have died “but for” the actions
of both the defendant and a third party, both will be
considered the direct causes of the death. The defen-
dant’s legal responsibility is superseded only by a
dependent intervening act that is totally abnormal or an
independent intervening act that is unforeseeable.
EXAMPLE: Defendant shoots Victim in the shoulder,
causing a serious but not life-threatening injury. Shortly
thereafter, Third Party stabs Victim repeatedly in both
feet, causing numerous bleeding wounds. Hours later,
Victim dies from excessive blood loss. Both the shoulder
and feet wounds caused the bleeding. Defendant and
Third Party caused Victim’s death.
(d) where a defendant causes the death of another, even if not
at his own hands, during the commission of or in an attempt
to commit a felony (i.e., felony murder)
(7) As in tort situations of nonfeasance, people who fail to prevent
injury or death are generally not criminally liable for the victim’s
condition unless they have a duty to act.
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NOTE If a killing occurs while the defendant is fleeing from the scene of the felony,
he may still be guilty of felony murder. The felony, and thus the possibility
of committing a felony murder, does not terminate until the felon reaches a
place of temporary safety.
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C. Mayhem
1. At modern law, the felony of mayhem requires:
a. an unlawful act by means of physical force;
b. resulting in an injury which:
(1) deprives a human being of a member of his or her body;
(2) disables, disfigures, or renders such limb useless; or
(3) cuts or disables the tongue, puts out an eye, or slits the nose,
ear, or lip; and
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D. False Imprisonment
1. False imprisonment is the intentional, unlawful confinement of one
person by another.
a. The confinement must be intentional and must be against the law. If
the defendant is privileged to confine the victim, such as a police officer
or a private citizen making a valid citizen’s arrest, no false imprison-
ment is committed.
b. The victim must be fully confined. In other words, blocking one exit but
leaving another open does not amount to false imprisonment.
c. False imprisonment is not limited to one method of restraining the
victim. For example, it may be accomplished by erecting physical
barriers, applying force or threatening to apply immediate physical
force, or invalidly asserting authority.
d. Victims are not required to try to resist or attempt escape where the
defendant has the apparent ability to effectuate threats. Victims are not
“confined” if they are aware of a reasonable means of escape, but are
not required to affirmatively search for potential escape routes.
EXAMPLE: After discovering Diane cheating on him with another man,
Jack left Diane in the bedroom and slammed the door, yelling, “Stay
there until you’re sorry. If you beg, I may let you out for breakfast.”
Though Jack intended to lock the bedroom door, he was so upset that
he accidentally released the lock before slamming the door. Diane
believed she was locked in and never checked the door herself. Jack
may be guilty of false imprisonment.
E. Kidnapping
1. Definition
a. At modern law, a person commits the offense of kidnapping when he:
(1) abducts or steals away any person;
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(a) This element can be met where the victim is taken from one
place to another or when they are secretly confined where
the person is not likely to be found.
(2) without lawful authority or warrant; and
(3) holds that person against his or her will.
b. At common law, kidnapping consisted of an unlawful restraint of a
person’s liberty by force or show of force so as to send the victim into
another country.
c. Under the Model Penal Code, a person is guilty of kidnapping if he or
she unlawfully removes another from his or her place of residence or
business, or a substantial vicinity where he or she is found, or if he or
she unlawfully confines another for a substantial period in a place of
isolation, with any of the purposes:
(1) to hold for ransom or reward, or as a shield or hostage;
(2) to facilitate the commission of any flight or felony thereafter;
(3) to inflict bodily injury on or to terrorize the victim or another; or
(4) to interfere with the performance of any governmental or
political function.
d. The federal kidnapping statute makes it unlawful to seize, confine,
inveigle, decoy, kidnap, abduct, or carry away and hold for ransom or
reward, or otherwise, any person, except in the case of a minor by the
parent thereof, when [18 U.S.C.S. § 1201(a)]:
(1) the person is willfully transported in interstate or foreign
commerce, regardless of whether the person was alive when
transported across a state boundary, or the offender travels in
interstate or foreign commerce or uses the mail or any means,
facility, or instrumentality of interstate or foreign commerce in
committing or in furtherance of the commission of the offense;
(a) The failure to release the victim within 24 hours after he
or she has been unlawfully seized creates a rebuttable
presumption that such person has been transported in inter-
state or foreign commerce [18 U.S.C.S. § 1201(b)].
(b) The intent by Congress was to criminalize only those abduc-
tions where the victim was transported in interstate commerce
against his or her will. As such, the consent of the victim at the
time of the crossing of state lines constitutes a valid defense
even if the victim was initially seized against his or her will
[United States v. Toledo, 985 F.2d 1462 (10th Cir. 1993)].
(2) any such act against the person is done within the special mari-
time and territorial jurisdiction of the United States;
(3) any such act against the person is done within the special aircraft
jurisdiction of the United States, as defined by statute;
(4) the person is a foreign official, an internationally protected person, or
an official guest, as defined by the specified statutory provision; or
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F. Rape
1. At modern law, rape is sexual intercourse against a victim’s will by force,
threat, or intimidation. Put another way, the crime of rape requires proof of
sexual intercourse with another compelled by force and against the victim’s
will or compelled by threat of bodily injury.
a. At common law, rape was the act of unlawful sexual intercourse by a
male person with a female person without her consent. While penetra-
tion was required, emission was not.
b. At common law, a husband could not rape his wife. This is no longer
the law in any state.
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c. The modern rule is that rape can occur regardless of gender (e.g., by a
woman to a man, or between people of the same sex).
d. Any penetration, however slight, will satisfy the requirements for rape.
(1) Rape generally refers to the anal or vaginal intercourse, regard-
less of degree of penetration. However, other acts of sexual inter-
course may be included in a statute’s definition of rape.
(2) Other nonconsensual sexual contacts are generally covered under a
separate crime of sexual assault, sexual contact, or sexual battery.
e. At common law, males under 14 were conclusively presumed inca-
pable of rape. Many modern jurisdictions maintain the presumption, but
make it rebuttable.
2. Resistance
a. Some rape statutes have been amended to eliminate any requirement
that the victim resist.
b. Where resistance remains as an element of rape, at common law, resis-
tance or opposition by mere words was typically not enough; the resis-
tance must be by acts [Mills v. United States, 164 U.S. 644 (1897)].
(1) Under the modern approach, verbal resistance is sufficient for
rape to occur.
c. The resistance must also be in good faith and not feigned.
d. Generally, the resistance required depends on the following factors
[C.M. v. Alabama, 889 So. 2d 57 (Ala. Crim. App. 2004)]:
(1) the parties’ relative strength;
(2) the degree of force manifested;
(3) the fear instilled in the victim;
(4) the victim’s age;
(5) the victim’s physical and mental condition; and
(6) all other circumstances, dependent upon the facts of the case.
3. Consent
a. If the victim is incapable of consenting, the intercourse is rape. Inability
to consent may be caused by the effect of drugs or intoxicating
substances or by unconsciousness.
b. There are two types of consent defenses: the consent defense and the
reasonable belief in consent defense.
c. A defendant’s reasonable and good-faith mistake of fact regarding
a victim’s consent to sexual intercourse is a defense to rape. This
defense has both an objective and subjective component.
(1) The subjective component asks whether the defendant honestly
and in good faith, albeit mistakenly, believed that the victim
consented to sexual intercourse.
(a) This component is met by the defendant introducing evidence
of the victim’s equivocal conduct which provided the basis on
which he erroneously believed there was consent.
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A. Theft Crimes
1. Theft crimes are crimes that involve some taking of property from the victim
by the defendant. The key to analyzing theft crimes and to distinguishing
among them often depends on whether the defendant acquired custody,
possession, or title to the property—larceny requires that the defendant
obtain possession unlawfully, false pretenses that the defendant obtain title
falsely, and embezzlement requires that the defendant convert (misuse)
property that has already been entrusted to him.
2. A person is said to have custody of property when the property has been
left with them, but they have no rights over the property.
EXAMPLE: A bailee only has custody of goods. Low-level employees are
typically considered to only have custody of their employer’s property.
3. A person has possession of property when they have custody and the
authority to exercise discretion over the property, or limited rights to use the
property. When property is loaned to another person to use, that person is
considered to have possession.
EXAMPLE: An auto mechanic has possession over a car left with them for
repairs, because they have the right to open it, repair it, drive it around in
order to test it, etc.
4. A person has title to property when they are the legal owner of the property.
B. Larceny
1. At modern law, the crime of larceny is defined as:
a. the taking;
(1) The taking requires the assertion of dominion and control over
the property by a defendant who does not have lawful posses-
sion, generally through trespass (i.e., without consent). When the
taking is accomplished by trickery (i.e., where the victim consents
to the defendant taking possession, but such consent is induced
by misrepresentation), the crime is larceny by trick.
b. and carrying away;
(1) The carrying away (asportation) is complete upon even the
slightest movement (e.g., six inches will suffice).
c. of the property;
(1) Common law larceny was limited to tangible personal property.
(2) Modern statutes have expanded the kinds of property to include
theft of services and other intangibles (such as gas and electrical
power and written instruments that represent property rights).
(3) Abandoned property cannot be the subject of larceny, although
lost or mislaid property can.
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C. Embezzlement
1. Embezzlement is a statutory crime defined as:
a. the fraudulent conversion or misappropriation;
(1) Conversion is some action toward property (such as selling,
consuming, pledging, donating, discarding, heavily damaging,
or claiming title to it), which seriously interferes with the rights of
the owner. Slight movement or limited use, for instance, would
not suffice, but use that deprives the owner of a significant
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D. Robbery
1. The felony of robbery consists of all the elements of larceny, plus two
additional elements:
a. the taking must be from the person or presence of the victim (meaning
an area within his control); and
b. the taking must be accomplished either:
(1) by force or violence; or
(2) by intimidation or the threat of violence.
(a) If the robbery is based on the threat of violence, the threat
must place the victim in actual fear at the time of the taking.
EXAM TIP If the victim is placed in fear, though baseless, there may still be a robbery. In
other words, fear based on lies qualifies as threats for constituting robbery.
(b) The use of force must be contemporaneous with the taking
(in other words, all part of one occurrence).
(c) This element will be satisfied by slight force, but must be some-
thing more than what is required to just move the property.
2. If any of the elements of larceny are not met, a robbery did not occur.
3. Larceny, assault, and battery are all lesser-included offenses of robbery
(which means that all of the elements of the lesser offense are included
within the greater offense).
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4. The Model Penal Code definition of robbery requires that the theft be
accompanied by serious bodily injury upon another, or by threatening or
placing another in fear of immediate serious bodily injury.
F. Bad Checks
1. All jurisdictions have enacted bad check legislation to deal with
no-account or insufficient-funds checks given with the intent to defraud.
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H. Larceny by Trick
1. Larceny by trick is a form of larceny whereby the defendant obtains
possession of the personal property of another by means of a representa-
tion or promise that he knows is false at the time he takes possession.
2. In larceny by trick, the defendant’s fraud is used to cause the victim to
convey possession, not title (as in false pretenses).
a. In some states, there must be an intent to steal at the time of the
induced delivery; a defendant who has some lesser (but still wrongful)
intent and then subsequently converts the property to his own use may
be guilty of embezzlement. In other states, the fraud will be construed
as a “trespass,” which continues until the time of “taking” and, there-
fore, a later misappropriation would still be considered larceny by trick.
3. Factual misrepresentations and false promises are typically deemed suffi-
cient for the “fraud” element of larceny by trick.
I. Extortion
1. Extortion was a common law misdemeanor involving the corrupt demand
or receipt of an unlawful fee by a public official under color of his office.
2. Under modern statutory law, extortion is commonly called blackmail.
Blackmail is defined as obtaining the property of another by the use of
threats of future harm to the victim or his property.
a. The threat is the essence of extortion, and includes threats to
expose a person or his family to disgrace and threats to accuse the
victim of a crime.
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3. Some statutes consider the crime complete upon the making of the threats
with the specific intent to obtain money or property, while other statutes
require the threats to actually cause the victim to part with his property.
4. Unlike robbery, extortion does not require threats of immediate or imminent
physical harm, and property does not need to be taken from the victim’s
person or presence.
5. The wrong that extortion statutes attempt to prevent is the taking of the
victim’s property by threat. Thus, even where a defendant’s threat is to
reveal factually correct information that the defendant is entitled to reveal,
the crime of extortion may nonetheless be committed.
6. In many jurisdictions, threats made for the purpose of obtaining payment
for a valid debt are not considered extortion. One rationale for this is that,
since the defendant is entitled to the property, the defendant lacks the
requisite intent to extort for gain. However, other states treat threats for debt
collection as extortion to discourage creditors from using such methods to
enforce their payment rights.
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K. Forgery
1. Forgery is defined as:
a. fraudulent making;
(1) The making element will be satisfied by the creation of a new
document, the altering of an existing document (including improp-
erly filling in a form), or by inducing someone to sign a document
knowing that the person is unaware of the document’s significance.
(2) Completion of the “making” element completes the crime; the
defendant does not have to actually use the forged document to
be found guilty of forgery.
(3) A defendant who actually acquires property by use of the forged
document may be guilty of another crime, such as false pretenses.
EXAMPLE: Dylan wrote a will and signed the name of his ail-
ing Aunt Bunny. He then signed the names of two other family
members whom Bunny would likely choose as witnesses. Dylan
intended to use the document after Aunt Bunny died to claim a
large part of her estate. The fake will is discovered before Bunny
dies. Dylan is guilty of forgery.
b. of a false writing with apparent legal significance; and
(1) Forgery is not merely including false information in an otherwise
genuine document, but must involve a writing that is itself false.
(2) An alteration must be material (that is, change the legal meaning or
effect of the document) to qualify the action as an element of forgery.
(3) For a writing to be one with apparent legal significance, the
writing must have purpose or value beyond the document’s own
existence, such as a contract, will, negotiable instrument, deed,
or mortgage. A document that is only valuable because of its
existence, even one that is highly valuable (such as a painting or
historical document), has no effect on legal rights or duties and
does not fall within the definition of forgery.
(a) However, attempting to obtain money in exchange for an
inherently valuable document may give rise to other crimes,
such as false pretenses.
c. with the intent to make wrongful use of the forged document.
(1) The defendant must act with an intent to make wrongful use, but
not necessarily for monetary gain.
(2) Note that acting with an intent to reimburse the victim or to collect
on a good faith claim of debt does not negate the intent element.
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(3) of property.
(a) At common law, arson required that the property burned be
a dwelling house. However, like burglary, the common law
requirement of a dwelling has been expanded in a majority
of states to include virtually any structure.
(b) The modern definition has been expanded to include most build-
ings, public or private, as well as vessels and personal property.
b. At common law, arson additionally required that the property burned be
owned “by another.” However, modern statutes have done away with
this and expanded the scope of arson to include situations where an owner
maliciously burns his own structure or property (such as for insurance fraud).
M. Possession Offenses
1. Controlled Substances
a. The Uniform Controlled Substances Act (“UCSA”) was first published
in 1970, and was adopted by almost every state as the basis for state
drug laws. The UCSA was most recently revised in 1994, and this
version has been adopted by more than half of the states.
b. Under the Uniform Controlled Substances Act, except as otherwise autho-
rized, a person may not knowingly or intentionally manufacture, distribute,
or deliver a controlled substance, or possess a controlled substance
with intent to manufacture, distribute, or deliver [UCSA § 401(a)].
c. At federal law, except as otherwise authorized, it is unlawful for any
person knowingly or intentionally [21 U.S.C.S. § 841(a)]:
(1) to manufacture, distribute, or dispense, or possess with intent to
manufacture, distribute, or dispense, a controlled substance; or
(2) to create, distribute, or dispense, or possess with intent to
distribute or dispense, a counterfeit substance.
d. It is also unlawful for any person knowingly or intentionally to possess
a controlled substance unless such substance was obtained directly,
or pursuant to a valid prescription or order, from a practitioner, while
acting in the course of his professional practice, or except as otherwise
authorized by statute [21 U.S.C.S. § 844(a)].
e. Both state and federal laws vary in level of offense and severity of
punishment depending on the substance and amount involved.
2. Firearms
a. The National Firearms Act [26 U.S.C.S. §§ 5801, et seq.] prohibits the
possession of certain firearms and accessories in violation of the registra-
tion, authorization, and notification requirements that the Act sets forth.
b. Registration of Importers, Manufacturers, and Dealers
(1) On first engaging in business and thereafter on or before the first
day of July of each year, each importer, manufacturer, and dealer
in firearms must register with the state in which the business is
located his name, including any trade name, and the address of
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A. Solicitation
1. Solicitation was a common law misdemeanor including enticing, advising,
inciting, inducing, urging, or otherwise encouraging another to commit a
felony or breach of the peace.
2. The MPC defines solicitation broadly to include requesting another to
commit any offense (including misdemeanors and felonies).
3. The solicitor must intend that the solicitee perform criminal acts (thus the
solicitor must have a specific intent). Mere approval of the acts is not enough.
4. The offense is complete at the time the solicitation is made. In other words,
completion of the offense solicited is unnecessary.
5. It is also unnecessary that the person solicited enter into an agreement to
commit the requested crime. Indeed, a person solicited to do a crime may
not even respond, but the solicitor will still be guilty of solicitation.
6. A solicitor is treated as an accessory before the fact, and thus will be guilty
of any solicited crime (whether attempted or completed) by the solicitee.
7. The crime of solicitation, unlike conspiracy, merges with the target felony
upon completion of the crime.
8. A solicitor may not be guilty of the offense if he could not be convicted of the
underlying crime—for instance, where the solicitor is a member of the class of
persons the law seeks to protect (e.g., a minor, in relation to statutory rape).
9. Defenses
a. At common law, there were no defenses to solicitation if the elements
described above were present. However, under modern statutes,
specific intent defenses such as voluntary intoxication and unreason-
able mistake of fact are legitimate defenses to solicitation.
b. Even where it would be impossible for the solicitee to carry out the
crime, such impossibility is no defense to the crime of solicitation.
What matters is what the solicitor believes the circumstances to be,
not what they actually are.
c. Because the crime of solicitation is complete as soon as the solicitation
is made, withdrawal cannot be a defense to the crime of solicitation.
Even where the solicitor later changes his mind, the change of heart may
be a defense to the underlying crime, but not to the solicitation crime.
B. Attempt
1. The crime of attempt consists of two elements:
a. a specific intent to bring about a criminal result; and
b. a significant overt act in furtherance of that intent.
2. Once the target crime is committed, the attempt merges into the target crime.
3. The specific intent requirement for attempt liability—the require-
ment that the defendant specifically intended to bring about a criminal
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C. Conspiracy
1. A conspiracy exists when there is:
a. an agreement between two or more persons to commit a crime; and
b. an overt act (committed by any conspirator) in furtherance of the conspiracy.
2. The agreement itself is the actus reus or conduct element of the offense
of conspiracy.
a. Actual agreement is required. Feigned agreement, as in the case of an
undercover police officer, is insufficient.
b. The agreement need not be express, but may be proved circumstan-
tially, such as by conduct where the conspirators demonstrate over
time that they intended to achieve the same objective and agreed to
work together toward that end.
(1) The agreement does not require a meeting of the minds, but
merely a shared intent to pursue a mutual goal.
c. The objective of the agreement must be to either commit a crime or to
commit a lawful act by unlawful means.
3. Conspiracy is a specific intent crime. The mental state required is both the
intent to agree and the intent to achieve the objective of the agreement.
4. Overt Act Requirement
a. The majority rule is that an overt act in furtherance of the conspiracy is
also required for conspiracy liability.
b. This prevailing view reflects a change from the traditional common law rule,
which had no such requirement (the agreement itself constituted the crime).
c. The overt act requirement for conspiracy need not be criminal or
unlawful, and need only be committed by one member of the conspiracy.
d. Mere preparation will suffice.
EXAMPLE: Purchasing matches in a conspiracy involving the burning
of a building or driving by a house to observe if someone is home in a
conspiracy involving theft.
5. Unlike attempt, conspiracy is a separate and distinct offense that does not
merge upon completion of the target crime because criminal combinations
are deemed to be dangerous apart from the underlying crime itself.
6. All jurisdictions recognize liability for crimes a conspirator aids and abets
under the doctrine of accomplice liability.
7. Where a conspirator does not have the sufficient mens rea for liability as an
accomplice, the Pinkerton doctrine provides that each conspirator is liable
for the crimes of all the other co-conspirators where the crimes were both:
a. a foreseeable outgrowth of the conspiracy; and
b. committed in furtherance of the conspiratorial goal.
8. Most jurisdictions have now accepted the Pinkerton doctrine and it is the
majority rule, imposing liability on a conspirator for the crimes of all the
other co-conspirators where the crimes were both:
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A. Accomplice
1. The common law traditionally distinguished between accessories before
and after the fact and principals in the first and second degree.
2. The modern approach is to distinguish only between accomplices to a crime
and accessories after the fact. Under the modern approach, an accomplice
to a crime is fully liable for the crime being committed.
EXAMPLE: An accomplice to a bank robbery is a bank robber.
3. An individual is criminally liable as an accomplice if he gives assistance
or encouragement or fails to act where he has a legal duty to oppose
the crime of another (actus reus), and purposefully intends to effectuate
commission of the crime (mens rea).
4. The Act Requirement
a. Even slight assistance or encouragement is sufficient, but the defen-
dant must actually assist or encourage. The assistance or encourage-
ment need not be a cause-in-fact of the commission of the crime.
EXAMPLE: A flashes B a thumbs-up sign just before B beats C. B
would have beaten C anyway, but A’s act is sufficient for complicity if B
saw it and felt even slightly encouraged.
b. Mere presence does not make one an accomplice.
c. Words alone may be sufficient if they assisted or encouraged.
d. The MPC recognizes complicity liability for one who attempts to aid or
encourage but does not actually aid or encourage.
5. Mental State Requirement
a. At common law, the person must intend to commit the acts of assis-
tance or encouragement and must further intend to encourage or assist
another to commit the crime charged.
b. A minority of modern statutes create accomplice liability with a lower
mental state—that of knowingly assisting or encouraging a crime, such
as in cases where a seller, knowing of the buyer’s intent to commit
arson, sells him an explosive device.
6. An accomplice is responsible not just for the crime assisted and encour-
aged but also for other crimes that are the natural and probable conse-
quences of the crime assisted or encouraged.
a. The MPC limits accomplice liability to only the crime assisted or encouraged.
EXAMPLE: An accomplice to an armed bank robbery can be held
responsible for the death of a bank teller who is shot by another defen-
dant during the bank robbery.
7. A defendant may be guilty as an accomplice for crimes he could not
commit alone.
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VI. DEFENSES
A. Responsibility
1. Insanity
a. If the defendant is insane at the time of his criminal act, no criminal liability
will be imposed. Four tests for insanity are followed in various jurisdictions.
(1) The M’Naghten test focuses on the defendant’s reasoning abili-
ties. Under this test, a defendant is relieved of criminal responsi-
bility upon proof that, at the time of commission of the act, he was
laboring under such a defect of reason from a disease of the mind
as not to know the nature and quality of the act he was doing, or if
he did know it, not to know that what he was doing was wrong.
(a) Disease of the mind includes all mental abnormalities, but
not a psychopathic personality.
(b) There is a split of authority in M’Naghten jurisdictions as
to whether “wrong” includes both legal and moral wrongs.
Some jurisdictions will find that a defendant is not insane
where, even though the defendant believes the act was
not morally wrong, he knows it to be illegal. Others will find
defendants who do not know an act was morally wrong to be
insane, regardless of their belief as to the act’s legality.
EXAMPLE: Following what Defendant actually believed
to be a higher power’s command to kill all law professors,
Defendant waited outside his criminal law final exam to kill
his professor. Defendant is considered insane under the
M’Naghten test.
(2) Under the irresistible impulse test, a defendant will be found
not guilty where he had a mental disease that kept him from
controlling his conduct.
(3) Under the Durham (or New Hampshire) rule, also known as
the “product” rule, a defendant is not criminally responsible if his
unlawful act was the product of a mental disease or defect (meaning
it would not have been committed “but for” the defect or disease).
(4) Under the Model Penal Code test (or substantial capacity),
a person is not responsible for criminal conduct if, at the time of
such conduct, as a result of mental disease or defect, he lacked
substantial capacity to appreciate the criminality (wrongfulness)
of his conduct or to conform his conduct to the requirements
of law. It is typically easier to establish MPC insanity because
it does not require the total or absolute loss of cognitive ability
or volition, only that the defendant lacked substantial capacity
in these areas. It also combines a cognitive component (not
knowing) with a volitional component (not controlling) and allows
a verdict of insanity for either one.
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b. Many states have abolished the common law presumptions and estab-
lished a specific minimum age required for a criminal conviction.
B. Justification
1. Where an act is justified, no crime has been committed, notwithstanding
what might otherwise be a criminal result.
2. Self-Defense
a. If a person has a reasonable belief that he is in imminent danger of unlawful
bodily harm, he may use that amount of force in self-defense that is reason-
ably necessary to prevent such harm, unless he is the initial aggressor.
(1) Keep in mind that the force must be proportional to the initial
attack, and the initial attack must be wrongful.
b. Deadly force is that which threatens death or serious bodily harm.
(1) Deadly force can only be used in self-defense in response to an
attack that threatens death or great bodily injury.
c. Non-deadly force threatens only bodily harm.
EXAMPLE: If Abe takes a swing at Bob, Bob is legally justified in fight-
ing back with non-deadly force. If Abe swings with a butcher knife, Bob
is legally justified in shooting Abe with a gun if he cannot avoid the
potentially lethal harm through non-deadly force.
d. Reasonable force is that amount of force that is necessary to avoid
the threatened harm. In other words, if non-deadly force would stop a
deadly attack, responding with deadly force is not reasonable.
e. An aggressor is one who strikes the first blow or commits a crime
against the victim. The aggressor can regain the right of self-defense in
either of two ways:
(1) upon complete withdrawal perceived by the other party; or
(2) escalation of force by the victim of the initial aggression.
EXAMPLE: If Abe takes a swing at Bob, and Bob responds by
shooting at Abe with a gun, Abe is legally justified in swinging his
butcher knife at Bob.
f. The general rule is that a person who did not initiate conflict has no
duty to retreat in the face of a deadly attack.
g. However, a number of jurisdictions do require retreat if it is feasible and
can be done in safety before using deadly force.
(1) Those jurisdictions that require retreat before using deadly force
do not require retreat if it cannot be done safely or if the defendant
is in his own home, auto, or workplace. Even if in one of these
places, however, a defendant in a retreat jurisdiction must retreat
before using deadly force if the defendant is the aggressor.
(2) Retreat jurisdictions are split as to whether one must retreat in
one’s own dwelling if attacked by a co-dweller.
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NOTE Unlike private citizens, police officers who mistakenly use deadly force in
such fleeing felon situations may be justified.
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C. Entrapment
1. The defense of entrapment exists where the criminal act is the product of
creative activity originating with law enforcement officials and the defendant
is in no way predisposed to commit the crime.
2. Government officials may, however, encourage criminal activity by providing
the opportunity or the equipment for the commission of a crime.
3. A defendant’s past criminal record is relevant in proving predisposition.
D. Mistake
1. Mistake of Fact
a. Mistake of fact is a defense where it negates the existence of a
mental state required to establish a material element of the crime. In
other words, there would be no crime if the facts were such as the
defendant thought them to be.
(1) To negate the existence of general intent, a mistake of fact must
be reasonable to the extent that, under the circumstances, a
reasonable person would have made that type of mistake.
(2) To negate the existence of specific intent, a mistake of fact need
not be reasonable. It may be unreasonable, provided it is honest.
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E. Consent
1. Consent of the victim is not a defense to a crime except when it negates a
specific element of the offense, such as in rape or kidnapping.
F. Condonation
1. Subsequent forgiveness by the victim is generally not a defense to the
commission of a crime.
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TABLE OF CONTENTS
III. CONTRACTS
V. TITLES
Adverse Possession.....................................................................................................................438
Transfer by Deed..........................................................................................................................440
Transfer by Operation of Law and Will.........................................................................................447
Title Assurance Systems..............................................................................................................448
Special Problems.........................................................................................................................453
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NOTE A fee simple absolute may last in perpetuity. If the owner of a fee simple ab-
solute dies intestate, the property will pass to the owner’s heirs by intestacy.
(2) The following words are traditionally used to create a fee simple
absolute: O conveys “to A and his heirs.”
(a) Words of purchase describe the persons, called
“purchasers,” who take an interest under a grant or device.
Words of limitation describe the nature of the estate taken
by the purchasers.
EXAMPLE: O conveys “to A and her heirs.” The words “to A”
are words of purchase because they indicate that A takes an
interest under the grant from O. The words “and her heirs”
are words of limitation because they describe the nature of
the estate taken by A—in this case, a fee simple absolute.
(b) At early common law, the words “to A and his heirs” were
required to create a fee simple absolute.
(c) However, under modern law, a fee simple absolute is
generally presumed when the words “to A” are used.
b. Defeasible Estates
(1) A defeasible estate is an estate that may terminate before its
maximum duration has run.
(2) Fee Simple Determinable
(a) A determinable estate terminates automatically on the
happening of a named future event.
(b) A determinable estate is described with the following words:
1) for so long as;
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2) during;
3) while; or
4) until.
(c) A determinable estate is created:
1) in one clause; and
2) with a limitation built into that one clause.
EXAMPLE: O conveys “to A and his heirs for so long
as the premises are used for educational purposes.”
This creates a determinable estate.
(d) A determinable estate is followed by a possibility of reverter,
which may be implied.
(3) Fee Simple Subject to a Condition Subsequent
(a) An estate subject to a condition subsequent may be cut
short if the estate is retaken by the grantor or a third party
on the happening of a named future event.
1) The condition only gives the grantor the right to take the
estate, however. It does not automatically terminate the
estate (as distinguished from a determinable estate).
(b) An estate subject to a condition subsequent is described
with the following words:
1) provided, however;
2) however if;
3) but if;
4) on condition that; or
5) in the event that.
(c) An estate subject to a condition subsequent is created:
1) in two separate clauses; and
2) with a condition stated in the second clause.
EXAMPLE: O conveys “to A and his heirs, but if the
premises are not used for educational purposes, then
O has the right to reenter the premises and terminate
A’s estate.” This creates a fee simple subject to a
condition subsequent.
EXAMPLE: O conveys “to A for life; provided, however,
that if the premises are not used for charitable pur-
poses, O may reenter and retake the premises.” This
creates a life estate subject to a condition subsequent.
(4) Fee Simple Subject to Executory Interest
(a) A fee simple subject to an executory interest is an
estate that is automatically divested in favor of a third
person on the happening of a named event.
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(2) The following words are used to create a life estate: O conveys
“to A for life.”
(3) A life estate pur autre vie is an estate where the duration is
measured by the life of someone other than the grantee.
EXAMPLE: O conveys “to A for the life of B.” If B predeceases A,
A’s estate ends at B’s death. If A predeceases B, under the mod-
ern rule, A’s heirs are entitled to the use of the land until B dies.
(4) Life estates can be made defeasible.
(5) Duty to Repair
(a) A life tenant has a duty to maintain the property in a reason-
able state of repair, ordinary wear and tear excepted. This
duty is limited to the extent of the income derived or, if
he personally occupies the premises, to the extent of the
reasonable rental value of the land.
(b) A tenant for a term of years also has a duty to maintain the
property in a reasonable state of repair, ordinary wear and
tear excepted. However, this duty is not limited to the extent
of income derived or reasonable rental value discussed
above. Further, the lessee’s duty is now largely governed
by statutes that tend to relieve at least the residential
lessee of the duty to repair.
(6) Mortgages
(a) The life tenant has a duty to pay the interest on a mortgage
to the extent of profits derived from the property. A tenant for
years or a periodic tenant has no common law duty to make
mortgage payments. However, commercial leases often
require a nonresidential tenant to pay taxes, mortgages, etc.,
and to make specific repairs.
(7) Taxes
(a) The life tenant must pay all ordinary taxes, to the extent of
profits derived from the property. A tenant for years or a periodic
tenant has no common law duty to pay property taxes unless:
1) the lease is “perpetual” or for a long term with an option
in the tenant and his successors to renew “forever”;
2) the tenant holds without any obligation to pay rent; or
3) the tenant has erected improvements on the leased
premises for his own benefit.
(8) Special Assessments
(a) The life tenant must pay the full cost of special assess-
ments (apparently to the extent of income derived) if the life
of the public improvement is less than the duration of the
life tenant’s estate. Equitable apportionment is applied for
improvements likely to last longer (e.g., curbs and streets).
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B. Future Interests
1. Reversionary Interest
a. A reversion is a future interest retained by the grantor when the
grantor transfers less than a fee interest to a third person.
b. Under the majority rule, a reversion is transferable, devisable, and
descendible.
EXAMPLE: O conveys “to A for life, then to B for life, then to C for
life.” The entire fee simple absolute is not accounted for in this transaction.
Therefore, following all of these life estates, O has a reversion.
EXAMPLE: O conveys “to A for a term of 10 years.” A has an estate
for a term of 10 years. O retains a reversion.
EXAMPLE: O conveys “to A for life.” O retains a reversion. If O
conveys her reversion to C, C’s interest is still defined as a reversion,
even though it is now in a third party.
EXAMPLE: T devises “Blackacre to A for life.” When T dies, A gets a
present possessory life estate. T’s reversion passes by the terms of
his will or to T’s heirs by the laws of intestacy if there is no will.
EXAMPLE: T devises Blackacre “to A for life,” and T also devises “the
rest and residue of my estate to B.” When T dies, A gets a present
possessory life estate. B gets the residue of T’s estate, which
includes the reversion to Blackacre.
2. Remainders
a. A remainder is a future interest created in a third person that is intended
to take effect after the natural termination of the preceding estate.
b. Contingent Remainders
(1) A remainder will be contingent if:
(a) the takers are unascertained; or
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(b) by merger, A gets a fee simple and thus A’s heirs take
nothing by virtue of the grant itself.
(4) The Rule in Shelley’s Case is a rule of law, which the court must
treat as creating an irrebuttable presumption.
(5) The Rule in Shelley’s Case has been abolished by statute or
judicial decision in most states.
b. Doctrine of Worthier Title
(1) Also known as the rule against remainders in grantor’s heirs, the
Doctrine of Worthier Title arises in grants such as the following:
O conveys “to A for life, remainder to the heirs of O.”
(2) The requirements for applicability of the Doctrine of Worthier Title are:
(a) A must receive an estate less than a fee simple, such as a
life estate or a term of years;
(b) O’s heirs must receive a remainder (or an executory interest,
in the rare case);
(c) both interests must be created by the same instrument; and
(d) both interests must be legal or both must be equitable.
(3) The Doctrine of Worthier Title is a rule of construction, not law. The
language leaving a remainder to O’s heirs creates a rebuttable
presumption that O intended to retain that interest in himself as
a reversion. This presumption may be rebutted by clear express
evidence that O did intend to create a remainder in his heirs. If the
presumption is raised but not rebutted, A gets a life estate and O
retains a reversion (and thus O’s heirs take nothing on their own).
(4) Under modern law, the Doctrine of Worthier Title applies to inter
vivos transfers only (the testamentary branch of the doctrine no
longer is applied).
c. Rule of Convenience
(1) Under the Rule of Convenience, a class closes when a member
of the class is entitled to distribution.
(2) The Rule of Convenience applies to the following classes: “children,”
“grandchildren,” “brothers,” “sisters,” “nephews,” “nieces,” “cousins,”
“issue,” “descendants,” or “family” of a designated person.
(a) If the class is already closed at the time the gift takes effect (i.e.,
the time of conveyance for an inter vivos gift or time of testator’s
death for a will), all members of the class at that moment will
take. However, any individual later conceived or born will not be
a member of the class and will not share in the estate.
(b) If, at the time the gift takes effect, the class has members
entitled to take immediately but the class has not previously
closed, all members of the class conceived at the time the
gift is made will be included and may take; however, the
class will close to the exclusion of afterborn children, who
will not share in it.
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(c) If the class has no members at the time the gift is made, all
members of the class, whenever born, will be included and may
take. The class stays open until all possible members are born.
EXAMPLE: T devises “to the children of A.” If A is dead at
the time of T’s death, the class of A’s children will be closed;
therefore, all of A’s children will be included and will take. If
A is alive at the time of T’s death and has children at that
time, the children born at the time of T’s death are entitled to
immediate distribution. Therefore, the class will close, and
all of those children will be included and may take. However,
afterborn children will be excluded. If A is alive at T’s death
but does not have children at that time, no one is entitled to
immediate distribution. Therefore, the class should remain
open. All of A’s children, whenever born, will be included and
should be able to take. Some authorities suggest that the
first-born child takes the entire estate on her birth, subject to
partial divestment by the birth of later children; however, the
case law on this point is sparse.
d. Postponed Gift to a Class (with No Condition Precedent)
(1) If the class is already closed at the time the postponement ends
(e.g., at the end of a present possessory life estate), all members
of the class will be included and will take.
(2) If the class has members but is not yet closed at the time the
postponement ends, all members of the class conceived at
the time the postponement ends will be included and may
take. However, the class will close to the exclusion of afterborn
children, who may not take.
(3) If the class has no members at the time the postponement
ends, all members of the class, whenever born, will be included
and may take.
EXAMPLE: T devises “to A for life, remainder to the children of
B.” If B is dead at the time of T’s death, the class of B’s children
will be closed; therefore, all of B’s children will be included and
may take. If B dies after T but before A, the class of B’s children
will also be closed; therefore, all of B’s children will be included
and may take. If B is alive at the time of A’s death and B has
children at that time, all children then born are included and are
entitled to distribution at A’s death. However, the class will close
at that time to the exclusion of afterborn children. If B is alive at
A’s death but does not have children at that time, no child is then
entitled to immediate distribution. The class should remain open.
Therefore, all of B’s children, whenever born, should be included
and should be able to take. Again, some authorities suggest that
the first-born child takes the entire estate on her birth, subject to
partial divestment by the birth of later children.
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and when they reach 21. However, children born after the class
closes will be excluded. If B is alive at A’s death and either has no
children or has children, none of whom has reached 21, no child
is entitled to distribution at A’s death (which is the first postpone-
ment). Therefore, the class remains open until a child of B reaches
21 (which is the second postponement). When a child of B reaches
21, the class closes. All children conceived at the time a child of B
reaches 21 will be included and may take if and when they reach
21. However, children born after the class closes are excluded.
g. Waste
(1) The possessor of a life estate or a leasehold interest has the
right to possess, use, and enjoy the property during the duration
of his estate. However, he may not do anything that adversely
affects the future interest that follows the life estate. An act that
adversely affects the future interest is called waste.
(2) Voluntary waste is the voluntary commission of an act that has more
than a trivial injurious effect on or change in the property. Despite the
prohibition on voluntary waste, natural resources may be consumed:
(a) for the repair and maintenance of the property;
(b) with permission of the grantor; or
(c) under the open mines doctrine, which applies to both life
tenants and tenants for years.
1) If the grantor was exploiting the natural resources of
the mine, it is presumed that the grantee has the right
to continue that exploitation.
(3) Involuntary or permissive waste occurs if the life tenant or lease-
hold tenant permits the premises to fall into disrepair. Involuntary
waste may also occur if the life tenant fails to pay mortgage interest
payments, taxes, or the tenant’s share of special assessments.
(4) Ameliorative waste occurs if an act of a life tenant increases
the value of the premises by permanently altering it. Traditionally,
ameliorative waste was prohibited. However, under modern law,
a life tenant is allowed to commit ameliorative waste if:
(a) the market value of the remainderman’s interest is not
impaired; and
(b) either:
1) it is permitted by the remainderman; or
2) a substantial and permanent change in the neighborhood
has deprived the property of a reasonable current value.
(c) A holder of a reversion has standing to sue for past or future
waste. A vested remainderman also has standing to sue for
past or future waste. However, a contingent remainderman
has standing to sue to prevent future waste but not for
damages for past waste.
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C. Cotenancy
1. A concurrent estate exists when two or more persons share concurrently
an interest in real property. A concurrent owner is called a co-tenant.
2. Tenancy in Common
a. Tenancy in common is a form of concurrent ownership where each
co-tenant owns an undivided interest in the whole of the property with
no right of survivorship.
b. Tenancy in common is now the presumed form of co-tenancy. Therefore,
no special words are required to create a tenancy in common.
EXAMPLE: O conveys “to A and B.” A and B hold a fee simple absolute
as tenants in common.
c. Tenancy in common requires unity of possession only. Unity of
possession means that each tenant in common has the right to
possess the whole of the property.
d. A tenant in common may transfer his interest inter vivos:
(1) voluntarily, through a conveyance, lease, mortgage, or other
transfer of a present possessory or future property interest; or
(2) involuntarily, through a foreclosure on a mortgage of the
tenant’s interest or an execution of a judgment creditor’s lien on
the tenant’s interest in the property.
e. A tenant in common may devise his interest, and the interest of a
tenant in common may also descend by intestacy.
3. Joint Tenancy
a. Joint tenancy is a form of concurrent ownership where each co-tenant
owns an undivided interest in the whole of the property and has a right
of survivorship.
b. Traditionally, the following words are required to create a joint tenancy:
“to A and B as joint tenants and not as tenants in common, with full
right of survivorship.”
c. A joint tenancy requires the following four unities:
(1) joint tenants must take at the same time (unity of time);
(2) joint tenants must take by the same instrument (unity of title);
(3) joint tenants must take equal shares of the same type (e.g., each
joint tenant takes a legal fee simple) (unity of interest); and
(4) each joint tenant has the right to possess the whole (unity of
possession).
d. Under the traditional rule, a sole owner of property cannot create a
joint tenancy between himself and another person by conveying a joint
interest directly to the other person. Instead, the owner must convey
the property to a straw man, who then conveys the property back to
the owner and the other person as joint tenants.
(1) Some jurisdictions now do not require the unities of time and title.
Under this approach, a straw man no longer is required to create
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(2) When partition cannot produce equal shares, the party receiving
the larger portion must make a cash payment to the other party.
7. Rights and Duties of Co-Tenants
a. Each co-tenant is entitled to possess the whole property.
b. Wrongful ouster occurs when one co-tenant wrongfully excludes
another co-tenant from possession of the whole or any part of the
jointly held property.
c. An out-of-possession co-tenant has the right to share in rents
and net profits derived by another co-tenant from third parties,
less operating expenses such as taxes, mortgages, interest, and
management fees. However, an out-of-possession co-tenant does
not have the right to demand rent from a co-tenant who is in actual
possession of the premises, unless the co-tenant in possession has
effected a wrongful ouster or has exploited the property in a manner
resulting in permanent depreciation.
d. The common law, which is still followed in some states, does not allow
a co-tenant to seek contribution from another co-tenant for repairs
performed on the property.
e. However, under the modern trend, contribution may be compelled for
necessary repairs if the repairs were requested by the repairing tenant
and refused by the other(s).
f. In a partition suit or an accounting suit, the costs of repairs may be
credited in favor of a co-tenant who repairs.
g. A co-tenant has no right to seek a contribution or setoff for improve-
ments made to the premises, unless the improvements generate
increased rents or profits. In that case, costs of improvements are
recoverable only in a partition suit.
h. A co-tenant who pays a mortgage or tax may seek contribution or may
recover in an accounting or partition suit. However, there is no sepa-
rate action to compel contribution. A co-tenant in sole possession will
receive reimbursement only to the extent that his payment exceeds the
value of the use and occupation of the property (i.e., the rental value).
D. Landlord-Tenant
NOTE A lease gives the tenant (lessee) exclusive possession of the premises for a
period of time.
1. Creation
a. A lease may be created expressly, either orally or in writing. A writing gener-
ally is required by the Statute of Frauds for a term of more than one year.
b. An implied lease may be created by the conduct of the parties when
the written lease is an invalid writing. In such a case, the resulting
tenancy will be periodic. An implied lease may also be created when a
holdover tenant pays rent and the landlord (lessor) accepts the rent.
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2. Types of Leases
TYPES OF LEASES
a. Term of Years
(1) A term of years has a definite beginning and end (e.g., until a
set date or for a set number of months or years). No notice is
required to terminate a lease for a term of years.
EXAMPLE: L leases to T for a period of one year.
b. Periodic
(1) A periodic tenancy has a set beginning date and continues from
period to period (e.g., from month to month) without a set termi-
nation date, until proper notice is given. While under the common
law, notice merely has to be sufficient to show intent, some
modern statutes require termination notice to be in writing.
(a) The modern rule is that notice can be oral unless the lease
specifically states otherwise.
(2) A periodic tenancy may be created expressly or by implication
with a holdover tenant.
(3) Under the traditional rule, a periodic tenancy could be termi-
nated only on the anniversary date. Improper notice was
deemed ineffective, and the notice period was measured by the
rent reservation clause.
(4) Under the modern statutory approach, termination may take
place on any date, and the notice period is measured by the rent
payment clause up to a maximum of six months.
c. At-Will
(1) An at-will lease has no fixed duration and lasts only as long as
the landlord and tenant desire. An at-will tenancy terminates if:
(a) either party dies;
(b) the tenant commits waste;
(c) the tenant attempts to assign his interest;
(d) the landlord transfers his interest; or
(e) the landlord transfers the premises to a third party for a
term of years.
(2) If the lease gives the landlord a unilateral right to terminate,
most courts find a tenancy at will that may be terminated by
either the landlord or the tenant.
(3) If the lease gives the tenant a unilateral right to terminate, some
courts find a tenancy at will that may be terminated by either
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the landlord or the tenant. However, under the modern view, the
tenant receives either a life estate or a fee simple, depending on
the language used in the lease.
d. Tenancy at Sufferance / Holdover Tenancy
(1) A tenancy at sufferance occurs when a tenant remains in posses-
sion of the leased premises (“holds over”) after the end of the lease
term. A tenancy at sufferance is not a true tenancy. In most states, if
a residential tenant holds over, the landlord may recover possession
and receive the reasonable rental value for the holdover period.
3. Possession and Rent
a. Tenant’s Duties
(1) Pay Rent
(a) A tenant has a duty to pay rent. Under the common law
estate theory, the tenant’s duty to pay rent was not relieved
if the premises were destroyed because the tenant would
still have possession of the actual land. There was an excep-
tion to this common law rule where the tenant leased only
a portion of the building. In that instance, if the building was
destroyed, the tenant was then excused from paying rent.
(b) Today, there is no distinction between leasing all or part of a
building. The tenant leasing all or a portion of a building may be
relieved from the duty to pay rent if the premises are destroyed.
1) An exception to this rule exists where the tenant is not
relieved from liability for rent when the tenant intention-
ally or negligently caused the destruction.
(2) Waste
(a) The tenant’s duties in respect to waste are similar to those
owed by life tenants. However, the tenant’s duty not to commit
permissive waste (primarily in respect to repairs) is not limited
to the extent of income derived from or the reasonable rental
value of the property when the tenant possesses personally.
(b) In addition, a tenant (except possibly a tenant for a long
term) may not commit ameliorative waste, which a life tenant
may be permitted to do.
(3) Repair
(a) Under the common law estate theory, the landlord has no duty
to repair the premises during the term of the lease. In contrast,
the tenant had a duty not to commit waste, which includes a
duty to repair the premises (i.e., not commit permissive waste).
This duty extended to minor repairs that keep the building’s
interior safe from water and wind, but absent a covenant to the
contrary, the tenant was not required to rebuild the premises if
they were destroyed by an act of God. (Under the estate theory,
the landlord also had no duty to rebuild.)
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(3) The lease document may also create certain duties for the land-
lord, such as the duty to repair within the leased premises.
4. Assignment and Subletting
a. Assignment
(1) An assignment occurs when the tenant transfers to a third
person (the assignee) all of his rights, title, and interest in the
leased premises. An assignee comes into privity of estate with
the landlord.
b. Sublease
(1) A sublease occurs when the tenant transfers to a third person
(the subtenant or sublessee) less than all of his rights, title, and
interest in the leased premises. A subtenant does not come into
privity of estate with the landlord.
c. Liability of Parties
(1) A party may be liable to a landlord through either privity of
contract or privity of estate.
(a) Privity of contract is the relationship that exists between
the original parties to an agreement. Privity of contract will
always exist between the original parties and only those
original parties, unless there is a novation.
EXAMPLE: L and T enter into a written five-year lease
agreement, with rent to be paid monthly. Because L and
T are both signatories to the lease agreement, they are in
privity of contract with each other.
(b) Privity of estate arises through the succession in rights to
the same property by multiple parties.
1) The landlord, by entering into the lease agreement,
is conveying a portion of his rights—specifically, the
right to presently possess and use the property for the
duration of the lease—to the tenant. In doing so, the
parties enter into privity of estate.
2) If the tenant then grants anything less than his full rights
and interest in the property to another party (i.e., if the
tenant subleases the property, rather than assigning
it), that subsequent party does not enter into privity of
estate with the landlord, only with the tenant.
a) This is because the subtenant is not acquiring
the portion of the property rights that the landlord
conveyed to the tenant, and so is not “stepping into
the shoes” of the original tenant.
b) Rather, the subtenant is only acquiring a portion of
the tenant’s rights, while the tenant retains some
right or interest to the property.
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(d) parts of land are retained in the landlord’s control but are
available for use by the tenant;
(e) the landlord has contracted to repair; or
(f) the landlord has been negligent in making repairs.
c. Anticipatory Repudiation
(1) When a tenant breaches a lease agreement, the common law
rule was that the landlord can only sue for rent as it accrues.
(2) However, under modern law, when the lease is for a tenancy for
years and the tenant abandons the property, the landlord may
treat this as an anticipatory breach of the entire lease, entitling
the landlord to sue immediately for all rent due on the entire
agreement (subject to the landlord’s duty to mitigate damages).
d. Security Deposits
(1) There are three types of security deposits:
(a) where the tenant deposits a sum of money against which the
landlord may draw to make up any default or to pay for damages;
1) This type of security deposit requires the landlord to
account to the tenant for anything the landlord with-
draws from the deposit. At the end of the tenancy, any
balance goes to the tenant.
(b) a deposit that will be forfeited if the tenant defaults; and
1) This type of deposit is essentially a liquidated damages
clause, and should be treated as such.
(c) a deposit that is denominated as advance rent.
1) This last type is not considered a “true” deposit, but
rather, an advance payment of rent. The tenant has the
right to have that advance payment attributed toward
rent due at the end of the lease.
(2) Today, security deposits are heavily regulated by statutes in most
jurisdictions, and vary greatly from one state to another.
e. Death of Either Party
(1) In general, a lease will not be terminated by the death of either
the landlord or the tenant.
(2) In the absence of a contrary provision, the death of a tenant for
years will not terminate the tenancy, and the leasehold will pass
as personal property through the tenant’s estate.
(a) This may not be the case if, for example, the terms of the
lease contain a provision that it terminates upon the death of
either party, or the nature of the lease and peculiar qualifica-
tions of the tenant make the lease personal to the tenant.
(3) A tenancy at will, however, will be terminated by the death of either party.
(4) If the landlord holds a life estate in the leased property, the lease
is considered void upon the death of the landlord.
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Constructive The tenant must The tenant is The tenant may treat
Eviction show an interference excused from further the lease as canceled.
(Breach of Covenant with beneficial use performance under Rent is abated.
of Quiet Enjoyment) and enjoyment of the lease. The tenant
the premises serious must vacate the
enough to amount to premises within a
an eviction. reasonable time.
Breach of Implied The tenant must show The tenant is The tenant may treat
Warranty of a patent or latent excused from further the lease as canceled.
Habitability defect in essential performance under the Rent is abated. The
residential facilities. lease. The tenant may, tenant may seek
but need not, vacate money damages,
the premises. reformation, or other
traditional contract or
tort remedies.
E. Special Problems
1. Rule Against Perpetuities
a. The common law Rule Against Perpetuities provides that “[n]o
interest is good unless it must vest, if at all, not later than 21 years
after some life-in-being at the creation of the interest.”
b. To determine whether an interest violates the common law Rule
Against Perpetuities, the following analysis should be applied:
(1) Identify the interests subject to the Rule Against Perpetuities.
(a) Interests which are not subject to the Rule Against
Perpetuities include:
1) present possessory estates;
2) charitable trusts;
3) resulting trusts; and
4) interests that are fully vested at the time of creation.
The following interests are fully vested:
a) reversionary interests; and
b) completely vested remainders.
(b) Interests which are subject to the Rule Against
Perpetuities include:
1) options to purchase land not incident to a lease;
2) powers of appointment;
3) rights of first refusal; and
4) interests that are not fully vested at the time of
creation, including:
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c. Applications
(1) Fertile Octogenarian
(a) Imagine that O conveys “to A for life, remainder to A’s chil-
dren for life, remainder to A’s grandchildren.”
(b) A’s life estate is presently possessory, and therefore is not
subject to the Rule Against Perpetuities. The remainder for life in
A’s children is either contingent or subject to open because A is
conclusively presumed to be capable of having more children,
and therefore is subject to the Rule Against Perpetuities. The
remainder in A’s grandchildren is either contingent or subject to
open, and therefore is subject to the Rule Against Perpetuities.
(c) O and A are express lives-in-being. Even if children or grand-
children are already born, these persons are members of
an open class and therefore cannot serve as lives-in-being.
Therefore, O and A are the only possible measuring lives.
(d) A’s children will take (or not take) at A’s death; hence, their
interest is valid. However, A’s grandchildren may well take
more than 21 years after O and A die. Thus, their interest
violates the Rule Against Perpetuities.
(e) A retains her life estate. A’s children will take for life after A dies.
Because the interest in A’s grandchildren is void, O retains a
reversion that will become possessory after A’s children die.
(2) Unborn Widow
(a) Imagine that O conveys “to A for life, remainder to A’s widow for
life, remainder to A’s children living at the death of A’s widow.”
(b) A’s life estate is presently possessory, and therefore is not
subject to the Rule Against Perpetuities. The remainder for
life in A’s widow is contingent because there cannot be a
widow of a living person, and therefore is subject to the Rule
Against Perpetuities. The remainder in A’s children living
at the death of A’s widow is contingent because there is a
condition precedent to vesting, and therefore is subject to
the Rule Against Perpetuities.
(c) O and A are express lives-in-being. A’s widow is not a life-in-
being because she has not yet been identified. A’s children,
even if some are already born, may not be lives-in-being
because their class is open. Therefore, O and A are the only
possible measuring lives.
(d) A’s widow will take (or not take) at A’s death; hence, her
interest is valid. However, A’s children may well take more
than 21 years after O and A die. Thus, their interest violates
the Rule Against Perpetuities.
(e) A retains his life estate. A’s widow will take for life after A dies
if she survives A. Because the interest in A’s children is void,
O retains a reversion, which will fall in when A’s widow dies.
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branch of the USRAP, the court waits until the end of the
prescribed period to determine whether the interest actu-
ally vested or failed within the prescribed period.
EXAMPLE: In 1990, O conveys “to A for life, remainder
to A’s children for life, remainder to A’s grandchildren.”
Assume that, at the time the conveyance is made, A is
55 and has one child, B, who is 16. In 1995, B marries.
In 2001, C is born to B. A dies in 2004 at the age of 69.
B dies in 2040 at the age of 66. C may take the property
in 2040. The remainder to A’s grandchildren would be
void under the common law Rule Against Perpetuities;
however, because C actually takes within 90 years of
the conveyance, her interest is valid under the USRAP.
2. Powers of Appointment
a. A general power of appointment gives the holder of the power the
right to appoint the property to anyone, including the holder of the
power. Thus, a general power of appointment is considered to be
equivalent to ownership of the property.
(1) To be valid under the Rule Against Perpetuities, a general power
of appointment must be exercisable, but not necessarily exer-
cised, during the period allowed by the Rule Against Perpetuities.
b. A special power of appointment gives the holder the right to appoint
the property to a limited class of persons.
(1) To be valid under the Rule Against Perpetuities, a special power
of appointment must be exercised in a manner that causes the
interest in property thereby created to vest within the period of
the Rule Against Perpetuities.
3. Restraints on Alienation
a. A restraint on alienation is a condition placed on the ownership of
real property that restricts the free conveyance of that property.
(1) Under a disabling restraint, A may not convey. Disabling
restraints are always void.
EXAMPLE: O conveyed Blackacre “to A and his heirs so long as A or
his heirs do not sell, mortgage, or otherwise transfer his interest in the
property.” This is a disabling restraint, and will be considered void.
A (or his heirs) may freely sell, mortgage, or convey the property.
(2) Under a forfeiture restraint, A loses his estate if he attempts to
convey. Forfeiture restraints are valid for life estates and future
interests, but are not enforceable for fee simple estates.
EXAMPLE: O conveys Blackacre “to A and his heirs, but if A or
his heirs should ever convey the property to anyone, then to B
and her heirs.” This is a forfeiture restraint on a fee simple estate,
and would not be enforceable.
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his land for the benefit of the covenantee and his heirs,
successors, and assigns.
(c) privity;
1) Horizontal privity is the relationship that exists
between the original covenantor and covenantee.
2) In most jurisdictions in the United States, the horizontal
privity requirement is satisfied by a conveyance of land
between the covenantee and covenantor, which occurs
by the same deed that includes the covenant.
3) Horizontal privity may also exist when the covenant is
created in a lease or in the transfer of an easement.
a) Traditionally, horizontal privity was required for both
the benefit and the burden to run.
b) Under the modern rule, horizontal privity is not
required for the benefit to run.
4) Vertical privity is the relationship that exists between
an original party to a running covenant and the
successor in interest to the original party.
5) To demonstrate vertical privity, the plaintiff must show that
the successor “stepped into the shoes of” the original party
by taking the entire interest held by the original party.
a) For example, if the original covenantor took a fee
simple interest in land and then attempted to make
a conveyance to a subsequent party, vertical privity
would exist between the original covenantor and
the successor only if the successor received a fee
simple interest.
b) Traditionally, vertical privity is required for both the
benefit and burden to run.
c) For the burden to run, privity of estate will only exist
when the holder of the servient estate transfers all of
his interest in the servient estate to the new owner.
d) For the benefit to run, privity of estate can exist
when the holder of the dominant estate is transfer-
ring all or part of his interest.
(d) touch and concern; and
1) To touch and concern, a covenant must exercise direct influ-
ence on the occupation, use, or enjoyment of the premises.
2) Traditionally, both the benefit and the burden had to
touch for either side to run.
3) The benefit touches if it increases the value of the
benefited property.
4) The burden touches if it decreases the value of the
burdened property.
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(e) notice.
1) Originally, notice was not a requirement for a covenant to run
with the land at law. However, the introduction of recording
statutes into American law caused a notice requirement to
be grafted onto the requirements for a running covenant.
2) The parameters of notice are determined according to
the terms of the relevant recording statute.
3) Notice under recording acts is necessary for the
burden to run.
b. Equitable Servitudes
(1) If the plaintiff cannot show that the covenant was embodied
in a writing, the plaintiff may prove the covenant through part
performance or estoppel.
(2) If the plaintiff cannot show intent in a writing for the covenant to run,
he may nevertheless establish intent by showing a common scheme.
(a) A common scheme typically exists in a subdivision. If a
sufficient number of lots in the subdivision are burdened
by the same covenant, the court may find that a common
scheme binds all of the lots in the subdivision, including
those that do not have the restriction written into the deed.
(b) The following factors may show a common scheme:
1) a large percentage of lots expressly burdened;
2) oral representations to buyers;
3) statements in written advertisements, sales brochures,
or maps given to buyers; or
4) recorded plat maps or declarations.
(c) In the absence of an express restriction in the deed, the
burden will not be imposed on a lot conveyed before the
conveyance of the first lot with an express restriction.
(d) The burden will be imposed on lots (even in the absence of
an express restriction in the deed to those lots) if a common
scheme was evident at the time of conveyance of those lots.
(e) The original subdivider may enforce a benefit unless he has
sold all of the property.
(f) Traditionally, a benefit could not be enforced by a buyer who
purchased his subdivision lot before the conveyance of the
burdened lot. In some jurisdictions, the existence of the common
scheme is sufficient to show that the subdivider intended to
benefit all purchasers, whether they took prior or subsequent
to the conveyance that created the burden. In other jurisdic-
tions, a previous grantee may sue as a third-party beneficiary.
(g) If a common scheme is present, suit may be brought by the
purchaser of a lot conveyed after the lot with the express
restriction (because that restriction was for the benefit of
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the grantor and his heirs and assigns, and the subsequent
purchaser is a successor to the grantor).
(3) Neither horizontal nor vertical privity are required for the
enforcement of an equitable servitude.
(4) The intent element must be demonstrated for both the benefit
and burden.
(5) The touch and concern element must still be demonstrated for
both the benefit and burden.
(6) The parameters of notice for the burden to run are determined
according to the terms of the relevant recording statute.
c. Implied Reciprocal Servitudes
(1) In most jurisdictions, a negative reciprocal easement may be created
by filing a declaration containing the restrictions (the “CC&Rs”, which
are covenants, conditions, and restrictions) before any lots are sold.
(2) A condominium or subdivision association may enforce a benefit
if the covenant is to benefit common land conveyed by the
developer to the association.
3. Termination
a. As with easements, covenants can be terminated by merger, release,
abandonment, or estoppel.
b. Covenants may also be terminated by changed circumstances (also known
as the “change of neighborhoods” doctrine). Under this concept, where the
neighborhood or circumstances have changed so greatly that it no longer
makes sense to enforce the restriction, it will be deemed terminated.
4. Property Owners’ Associations and Common Interest Ownership
Communities
a. A property owners’ association generally has standing to enforce a
restrictive covenant.
b. When a court is examining whether an association’s board has acted
properly, the standard applied appears to be similar to the business
judgment rule applied to corporations.
(1) Under this rule, there is a rebuttable presumption that an associa-
tion’s board members are honest, well-meaning, and acting through
decisions that are informed and rationally undertaken in good faith.
(2) As a result, a board will not have breached any duty of care for
making a good-faith error of judgment.
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2. Methods of Creation
a. An easement may be created expressly through a writing, by implica-
tion, or by prescription.
b. Express
(1) An easement is an interest in land. Therefore, the Statute of
Frauds generally requires a writing to create an easement.
c. Implied
(1) An affirmative easement may be created by implication either by
prior (quasi-) use or by necessity.
(2) Implied by Prior or Quasi-Use
(a) An easement implied by prior use requires:
1) severance of title to land held in common ownership;
2) the use giving rise to the easement was in existence at
the time of the severance;
a) That use alone cannot constitute an easement
because an owner cannot have an easement
across his own property.
3) the use was apparent and could be discovered upon a
reasonable inspection; and
4) at the time of the severance, the easement was neces-
sary for the proper and reasonable enjoyment of the
dominant tract.
a) However, some courts may require strict necessity if
the implied easement is reserved and not granted.
(3) Implied by Necessity
(a) An easement implied by necessity requires:
1) severance of title to land held in common ownership; and
2) strict necessity for the easement at the time of severance.
EXAMPLE: O owns a large parcel of land. The parcel is
bordered by a two-lane road on the east and dense forest
on the north, south, and west. O lives in a house at the
northwest corner of the parcel and regularly drives to and
from his house on a gravel road that crosses the northeast
portion of the parcel and opens onto the road. O then con-
veys the west half of the parcel to A. When A attempts to
access the road by driving across the northeast portion of
the parcel, he finds O has erected a barrier. The question
is whether A has an implied easement across the portion
of the parcel retained by O. O initially owned the entire
tract, thereby satisfying the initial unity of ownership re-
quirement. He then severed that unity when he conveyed
the west half of the parcel to A. A has no direct access to
his parcel because it is surrounded by O’s parcel on the
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east and dense forest on the north, south, and west. The
landlocked nature of A’s estate should satisfy the strict ne-
cessity requirement for an implied easement by necessity.
(4) Implied by Plat
(a) A purchaser who acquires a lot in a platted subdivision will
generally acquire an implied private easement to use any
streets or alleys (and possibly even parks) shown on the plat.
d. Prescription
(1) An affirmative easement may be created by prescription, which
requires proof of the use of property that is:
(a) open and notorious;
(b) actual;
(c) continuous (the traditional period for prescription is 20 years);
(d) hostile; and
(e) exclusive.
1) Some courts require prescriptive use to be “exclusive.”
In this context, exclusive means that the use is not
shared with the whole world. The user may share use of
the easement with the owner.
e. Profits and Licenses
(1) Profits can only be created expressly or by prescription.
(2) Neither a writing nor consideration is required to create a license.
3. Scope
a. If the language creating the easement limits its use, then that language
will be enforced.
b. However, when language is not specific as to use, the easement holder
can make reasonable use of the easement.
c. If an easement holder overuses the easement (i.e., beyond what is
reasonable), this is known as surcharging the easement. This does
not result in a termination of the easement, but will entitle the owner
of the servient estate to sue for damages caused by the surcharging,
and/or seek an injunction to stop future surcharging.
4. Transfer
a. Both the benefit and the burden of an easement may be transferred
according to the following rules:
(1) when the dominant tenement is transferred, the benefit of an
easement or a profit appurtenant follows the transferred estate,
even if the deed of conveyance does not specifically mention the
easement or profit; or
(a) Traditionally, the benefit of an easement in gross could not
be transferred. However, the modern rule permits transfer
of an easement in gross if the grantor of the easement so
intends, and the easement is commercial in nature.
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C. Fixtures
1. In General
a. A fixture is a chattel that has become so connected to real property that a
disinterested observer would consider the chattel to be part of the realty.
EXAMPLE: If a homeowner attaches a bookshelf to the wall of her
home, it retains its separate identity after the attachment, and thus
is not a fixture. However, the same bookshelf built into the wall
becomes part of the realty, and thus is a fixture.
b. When one person owns a chattel and the land to which the chattel is
to be fixed, the chattel becomes a fixture if:
(1) it is annexed to the real property;
(2) it has been appropriated to the use of the land; and
(3) the annexor intends it to be a fixture.
c. A chattel may be deemed annexed to the land if:
(1) it is permanently attached to real property or to something
appurtenant to the real property;
EXAMPLE: A chain-link fence may be deemed annexed to the
land if it is erected around a parcel of land by placing posts into
holes in the ground.
(2) it would be difficult to move solely based on its own weight; or
EXAMPLE: A large, heavy statue may be deemed annexed to the
land if it is placed on the ground in a backyard garden.
(3) it is constructively annexed to the property by being specially
designed for the property or a fixture on the property.
EXAMPLE: Hurricane shutters custom designed for a house
may be classified as annexed to the house, even if they are re-
moved and stored in the garage during winter months.
d. An annexed chattel may become a fixture if the chattel is so
necessary or convenient to the use of the land that it is commonly
regarded as part of the land. In determining whether a chattel has
been appropriated to the use of the land, the court will consider the
nature of the land or structure to which the chattel is affixed.
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(1) Most states refuse to follow the common law rule that a tenant forfeits
his trade fixtures by failing to remove them before expiration of the lease
term. To encourage trade and industry, a tenant is permitted to remove
trade fixtures within a reasonable time after the expiration of a lease.
EXAMPLE: L leases Blackacre to T as a store for three years,
with a set termination date. During the term, T firmly affixes
shelves to the floor of the store building. These shelves are still
standing the day after the lease terminates. Under the common
law rule, the shelves remain fixtures on the property and belong
to L because T did not remove them before the end of the term.
However, under the modern view, T has not yet forfeited his
interest in the shelves. Instead, T will be given a reasonable time
after the termination date to remove the shelves.
D. Zoning
1. Authority and Scope
a. Authority
(1) The power to zone is granted by statute from a state to a city, county,
township, or other appropriate political subdivision. It gives the polit-
ical subdivision the ability to divide its geographical areas into zones
where some uses are permitted and other uses are prohibited.
(2) Ordinances that do not conform to state enabling acts are consid-
ered ultra vires, or unauthorized and beyond the scope of power
allowed or granted by law.
b. Classifications
(1) Common zoning classifications include residential, commercial,
agricultural, industrial, spatial, and mixed-use, as well as subsets
of these classifications.
EXAMPLE: A developer wishes to build a high-rise apartment
building in a desirable area of the city, but the area is zoned for
single-family residential uses only. The developer needs a district
that is zoned high-density residential.
EXAMPLE: A small airport is planned for a district that is currently
zoned agricultural. The district must be rezoned to add spatial as
an additional classification.
c. Purpose
(1) Zoning ordinances must promote the public health, safety, pros-
perity, morals, and welfare because the ordinances arise from the
state’s police power [Berman v. Parker, 348 U.S. 26 (1954)].
d. Uniformity
(1) Zoning ordinances must be uniform for each class or kind of
buildings and uses throughout each district, but the regulations in
one district may differ from those in other districts.
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e. Scope
(1) The regulations in each district may regulate, restrict, permit,
prohibit, and/or determine:
(a) the use of land, buildings, and structures;
(b) the size, height, area, location, construction, repair, and
removal of structures;
(c) the areas and dimensions of land, water, and air-space to be
occupied and open spaces to be left unoccupied; or
(d) the excavation or mining of soil or other natural resources.
EXAMPLE: A homeowner planned to build a garage that was
flush with the edge of his street, for ease of entering the garage.
However, he learned, upon applying for a building permit, that a
15-foot set-back from the road was required for any structure.
EXAMPLE: The owner of a shopping mall intended to expand
in order to build additional stores. Before proceeding too far
in the planning process, he reviewed the local zoning code to
see how many new parking spaces would be required.
f. Enforcement
(1) Notice of Zoning Violation
(a) When a property is found to be out of compliance with the
zoning code, the political subdivision will issue to the prop-
erty owner a Notice of Zoning Violation.
(2) Cease and Desist
(a) A Notice of Zoning Violation may contain instructions to
cease and desist from a certain use, or instructions on how
to modify the property to bring it into compliance, or other
information that informs the property owner about the viola-
tion and how to cure it.
EXAMPLE: The buyer of a house is told by the seller that
the house is a “legal triple,” by which he means that it is
permitted as a three-family home. The buyer sees the three
separate entrances and the three separate utility meters.
The buyer purchases the house intending to live in one part
and rent out the other two parts. As soon as the buyer rents
out the other parts of the house, the buyer receives a Notice
of Zoning Violation, stating that the area is zoned for single-
family houses only, that the house has no Certificate of
Occupancy for three families, and that the buyer must cease
and desist renting out the other parts of the house.
(b) If the property owner does not protest the notice, and does
not bring the property into compliance, the political subdivi-
sion may choose to obtain a court-ordered injunction or take
other steps to enforce the notice.
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E. Support Rights
1. An owner of real property has the exclusive right to use and possess the
surface, airspace, and soil of the property.
2. Lateral Support
a. An owner of land has no liability if a subsiding of neighboring land is caused
by natural conditions on the owner’s land. However, a landowner may
be strictly liable if his excavation causes adjacent land to subside (sink).
If the adjacent land is improved, strict liability applies only if the adjacent
land would have collapsed in its natural state. Even if the adjacent land
would not have collapsed in its natural state, the landowner is only liable
for damages resulting from negligence. The courts are split on whether
money damages may be recovered for injury to the improvements.
3. Subjacent Support
a. The right of support extends to land in its natural state and buildings
existing on the date when the subjacent estate is severed from the
surface. However, the underground landowner is liable for damages
to subsequently erected buildings only if he is negligent.
b. An underground occupant (e.g. mining company) is liable for negli-
gently damaging springs and wells, but an adjoining landowner is not
liable for interfering with underground percolating water.
F. Water Rights
1. Riparian rights are rights in water enjoyed by an owner of land that abuts
a navigable natural river, stream, or lake. Several different sets of rules
have been developed concerning the use of riparian water by adjoining
landowners.
a. Traditionally, a riparian owner was entitled to make only such use of
riparian water as would not interrupt the natural flow of the body of water.
Under the natural flow doctrine, a landowner may make unlimited use of
riparian water for domestic or natural uses such as drinking and bathing.
However, a landowner may use riparian water for artificial uses, such as
irrigation, only if the use does not substantially diminish the flow of the
body of water. Today, very few jurisdictions follow the natural flow doctrine.
b. Under the reasonable use doctrine, a riparian owner may make reason-
able use of riparian water so long as his use does not interfere unreasonably
with the rights of other riparian owners. Such reasonable use is restricted
to riparian land, which is defined as land lying within the watershed. Most
American jurisdictions currently follow the reasonable use doctrine.
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c. The prior appropriation doctrine awards the right to use water to the first
person to take the water for beneficial purposes. The prior appropriation
doctrine was developed and is still followed in western states where water
resources are scarce. Prior appropriation rules are usually set by state statute.
2. Diffuse surface water is water from rain or melted snow that runs over the
surface of land outside of a recognizable body of water. Several different sets
of rules have been developed concerning the use of diffuse surface water.
a. Under the common enemy rule, an owner may use any method
available to keep diffuse surface water from coming onto his land.
Traditionally, the common enemy rule was followed in crowded urban
areas, primarily in northeastern states.
b. Under the civil law rule, an owner was not permitted to interfere with
the flow of diffuse surface water. Traditionally, the civil law rule was
followed in western states with vast open spaces.
c. Under the reasonable use rule, an owner may use reasonable means
to alter the flow of diffuse surface water, even if surrounding land-
owners are harmed.
3. Underground water is water that runs beneath the surface of the land.
a. The use of underground streams—where the water flows in a well-
defined, known, and permanent channel—is governed by the rules
applied to riparian waters.
b. Percolating underground water is water that percolates through
the subsurface of the land. The rules governing the use of percolating
underground water vary from state to state.
(1) Under the English absolute ownership doctrine, a possessor of
land may take as much of the water percolating under his land as
he desires. This is known as the rule of capture.
(2) Some states apply the reasonable use test to percolating under-
ground water.
(3) A few states use a correlative rights test, which provides that all
owners of land situated over a pool of underground water have
equal rights to use the water.
(4) In some states, prior appropriation statutes have been enacted to
govern the use of percolating underground water.
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III. CONTRACTS
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423
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B. Marketability of Title
1. All contracts for the sale of real property include an implied promise to
convey marketable title. Marketable title is title that is reasonably free
from doubt in both fact and law. Title is not reasonably free from doubt if it
contains any of the following defects:
a. defects in the chain of title, such as:
(1) adverse possession;
(a) Traditionally, title acquired by adverse possession
is unmarketable.
(b) However, recent cases (though still the minority view)
suggest that title acquired by adverse possession may be
marketable if:
1) the possession has been for a very long time;
2) the risk that the record owner will sue is remote; and
3) the probability of the record owner’s success is minimal.
(2) the defective execution of a deed; or
(3) significant variation of the description of land from one deed to
the next;
b. encumbrances;
(1) For the purposes of marketable title, an encumbrance is a
right or interest that another person has in real property that
diminishes the value of the property but is consistent with the
conveyance of a fee interest in the property.
(2) In this context, encumbrances include:
(a) mortgages;
(b) liens;
(c) easements; and
1) An easement that reduces the value of the property
(e.g., the burden of a right-of-way) renders title unmar-
ketable. However, an easement that benefits the
burdened estate, such as the installation of utilities,
and which is visible or known to the buyer, does not
render title unmarketable.
(d) covenants and servitudes.
(3) An encumbrance excepted in the contract may not serve as the
basis for a finding that title is unmarketable.
(a) A seller may satisfy a mortgage or lien at closing with the
proceeds of the sale. If the purchase price is sufficient and
satisfaction occurs simultaneously with the transfer of the
land, the buyer may not complain because closing will
result in marketable title.
c. encroachments; or
(1) A significant encroachment renders title unmarketable.
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NOTE If title is unmarketable, the purchaser may get: (1) rescission; (2) money
damages for breach of contract; or (3) specific performance with an
abatement of the purchase price.
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b. Material is often limited to defects that affect the health and safety
of the occupants. However, some states define material to include
defects that affect value as well as health and safety.
(1) In some states, materiality is judged by an objective standard,
which asks whether a reasonable person would attach impor-
tance to the defect in determining whether to purchase the home.
(2) In other states, materiality is judged by a subjective standard,
which asks whether the defect actually affected the value or
desirability of the property to the buyer.
c. At a minimum, defect means a physical defect on the premises.
(1) A few jurisdictions extend the duty to physical defects both on
and off the premises (e.g., nearby environmental hazards).
(2) Some states also extend the duty to physical and nonphysical
defects (e.g., noise from neighbors).
2. Implied Warranty of Quality
a. Most jurisdictions recognize an implied warranty of quality,
sometimes called an implied warranty of workmanlike quality, an
implied warranty of habitability, an implied warranty of fitness, or an
implied warranty of suitability.
b. The implied warranty of quality generally applies to the sale of new
or remodeled homes.
(1) The implied warranty of quality does not extend to
commercial structures.
(2) The implied warranty is imposed on contractors, developers,
and other commercial vendors of real property. The warranty
covers significant latent defects caused by the defendant’s
poor workmanship. The defects must be discovered within a
“reasonable time” of construction or remodeling.
(a) The jurisdictions are split on whether the implied warranty
of quality extends to subsequent purchasers, i.e.,
purchasers who are not in privity of contract with the
builder or remodeler. The jurisdictions are also split on
whether economic loss may be recovered for breach of
the implied warranty of quality.
c. Most jurisdictions permit the enforcement of an unambiguous disclaimer
of the implied warranty of quality. However, some jurisdictions do not
give effect to a general disclaimer (e.g., “as is”) for residential premises.
d. In some jurisdictions, the statute of limitations begins to run when
construction is completed. In other jurisdictions, the statute of
limitations begins to run when the buyer to whom the warranty was
first made takes possession of the premises, even if the buyer does
not know of the breach. In other jurisdictions, the statute of limitations
does not begin to run until the purchaser discovers or should have
discovered the breach.
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TYPE OF PARTY
THEORY DEFINITION TYPE OF DEFECT
STRUCTURE BOUND
F. Merger
1. Traditionally, covenants in a contract of sale merge into the deed at
closing. However, under the modern trend, merger does not apply to
matters that are collateral to or not mentioned in the deed.
2. This means that, if the buyer discovers a problem with the title acquired
from the seller after closing, the buyer cannot sue the seller for breach
of the implied covenant of marketable title, because that covenant was
implied into the contract, which has now merged with the deed.
3. Instead, the buyer must now sue on the basis of a breach of any covenant
of title contained in the deed.
a. If the deed does not contain any covenants of title (i.e., a quitclaim
deed), then the buyer has no course of action.
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NOTE When the mortgagor satisfies (pays) the mortgage note, the mortgagee executes a
document that releases the mortgage. The release document should be recorded.
b. Purchase-Money Mortgages
(1) A purchase-money mortgage (PMM) is a mortgage given to
secure a loan that enables the mortgagor to acquire title to the
property at issue, or to make improvements on the property.
(2) A purchase-money mortgage, whether recorded or unrecorded,
is entitled to priority over other liens on the property arising
through the actions of the buyer-mortgagor, even those recorded
earlier than the purchase-money mortgage, but only if they were
executed prior to the acquisition of title.
(a) The rationale is that the purchase-money mortgage enabled
the mortgagor to acquire title to the property (remember that
the purchase-money mortgage must be given as part of the
same transaction in which title is acquired). Therefore, the
purchase-money mortgage should have the superior right.
NOTE A mortgage given the day after the buyer acquired the property (through the
use of a PMM), if recorded before the PMM is recorded, would have priority
over the PMM based on recording statute priority.
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b. Title Theory
(1) The title theory is the classic common law model for
determining the nature of the interests held by the mortgagor
and the mortgagee.
(2) Under the traditional title theory, the mortgagee receives legal
title to the mortgaged real property and has a right to take
possession of and to collect rents and profits from the property.
(a) The mortgagee’s title to the property is subject to a
condition subsequent that divests title from the mortgagee
if the mortgagor repays the loan by the due date.
(b) Until he repays the loan in a timely fashion, the mortgagor
retains only an equitable interest in the property.
(3) The traditional title theory is now the minority view.
(a) In addition, a title theory state is likely to recognize that the
mortgagee holds title for security purposes only. Under this
approach, the mortgagor is viewed as the owner of the land.
(b) Some title theory states have also eliminated or reduced the
incidents of legal title by, inter alia, giving the mortgagor the
right to possession until default.
c. Lien Theory
(1) In a lien theory jurisdiction, the mortgagee receives a lien,
and the mortgagor retains legal and equitable title and
possession to the mortgaged real property, unless and until
foreclosure occurs.
(2) Most states now adhere to the lien theory.
d. Intermediate Theory
(1) In an intermediate theory jurisdiction, the mortgagor retains
legal title until default occurs.
(2) After default, legal title and possession pass to the mortgagee,
who may then begin to collect rents and profits.
(3) Only a few states adhere to the intermediate theory. According
to the Restatement of Property, the intermediate theory differs
very little from the title theory, because title theory mortgagees
rarely assert a right to possession prior to default.
2. Rights and Duties prior to Foreclosure
a. Mortgage-Related Waste
(1) A person holding a remainder in mortgaged property has a duty
to pay the principal. A life tenant has a duty to pay the interest
on a mortgage. However, the life tenant’s duty is capped at:
(a) rents and profits derived from a third person in possession
of the property; or
(b) the reasonable rental value of the premises, if the life
tenant remains in possession of the property.
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MORTGAGE-RELATED WASTE
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C. Transfers by Mortgagor
1. Assumption and Transfer Subject to the Mortgage
a. If the mortgagor transfers the property subject to the mortgage, and
mortgage payments are not made, the mortgagee may foreclose and
force the property to be sold. However, the transferee of the property
does not have personal liability for the debt.
b. If the transferee of mortgaged real property assumes the mortgage,
and mortgage payments are not made, the mortgagee may foreclose
and force the property to be sold.
(1) In addition, the transferee of the mortgage has personal
liability and can be held liable for any deficiency.
c. In a novation, the transferee of real property and the mortgagee
agree that the transferee will assume the mortgage and the
mortgagor will be released from liability.
2. Rights and Obligations of Transferor
a. If, after there has been an assumption, the debt falls into default, the
grantor can get an exoneration, which is a court order compelling the
grantee to pay the debt.
b. If, following the assumption, the grantor has made any payments on
the mortgage, the grantor can sue the grantee for reimbursement.
3. Application of Subrogation and Suretyship Principles
a. The grantor can pay off the debt and can then be subrogated to the mortgage
and note, allowing the grantor to sue the grantee in personam or in rem.
4. Restrictions on Transfer (including Due-on-Sale Clauses)
a. Due-on-sale clauses and due-on-encumbrance clauses are now
routinely upheld. Federal law preempts state laws restricting the
enforcement of such clauses.
D. Transfers by Mortgagee
1. The mortgagee may also transfer his interest in the mortgaged property.
2. The mortgage generally follows the transfer of the mortgage note. If the
note is negotiable, the transferee may qualify as a holder in due course,
who takes free and clear of certain “personal” defenses, such as lack of
consideration, duress by nonphysical threat, and fraud in the inducement.
a. However, the transferee will take subject to “real” defenses, such as
infancy, duress by physical threat, and fraud in the factum.
E. Discharge
1. Payment (including Prepayment)
a. There is no absolute right to prepay a mortgage debt early. Such an
option must be spelled out in the mortgage.
b. If the mortgage does allow for early payment, it will generally
always include a prepayment fee. Such a fee is valid, because it
compensates the creditor for loss of interest income.
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F. Foreclosure
1. Types
a. In most jurisdictions, when there is a default on an obligation
secured by a mortgage, the mortgagee may:
(1) obtain a judgment against any person who is personally liable on
the obligation and, to the extent that the judgment is not satisfied,
foreclose the mortgage on the real estate for the balance; or
(2) foreclose the mortgage and, to the extent that the proceeds
of the foreclosure sale do not satisfy the obligation, obtain
a judgment for the deficiency against any person who is
personally liable on the obligation.
b. Today, a mortgagee may foreclose by forcing the sale of property secured
by a mortgage after the mortgagor has defaulted on the promissory note.
c. A foreclosure sale may be accomplished either through a power of
sale or by court order.
(1) A power-of-sale foreclosure occurs without judicial action, pursuant
to a power-of-sale clause included in the mortgage documents.
(2) A judicial foreclosure sale must:
(a) be public;
(b) be properly noticed;
(c) be conducted in a reasonable manner (usually regulated
by statute); and
(d) result in a “fair” sale price.
1) A fair price is not necessarily the fair market price.
Rather, it is arrived at as a result of the mortgagee’s
due diligence in conducting the foreclosure sale.
2) A foreclosure sale will not be set aside for inadequacy
of the sale price unless the inadequacy is so gross as
to shock the conscience.
d. A foreclosure sale terminates the mortgagor’s interest in the
mortgaged real estate.
2. Acceleration
a. An acceleration clause operates to make the entire debt become
due on the happening of some specified event, such as a default,
encumbrance, or sale.
b. Such clauses are generally upheld.
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V. TITLES
A. Adverse Possession
1. Adverse possession requires proof of possession that is all of the following:
a. open, visible, and notorious;
b. actual;
(1) An adverse possessor is required to possess the premises for
the requisite time period. Actual possession gives notice to the
world at large and the property owner in particular that someone
is possessing the premises.
(2) A person actually possesses property when he is on the
premises physically.
(3) A person may also possess the premises constructively.
Constructive adverse possession requires color of title
(usually a defective deed) and actual possession of at least a
significant part of the premises.
(4) If those elements are satisfied, the possessor will constructively
possess the whole property as described in deed. However,
there are certain exceptions to the constructive possession rule:
(a) if land is divided into two or more distinctive lots,
constructive possession will extend only to the lot that the
possessor actually occupies; and
(b) if a third person is in possession of part of the premises,
constructive possession will not extend to the portion the
third party possesses.
NOTE Many courts require some reasonable relationship between the area actually
possessed and the additional area alleged to be constructively possessed.
c. exclusive;
d. hostile and under a claim of title or right; and
(1) To acquire title by adverse possession, a person must possess
the premises in a “hostile” manner. In this context, a person
possesses hostilely if he holds the premises in a manner that is
inconsistent with the rights of the owner.
(2) Under the majority rule, hostility is judged objectively, which
means that the possessor’s state of mind is irrelevant. The
element is satisfied if the possessor intends to be on the prem-
ises, regardless of whether the possessor knows that the prem-
ises are owned by someone else.
(3) In a minority of jurisdictions, the possessor must act in good faith,
which means that the possessor must believe the land is his.
(4) A few courts require bad faith, which means that the possessor
must show that he knows that the land is not his but intends to
claim it nonetheless.
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NOTE Boundary disputes may also be determined by methods other than adverse
possession. An oral agreement to settle a boundary dispute is enforceable
if the parties subsequently accept the line for a long period of time. Long
acquiescence (perhaps for a period shorter than the statute of limitations)
may also be used as evidence of an agreement between the parties to fix the
boundary line. In addition, if one party makes a representation through words
or acts to the other concerning the location of a common boundary, and the
other party changes position in reliance on that representation, the first party
may be estopped from denying the validity of his representation.
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B. Transfer by Deed
1. Requirements for Deed
a. Conveyance of real property by deed requires:
(1) donative intent;
(a) The grantor must intend to transfer an interest immediately to
the grantee. If the grantor intends the deed to take effect only
on the death of the grantor, will formalities must be observed.
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However, the seller does not warrant that there are no defects
in the chain of title from which he derived title.
(3) In a quitclaim deed, the seller does not make any warranties.
Instead, the grantor simply conveys whatever interest he may have.
b. Covenants of Title
(1) A general or special warranty deed contains a series of promises
or covenants, which are divided into present and future covenants.
(2) Present covenants are broken, if at all, at the time of convey-
ance. Under the American rule, present covenants are consid-
ered to be personal and do not run with the land. They include
the following:
(a) in the covenant of seisin, the covenantor promises that he
owns and possesses the estate granted;
1) The existence of an encumbrance does not breach the
covenant of seisin.
(b) in the covenant of right to convey, the grantor promises
that he has the right to convey the property; and
1) The covenant of the right to convey is often
co-extensive with the covenant of seisin. However, there
are several differences between the two covenants:
a) a trustee may be seised of the fee but may not
have the right to convey if the trust deed prohibits
the trustee from conveying; and
b) an owner of a life estate may be seised but may
not have the right to convey if the life estate is
subject to a valid restraint on alienation.
(c) in the covenant against encumbrances, the grantor
promises that there are no encumbrances on the property.
1) For the purposes of the covenant against encum-
brances, an encumbrance is any right in a third person
that diminishes the value or limits the use of the land
granted. In this context, encumbrances include:
a) mortgage and judgment liens;
b) taxes;
c) leases;
d) water rights;
e) easements; and
f) restrictions on use.
NOTE An encumbrance expressly noted in the deed cannot serve as the basis for a
breach of the covenant against encumbrances. In most cases, if a defect renders
title unmarketable (e.g., a mortgage or an easement), the defect also breaches
the covenant against encumbrances. However, in a majority of jurisdictions, a
violation of a zoning ordinance renders title unmarketable but does not breach
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the covenant against encumbrances. The jurisdictions are split on whether a vis-
ible or known encumbrance breaches the covenant against encumbrances.
(3) Future covenants may be broken after the time of the conveyance,
and they run with the land. Future covenants include the following:
(a) in the covenant of quiet enjoyment, the grantor covenants
that the grantee will not be disturbed by a superior claim;
(b) in the covenant of warranty, the grantor guarantees that
he will assist in defending title against lawful claims and
will compensate the grantee for losses sustained by an
assertion of superior title; and
1) The covenant of warranty is virtually identical to the
covenant of quiet enjoyment.
(c) in the covenant of further assurances, the grantor
promises to take whatever steps may be required to
perfect defects of title.
1) Under this covenant the grantor may, for example, be
called on to defend a lawsuit or to execute a curative deed.
NOTE A future covenant is not breached until the grantee or his successor is
evicted from the property, buys up the paramount claim to avoid suit, or is
otherwise damaged.
c. Remedies for Breach of Covenant by the Grantor
(1) Monetary recovery is generally capped at the amount the
grantor/defendant received for the property (plus interest).
(a) For breach of the covenants of seisin, right to convey, general
warranty, and quiet enjoyment, the grantee may recover
the full purchase price (if the conveyance is voided) or a
percentage thereof (if a portion of the conveyance is voided).
(b) For breach of the covenant against encumbrances,
damages are measured by the cost of removing the defect,
if removal is possible, or the diminution in the value of the
property if the defect cannot be removed.
NOTE In some jurisdictions, attorney’s fees may also be recovered for breach of
future covenants if the grantee loses the property to a lawful superior claim.
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d. Statute of Limitations
(1) For present covenants, the statute of limitations begins to run
when the deed is delivered.
(2) For future covenants, the statute of limitations does not begin to
run until a third party asserts a superior title.
3. Drafting, Review, and Negotiation of Closing Documents
a. The contract between the parties to a real estate transaction sets out
the important points of agreement of the sale of the land, including
time of closing, time of possession, transfer of keys, responsibility for
payment of utilities owing and property taxes owing, what items remain
with the property, and in what condition the seller will leave the prop-
erty. These are in addition to the parties, the property description, the
price, and the payment terms, if any, which are essential terms.
EXAMPLE: A buyer contracted to purchase a house, but inserted a
clause that the contract would be rescinded if the buyer could not ob-
tain financing within 30 days.
b. After the contract has been executed by both parties, and the down
payment, if any, has been deposited into escrow, the contract is deliv-
ered to the entity that will handle the closing.
(1) In some jurisdictions, this entity is an attorney; in other jurisdic-
tions, the entity is a title company.
(2) The attorney or title company begins the process of performing the title
search and writing an Abstract of Title, in order to assure that market-
able title will be able to be transferred on the day of the closing. The title
company also prepares the title insurance that the buyer will purchase.
(3) The attorney or title company also reviews which liens have been filed
against the property, and obtains an accurate pay-off sum from each
lender, so that the lender on each lien can be paid in full on the closing
date. Each lender must agree to file a Release of Lien after being paid.
(4) The attorney or title company drafts the deed that will transfer title
from the grantor to the grantee. In many cases, the buyer has
stated in the contract how he would like to take title, whether in
his own name, as joint tenants with someone else, as a tenancy
by the entirety, as the trustee for a trust, or in some other manner.
(a) It is essential that the buyer know the language of the deed
before closing on the property in order to avoid errors in
titling the property. The buyer should clearly inform the
drafter of the deed of the manner in which he intends to take
title. The deed must also be read closely by the buyer on the
closing date, before the deed is recorded.
(b) It is essential that the property address and the address to
which any property tax bills will be mailed are both correct.
The buyer should request to see a draft of the deed before
closing, for these reasons.
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REAL PROPERTY
ecuted a Power of Attorney to the realtor so that the realtor could sign
all the closing documents on their behalf.”
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d. Chain of Title
(1) The shelter rule provides protection for a subsequent taker
who does not satisfy the applicable recording statute. Under the
shelter rule, a person who is a successor in interest to a person
protected by the recording statute is also protected.
EXAMPLE: O, the owner of Blackacre, conveys Blackacre to
A, who does not record. O then conveys Blackacre to B, who
pays value, records immediately, and takes without notice of A’s
deed. B then conveys Blackacre to C, who takes by gift. Under
either a notice or a race-notice statute, C cannot prevail over A
because C did not pay value. However, when B took Blackacre,
B would have prevailed over A under the relevant recording stat-
ute. C may take shelter under B’s protected status. Therefore, C
will prevail over A under either a notice or a race-notice statute.
(2) Exceptions to Shelter Rule
(a) A subsequent person may not take advantage of the shelter
rule if that person:
1) attempts to “wash” his deed by conveying to a third
person and then immediately taking a reconveyance of
the property; or
2) commits fraud in respect to the deed.
e. Protected Parties
(1) Recording statutes only apply to protect subsequent
purchasers for value.
(a) For purposes of recording statutes, this includes
mortgagees and lien creditors.
(2) A grantee who acquires the property by gift, devise, or adverse
possession will not qualify as a subsequent purchaser for
recording statute purposes.
(a) However, such a grantee may still record their interest to
protect it against subsequent purchasers of the property.
EXAMPLE: O, the owner of Blackacre, conveys Blackacre
to A as a gift in 2000. A does not record. In 2002, O sells
Blackacre to B, who has no notice of the previous gift to A.
B immediately records. A then records. B will have a superior
claim to the property over A in any recording jurisdiction.
EXAMPLE: O, the owner of Blackacre, conveys Blackacre to
A for value. A does not record. Five years later, O dies, and
bequeaths Blackacre to his son, B. B immediately records.
A then records. Under any recording statute, A will prevail.
This is because B took title to Blackacre by devise, and as
such, is not a subsequent purchaser for value. Therefore, B
is unable to obtain priority through a recording statute.
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E. Special Problems
1. After-Acquired Title and Estoppel by Deed
a. Under the majority rule, estoppel by deed is an equitable remedy
that is applied on a case-by-case basis. Pursuant to this rule, when
a grantor grants title to property that she does not own, and then
subsequently acquires title to that property, she will be estopped from
asserting anything in derogation of the deed.
(1) The grantee has to go to court to assert title against the grantor,
or to otherwise enforce the deed against the grantor.
b. Under the minority rule, after-acquired title is a legal theory that
provides for automatic flow-through of the property.
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OUTLINE
(1) With the after-acquired title doctrine, title to the property auto-
matically inures to the benefit of the grantee when the grantor
subsequently acquires title.
2. Forged Instruments and Undelivered Deeds
a. A forged deed is deemed to be a void deed, and does not operate to
transfer title.
(1) This is most likely to arise in the situation with a potential bona
fide purchaser. One who would otherwise be a bona fide purchaser
will lose out to the original grantor where the property has been
taken away from the original grantor by way of a forged deed.
b. An undelivered deed does not operate to pass title.
3. Judgment and Tax Liens
a. Judgment and tax creditors are not generally considered to have paid value
for the property. As such, they will not be considered bona fide purchasers
for value and will not qualify for protection under recording statutes.
454
Torts
TABLE OF CONTENTS
I. INTENTIONAL TORTS
II. NEGLIGENCE
Duty..............................................................................................................................................475
Standard of Care..........................................................................................................................490
Breach of Duty.............................................................................................................................495
Cause-in-Fact (Actual Cause)......................................................................................................497
Proximate (Legal) Cause.............................................................................................................499
Damages......................................................................................................................................502
Defenses to Negligence...............................................................................................................503
In General....................................................................................................................................508
Categories....................................................................................................................................508
Defenses......................................................................................................................................509
V. NUISANCE
Types of Nuisance........................................................................................................................522
Defenses......................................................................................................................................524
Remedies.....................................................................................................................................524
VI. DEFAMATION
In General....................................................................................................................................528
Defamatory Message...................................................................................................................528
Pleading Problems.......................................................................................................................529
Publication....................................................................................................................................530
456
Type of Defamation......................................................................................................................531
Damages......................................................................................................................................532
Common Law Defenses...............................................................................................................532
Constitutional Issues....................................................................................................................534
Malicious Prosecution..................................................................................................................540
Wrongful Institution of Civil Proceedings......................................................................................541
Abuse of Process.........................................................................................................................541
Vicarious Liability..........................................................................................................................549
Joint and Several Liability............................................................................................................552
Survival of Action and Wrongful Death.........................................................................................553
Satisfaction and Release.............................................................................................................554
457
OUTLINE
I. INTENTIONAL TORTS
458
TORTS
B. Battery
1. A battery is an intentional act that causes a harmful or offensive contact
with the plaintiff or with something closely connected thereto.
2. The defendant must either:
a. desire to cause an immediate harmful or offensive contact; or
b. know such contact is substantially certain to occur.
EXAMPLE: Dagwood intentionally swings his fist into Pickles’ face,
intending to hit Pickles. Dagwood has committed a battery.
3. The harmful or offensive contact element is satisfied if the contact would
inflict pain or impairment of any body function, or if a reasonable person
would regard it as offensive.
a. It is sufficient for a battery if the defendant causes a contact with
something close to the plaintiff, as where the defendant snatches a
hat from the plaintiff’s hand.
b. Unlike assault, plaintiff need not be aware of the contact.
EXAMPLE: Ryan intentionally spits on Prudence while she is
asleep. Several weeks later, Prudence learns of Ryan’s act. Ryan is
liable for battery.
C. Assault
1. An assault is an intentional act that causes the plaintiff to experience a
reasonable apprehension of an immediate harmful or offensive contact.
2. The defendant must act with the desire to cause an immediate harmful or
offensive contact or the immediate apprehension of such a contact, or know
that such a result is substantially certain to occur.
3. Liability for assault will not be found unless a reasonable person in the
same position as a plaintiff would have experienced the same apprehen-
sion. However, if the plaintiff’s apprehension is reasonable, the fact that
the defendant lacked the actual ability to cause the harmful or offensive
contact does not defeat liability.
EXAMPLE: An assault is committed if Delson points an unloaded gun at
Paulson, as long as Paulson reasonably thought the gun was loaded.
4. This element is satisfied if the contact threatened would inflict pain or
impairment of any body function or if a reasonable person would regard
it as offensive.
EXAMPLE: Donahue holds a knife to Petunia’s throat and threatens to hurt
her. He is liable for assault and battery.
EXAMPLE: Delilah, a bank robber, points a gun into a crowded bank and
says, “Everyone lie down and keep quiet or else I’ll shoot.” This conditional
threat is an assault.
459
OUTLINE
D. False Imprisonment
1. False imprisonment is an intentional act that causes a plaintiff to be
confined or restrained to a bounded area against the plaintiff’s will, and the
plaintiff knows of the confinement or is injured thereby.
a. The defendant has the requisite intent for false imprisonment if he:
(1) desires to confine or restrain the plaintiff to a bounded area; or
(2) knows that such confinement is virtually certain to occur.
b. The plaintiff may be confined by the use of physical barriers (e.g.,
locking the plaintiff in a room), by failing to release the plaintiff where
the defendant has a legal duty to do so, or by the invalid assertion of
legal authority. No duration of confinement is required—a very brief
confinement will suffice, though the duration of the confinement may
affect the amount of damages.
(1) The plaintiff is under no duty to resist if the defendant uses or makes a
credible threat to use physical force. A plaintiff is not “confined” if there
is a reasonable means of escape of which he is actually aware.
EXAMPLE: Stuart takes all of Susan’s clothes and leaves her in
the middle of the woods. Because Susan does not have a means
of escape, Stuart has falsely imprisoned her.
(2) In general, the plaintiff must be aware of the confinement or must
suffer actual harm as a result of the confinement. Some cases have
held that infants or incompetents who are incapable of being aware of
their confinement can, nevertheless, recover for false imprisonment.
460
TORTS
F. Trespass to Land
1. Trespass to land is an intentional act that causes a physical invasion of
the plaintiff’s land.
a. A defendant need only act with intent to cause a physical invasion of a
particular piece of land, not the specific intent to invade the plaintiff’s land.
Intentional entry onto land is a trespass even though the defendant does not
realize he has crossed a boundary line, or has a good faith belief that his
entry is lawful. In other words, mistake is not a defense as to a trespass action.
EXAMPLE: Don is out for a walk with his dog, Rover. Believing that he
is the rightful owner of a grove of pecan trees near his property line,
Don allows Rover to wander into the trees to “do his business.” The
trees are actually on Pam’s property. Although Don is mistaken about
his ownership of the trees, he may still be liable for trespass.
b. In order to bring an action for trespass, the plaintiff must be in actual
possession or have the right to immediate possession of that land. It
is important to distinguish “possession” from “ownership”—an adverse
possessor or a lessee may maintain a trespass action against a defen-
dant entering wrongfully onto land possessed, but not owned, by them.
461
OUTLINE
However, if the person who holds legal title to the land is not in posses-
sion, that person may not maintain a trespass action as to that land.
c. The element of physical invasion is satisfied if the defendant enters or
causes a third person or object to enter onto the plaintiff’s land, enters
onto the plaintiff’s land lawfully but then remains when under a legal
duty to leave, or fails to remove an object from the plaintiff’s land when
under a legal duty to do so.
EXAMPLE: Don is hitting baseballs in his backyard. For kicks, he
decides to see if he can hit a baseball into his neighbor Paxton’s yard,
100 feet away. If he succeeds in hitting a baseball over the fence into
Paxton’s yard, absent Paxton’s consent, Don is liable for trespass.
EXAMPLE: Paxton calls Don and asks him to remove a baseball that
Don accidentally hit onto his land. If Don fails to remove the baseball,
he may be liable for trespass.
2. Some events that might logically be considered intrusions onto land, such
as airborne pesticides that float onto a plaintiff’s land from the defendant’s
crop dusting of adjacent property, were traditionally addressed by tort law
under nuisance or strict liability principles. Some jurisdictions have begun
treating such invasions as trespasses to land if actual harm was caused.
EXAM TIP Consider nuisance and strict liability, along with trespass to land, whenever there
are facts involving something entering the plaintiff’s land and causing harm.
3. Plaintiff’s land includes the area both above and beneath the surface.
Traditionally, plaintiff’s land was thought to include the airspace and the
subsurface to a level that the plaintiff did or could make beneficial use of.
EXAMPLE: Debbie loves to climb trees. She regularly climbs a tall tree in
her backyard. One day, she climbs high into the tree and out onto a limb
that overhangs onto Peggy’s property. Debbie may be liable for trespass.
EXAMPLE: Dirk digs a tunnel to escape from his basement bedroom,
where his mother thinks he is sleeping. As he digs, he digs under his own
house and under the neighbor’s yard. Dirk may be liable for trespass.
a. Aircraft flying at or above normal flight altitude do not “trespass” on
the land above which they are flying. An intrusion into a plaintiff’s
“airspace” may be trespassory if it both enters into the “immediate
reaches” of that airspace and interferes substantially with the use and
enjoyment of the plaintiff’s land.
4. Traditionally, nominal damages are recoverable where the defendant tres-
passes but causes no real injury, as a way to vindicate the land possessor’s
rights. If the trespasser causes injury during the trespass, however, he is
liable for that harm as well. Further, where the defendant acts willfully or
maliciously, he may be liable for punitive damages.
EXAMPLE: Dex drives onto Paula’s land, believing wrongly that he has per-
mission to do so. While on the land, driving with all possible care, Dex hits a
462
TORTS
concealed pothole, loses control of the car, and destroys a rare and expen-
sive bush on Paula’s property. Dex is liable for the harm to the bush.
5. Ejectment
a. Ejectment is an action at law to recover possession of real property.
b. The following elements are required for ejectment:
(1) proof of legal title;
(2) proof of the plaintiff’s right to possession; and
(3) wrongful possession by the defendant.
c. A successful plaintiff is entitled to judgment for recovery of the property
and for mesne damages. Mesne damages compensate for the loss of
use of the land and are measured by the rental value of the property or
the benefit gained by the wrongful possessor, whichever is greater.
d. At common law, where the defendant mistakenly trespasses on or takes
possession of the plaintiff’s property and makes improvements thereon,
the plaintiff is entitled to recover the property and need not compensate the
defendant for these improvements. This is true even though the defendant
acted in good faith, believing that he had rightful possession of the property.
G. Trespass to Chattels
1. Trespass to chattels is an intentional act by the defendant that interferes
with the plaintiff’s chattel, causing harm.
a. Intent is satisfied when the defendant intentionally performs the phys-
ical act that interferes with the plaintiff’s chattel. The defendant is liable
even though he did not intend or recognize the legal significance of his
act. Mistake is not a defense to trespass to chattels.
EXAMPLE: Dorothy needs a black evening bag to carry to her sorority
formal. Without asking Paula’s permission, Dorothy goes into Paula’s
room in the sorority house, takes Paula’s black bag, carries it to the for-
mal, then returns it to Paula’s closet the next morning. Because Doro-
thy has Paula’s bag, Paula does not have a bag to carry to the formal.
Dorothy may be liable for trespass to chattels.
b. Chattel means tangible personal property or intangible property that
has a physical representation, such as a promissory note, or docu-
ments in which title to a chattel are merged, such as warehouse
receipts or bills of lading.
c. Interference with plaintiff’s chattel is actionable if it constitutes dispos-
session or intermeddling. More serious interferences with the plaintiff’s
chattel may amount to a conversion, discussed below.
(1) Dispossession is a direct interference with the plaintiff’s posses-
sion, such as where a defendant temporarily takes the plaintiff’s
chattel or wrongfully refuses to return it.
(2) Intermeddling is an interference with a chattel that does not
directly affect the plaintiff’s possession.
463
OUTLINE
H. Conversion
1. Conversion is an intentional act by a defendant that causes the destruction
of or a serious and substantial interference with the plaintiff’s chattel.
a. As with trespass to chattels, mistake is not a defense to conversion. A
defendant is liable even though he did not intend or recognize the legal
significance of his act.
EXAMPLE: Drew sees Peter’s 1978 Volkswagen Bug parked by the curb.
Drew has always wanted to drive a vintage Bug, so she decides to hotwire
it and take it for a spin. Seven hours later, she returns the Bug to the same
parking spot where she found it, full of gas and in perfect condition. Drew may
be liable for conversion. If, while Drew is driving the car, the Bug is hit and
totaled, Drew is liable for conversion, even if the accident is not Drew’s fault.
b. “Destruction” or “serious and substantial interference” with a plaintiff’s
chattel is alternatively described as “the exercise by defendant of dominion
and control” over the chattel. This is an interference with the plaintiff’s
property interest that is more serious than in a trespass to chattels. In
distinguishing between the two torts, the longer the period of interference
and the greater the use of the chattel by the defendant, the more likely
it will be considered a conversion rather than a trespass to chattels. The
following types of acts are likely to be classified as conversions:
(1) wrongful acquisition (e.g., theft, embezzlement, and receiving
stolen property);
(2) wrongful transfer (e.g., selling, misdelivering, or pledging);
(3) wrongful detention (withholding from owner);
(4) loss, destruction, or severe damage;
(5) material alteration; or
(6) significant misuse.
c. In determining the seriousness of the interference and the justice of requiring
the defendant to pay the full value, the following factors are important:
(1) the extent and duration of the defendant’s exercise of dominion
or control;
(2) the defendant’s intent to assert a right inconsistent with the
other’s right of control;
(3) the defendant’s good faith;
464
TORTS
Defendant is liable for damage or diminished Defendant is liable for the full value of the chattel
value of chattel. at the time of the conversion.
EXAMPLE: On leaving a restaurant, A mistakenly takes B’s hat from the rack,
believing it to be his own. When he reaches the sidewalk, A puts on the hat, dis-
covers his mistake, and immediately reenters the restaurant and returns the hat
to the rack. This is not a conversion. However, if A keeps the hat for six months
before discovering his mistake and returning it, this is a conversion. If A reaches
the sidewalk, puts on the hat, and a sudden gust of wind blows it off his head
and into an open manhole, this is also a conversion. If A takes B’s hat from
the rack intending to steal it, and he approaches the door, sees a policeman
outside, and immediately returns the hat to the rack, this too is a conversion.
4. Replevin
a. Replevin is an action at law for the recovery of specific chattels that
have been wrongfully taken or detained. It is also called “claim and
delivery” in some states.
b. Replevin is a possessory action that permits the plaintiff to recover
immediate possession of the property (at the beginning of the action).
(1) When the plaintiff seeks to recover the chattel at the beginning
of the action, he must post a bond as security against the possi-
bility that judgment will be found for the defendant. Note that the
defendant may post bond if he wishes to retain the chattel until
the action has concluded.
465
OUTLINE
DEFENSES
POPCANS
Privilege, Defense of Others, Defense of Property, Consent, Authority, Necessity, Self-Defense
466
TORTS
1. Privilege
a. Under certain circumstances, a defendant may not be liable for
conduct that would ordinarily subject him to liability.
b. A privilege may exist where:
(1) the person affected by the defendant’s conduct consents;
(2) some important personal or public interest will be protected by the
defendant’s ordinarily prohibited conduct, and this interest justifies
the harm caused or threatened by the defendant’s conduct; or
(3) the defendant must act freely in order to perform an essential function.
EXAMPLE: Delbert looks out his window and see his neighbor’s
house on fire. He grabs his hose and goes over to the house, putting
out the fire. Delbert’s entry onto his neighbor’s land will be privileged.
c. The defendant has the burden of proving the existence of a privilege and
that the privilege was exercised reasonably under the circumstances.
2. Consent
a. Even though a defendant has otherwise committed an intentional tort,
he is not liable if the plaintiff consented to the act which constituted the
tort. In order to invoke this defense, the consent must be effective, and
the defendant must not exceed the scope of the consent.
b. A plaintiff can manifest consent expressly, by implication, or as a
matter of law.
(1) Express consent exists where the plaintiff affirmatively commu-
nicates permission for a defendant to act.
(2) Consent is implied under circumstances where a reasonable person
would interpret the plaintiff’s conduct as evidencing permission to act.
EXAMPLE: David, a football player, tackles Pat, a player on the
other team. Because the boys are engaged in a football game, it
is apparent from Pat’s conduct that he consents to the tackle.
(3) Consent may be found to exist as a matter of law where the
plaintiff is unable to consent, and:
(a) emergency action is necessary to prevent his death or
serious injury;
(b) a reasonable person would be expected to consent under
the circumstances; and
(c) no reason exists to believe that the plaintiff would not consent.
EXAMPLE: Della falls and hits her head, splitting it open.
She is unconscious. A surgeon may operate to repair the
damage under the premise that Della would have consented
had she been awake.
c. Defenses to Consent
(1) Even where consent is expressly or impliedly given by the plain-
tiff, the circumstances may be such that this consent is ineffective
467
OUTLINE
and will not operate as a defense for the defendant. The most
frequently tested situations involve mistake, fraud, duress, inca-
pacity, and violation of criminal statutes.
(2) Mistake
(a) Consent is not effective if:
1) it is the product of a mistake of fact or law as to the
nature or consequences of the defendant’s act; and
2) the defendant is aware of the mistake.
(3) Fraud
(a) Consent is not effective if it is induced by the defendant’s
intentional deceit as to the essential nature or consequence
of his act. If the fraud relates to a collateral matter, the
consent may still be effective, but the fraud itself may be
independently tortious as to a plaintiff.
(4) Duress
(a) Consent is not effective if it is induced by a threat of immi-
nent harm to the plaintiff or by a false assertion of lawful
authority over the plaintiff. The same principle operates if the
threat or false assertion of authority is made as to a member
of the plaintiff’s immediate family.
(5) Incapacity
(a) As a matter of law, young children and people whose mental
capacities are impaired by mental disease, mental defect, or
intoxication are incapable of consenting to tortious conduct.
Without particular knowledge, the defendant may interpret a
plaintiff’s actions as manifesting consent.
(6) Violation of Criminal Statute
(a) Most jurisdictions treat consent as ineffective where the defen-
dant’s tortious conduct also constitutes a crime. A minority of
jurisdictions and the Restatement regard consent to a criminal
act as effective for purposes of civil liability for that conduct.
1) Minority rule jurisdictions consider consent to be effec-
tive, for tort law purposes, to an act that is also a violation
of a criminal statute, so long as the defendant’s act does
not constitute a breach of the peace. The majority rule
is that a person cannot consent to a crime. The minority
rule (Restatement rule) is that a person can consent to
a crime, provided it is not a crime that is also a breach
of the peace (in other words, a person cannot consent
for everyone). In addition, a person cannot consent to a
violation of a criminal statute that was meant to protect
him (i.e., consent is not a defense to statutory rape).
2) All jurisdictions regard consent as ineffective if the plain-
tiff is a member of the class of persons protected by the
468
TORTS
469
OUTLINE
470
TORTS
law, Dakota will not be liable to Patton for battery if a reasonable per-
son in Dakota’s position would have believed that Xenobia was entitled
to exert force in defense against Patton.
5. Defense of Property
a. A defendant is permitted to use reasonable force to prevent a plaintiff
from committing a tort against the defendant’s property.
(1) The defendant must first demand that the plaintiff desist the conduct
that threatens injury to his property before he can use force in defense,
unless it would be futile or dangerous to make such a demand.
(2) The amount of force used by the defendant must be no greater than
necessary to prevent the threatened harm. In addition, it is never
permissible to use deadly force to protect one’s property from injury.
(a) A defendant may not indirectly use a greater degree of force
than would be justified if he were acting personally against a
plaintiff. Thus, use of dogs or mechanical devices to protect
property will generally result in liability, even if the plaintiff’s
conduct is otherwise tortious, because such force inflicted on
the plaintiff is almost always considered unreasonable.
b. A defendant may use reasonable force to promptly recover his
personal property if tortiously dispossessed of that property by the
plaintiff. The defendant may also use reasonable force to recover such
property from a guilty third party (one who took possession knowing of
the tortious dispossession).
(1) The defendant may apply only such force against the plaintiff as
is reasonably necessary to recover the property. A defendant may
never use deadly force to recover property.
(2) A defendant must act with reasonable diligence to discover the
dispossession and to recover his property. This has often been
described by the courts as a requirement that the defendant be “in hot
pursuit” of the tortiously dispossessing plaintiff or the guilty third party.
(3) Before being otherwise entitled to use force to recover personal prop-
erty, the defendant must demand that it be returned by the wrongfully
dispossessing plaintiff or guilty third party in wrongful possession.
EXAMPLE: Pam takes Darla’s gold bracelet. Pam knows that the
bracelet belongs to Darla, but she really likes it, so she takes it.
Darla asks Pam to give it back, but Pam refuses. Darla may go
up and grab the bracelet away from Pam.
(4) Even if otherwise proper, a defendant may not use force to
recover property as to which the plaintiff came into possession
under a claim of right.
EXAMPLE: Defendant may not use force to recover property
from a withholding bailee or a purchaser on credit who has de-
faulted on the obligation to pay.
471
OUTLINE
472
TORTS
plaintiff’s property, but is not liable for any technical tort (such as
trespass). In some jurisdictions, necessity is a complete defense.
(6) If a defendant acts out of public necessity, he incurs no liability
whatsoever for damage to the plaintiff’s property.
7. Authority
a. Arrest
(1) Where the defendant is a police officer acting pursuant to a duly
issued warrant, valid on its face, he is not liable in tort for the
fact of arrest. This rule applies to both felony and misdemeanor
arrests, and applies even if the warrant is subsequently held to
be invalid by a court.
(a) This defense is available even though the arrested plaintiff
is not the person against whom the warrant was issued, so
long as the defendant-police officer’s mistake as to the iden-
tity of the person to be arrested was reasonable.
(2) Where a police officer or private citizen acts to prevent a felony that is
being committed or appears about to be committed in his presence,
he is not liable for an intentional tort based upon such an arrest.
(a) The defendant may assert the defense even though he was
mistaken in his belief that a felony was being or about to be
committed, so long as the mistake is reasonable.
(3) Both police officers and private citizens may assert the defense
for arrest of a person who has, in fact, committed a felony.
Treatment varies where a mistake is made as to either the fact
that a felony has been committed or the identity of the felon,
depending upon whether the defendant is a police officer or not.
(a) A police officer is not liable in tort for a warrantless felony
arrest, even if he makes a mistake about whether a felony
was committed or about the identity of the person who
committed the felony, so long as the mistake is reasonable.
(b) Where a private citizen makes a felony arrest but makes a
mistake about whether a felony was committed the defense
of authority is not available, even if the mistake is reason-
able. If a felony was committed but the private citizen makes
a mistake about the identity of the person who committed
the felony, the defense of authority is available if defendant’s
mistake as to identity is reasonable.
(4) A police officer or private citizen is not liable for an arrest made
without a warrant as to a breach of the peace (e.g., a misde-
meanor involving violence) that is committed or appears about to
be committed in his presence.
(a) A defendant may assert this defense even though mistaken
in his belief that a breach of the peace was being or about to
be committed, so long as the mistake is reasonable.
473
OUTLINE
474
TORTS
II. NEGLIGENCE
A. Duty
1. The element of duty is usually described as an obligation, recognized by
law, requiring the defendant to conform to a certain standard of conduct for
the protection of others against unreasonable risk. Where the defendant
engages in conduct that is claimed to have injured the plaintiff, the issue
can be framed as: did the defendant have a duty to the plaintiff to conform
to a certain standard of conduct?
2. In some situations the general duty rule will not apply.
3. Foreseeable Plaintiffs
a. In the famous Palsgraf case, Justice Cardozo articulated the rule that a
defendant owes a duty only to foreseeable plaintiffs [Palsgraf v. Long
Island R.R. Co., 162 N.E. 99 (N.Y. 1928)]. (Justice Andrews’ dissent in that
case argued that “[e]veryone owes to the world at large the duty of refraining
from those acts which unreasonably threaten the safety of others.”)
(1) Justice Cardozo’s view is the prevailing view.
(2) If taken literally, the Cardozo view that a duty is owed only to
foreseeable plaintiffs could prevent some worthy persons from
recovering for negligence. A key example of a worthy plaintiff is
a rescuer who is injured due to a person’s negligence. Cardozo
claimed, and virtually all jurisdictions have agreed, that rescuers
are per se foreseeable plaintiffs, and thus are owed a duty.
b. The traditional rule is that there is no affirmative duty to take action
to aid or protect a plaintiff who is at risk of injury unless such action
is taken. This is based on the distinction between nonfeasance and
misfeasance. The law does recognize certain situations, however, in
which a duty to take action does arise.
EXAMPLE: Darren sees Polly injured by the side of the road. Late for
an appointment, Darren does not stop to help Polly. Polly bleeds to
death. Polly’s estate does not have a cause of action against Darren.
(1) If the defendant’s conduct is responsible for placing the plaintiff in
a position where he requires aid, the defendant has a duty to take
action to aid the plaintiff.
(a) A negligent omission occurs when the defendant fails to do
something that a reasonable person would have done, such
as stopping at a stop sign. Negligent omissions are treated
as misfeasance for which a duty is typically owed.
(b) The traditional application of this exception recognized a duty
to act only when a defendant’s conduct that caused a plaintiff
to be in peril was itself negligent. The modern approach, which
is still a minority view, is to recognize a duty to take action even
when a defendant’s conduct creating the peril was not tortious.
475
OUTLINE
476
TORTS
5) business-patron; and
6) jailer-prisoner.
(4) Duty to Control Third Parties
(a) There is no duty to control the conduct of a third person as to
prevent him from causing physical harm to another, unless:
1) a special relationship exists between the defendant and
the third party that imposes a duty upon the defendant
to control the third party’s conduct; or
EXAMPLE: Dean is in a movie theater sitting next to
Perry. Dean and Perry do not know one another; they
just happen to be sitting in adjacent seats. Perry gets
very angry with the usher because the usher tells him to
take his feet off the seat in front of him. If Perry decides
to slug the usher, Dean has no duty to control him.
2) a special relationship exists between the defendant and
the third party that gives the third party a right of protection.
EXAMPLE: Dean is in the movie theater sitting next
to his son when Eliza enters. Eliza takes one look at
Dean’s son, realizes that he is the kid who bit her child
on the playground, and lunges at him. Dean has a duty
to protect his son from Eliza and to control her conduct.
(b) A parent is under a duty to exercise reasonable care to
control his minor child so as to prevent the child from inten-
tionally harming others or creating an unreasonable risk of
bodily harm to them, if the parent:
1) knows or has reason to know that he has the ability to
control his child; and
2) knows or should know of the necessity and opportunity
for exercising such control.
EXAMPLE: Milly and Erica, two 13-year-olds, are build-
ing bombs in Milly’s garage. Their parents do not su-
pervise their free time and giggle when they find bomb-
making manuals in the house, saying, “Kids will be kids!”
If Milly and Erica bomb their school and kill many of their
classmates and teachers, their parents may be liable.
(c) A master is under a duty to exercise reasonable care to control
his servant while acting outside the scope of his employment in
order to prevent the servant from intentionally harming others or
creating unreasonable risk of bodily harm to them, if:
1) the servant:
a) is upon the master’s premises or premises upon which
the servant is privileged to enter only as his servant; or
b) is using a chattel of the master; and
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2) the master:
a) knows or has reason to know that he has the ability
to control his servant; and
b) knows or should know of the necessity and oppor-
tunity for exercising such control.
EXAMPLE: Darnell owns Silver Skates, an ice-skat-
ing rink in Coldville. Ellie is a skating teacher at the
rink. Darnell is in the office overlooking the rink one
day when he sees Ellie, who is supposed be taking
the day off, doing skating lifts with skaters that Darnell
knows to be beginners. Darnell knows that beginning
skaters are not ready to do lifts and can really hurt
themselves if they do. Darnell has a duty to intervene
to protect the students if he is able to do so.
(d) The defendant-employer has a duty to a plaintiff to exercise
reasonable care in hiring employees, such that a defendant
may be liable to a plaintiff if an employee subsequently injures
the plaintiff. This is distinguished from the vicarious liability of
an employer for his employee’s torts—respondeat superior,
where the negligent conduct is that of the employee and liability
is attributed by law to the employer. In negligent hiring, the
employer is liable for his own negligence in hiring the employee,
not vicariously liable for the wrongful conduct of the employee.
(e) Where a defendant permits a third person to use his
personal property, the defendant has a duty to control such
use and to exercise due care in permitting the third person to
use the property. The context in which this issue is frequently
tested is an auto owner-defendant who permits a member of
his family to drive his car.
(f) In some jurisdictions, a defendant who has the requisite
special relationship with a third person and who becomes
aware that the third person intends to do specific harm to an
identified plaintiff has a duty to warn the plaintiff of the harm.
The special relationships that have been recognized as trig-
gering this duty include:
1) psychotherapist-patient; and
2) custodian-prisoner.
EXAMPLE: Zazu tells his therapist, Dr. Drew, that he
intends to kill his ex-wife, Pru. Dr. Drew takes no action
to warn Pru of the threat, which Dr. Drew believes to be
credible. Pru is killed. In a negligence action against Dr.
Drew, most jurisdictions would find that he had a duty
to take reasonable steps to warn Pru of the impending
danger based on his relationship with Zazu, his patient.
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NOTE Pain and suffering, though emotional damages, are not subject to the limita-
tions placed on claims for pure emotional distress.
c. Direct Claims
(1) In most jurisdictions, to recover for emotional distress the plaintiff must:
(a) have been in the zone of danger—that is, the area in which
he was at risk of being physically injured; and
EXAMPLE: Paula and Peter are crossing the street when
Dexter comes driving down the road at twice the speed limit.
Paula manages to get out of the way, but Peter is hit by Dex-
ter. Paula was in the zone of danger and may have a cause
of action for emotional distress.
(b) have suffered some accompanying physical manifestation
of the emotional distress.
(2) Two exceptions exist to the zone of danger and physical mani-
festation requirements:
(a) if the defendant negligently transmits a telegram announcing
the death of a loved one; and
(b) if the defendant negligently mishandles a corpse.
(3) In a minority of jurisdictions, if the defendant has a preexisting
duty to the plaintiff, the plaintiff may recover for negligent infliction
of emotional distress.
(4) Some jurisdictions have eliminated the requirement of physical
manifestation of emotional distress and allow plaintiffs to prevail
based on a showing of severe emotional distress without accom-
panying physical symptoms.
d. Bystander Actions
(1) In a bystander action, the physical harm occurs to a loved one,
and the plaintiff sues for his emotional distress as a result of the
injury to another. It is premised upon the defendant’s violation
of the duty not to negligently cause emotional distress to people
who observe the conduct which causes harm to another.
(2) The majority rule is that a plaintiff may recover for negligent inflic-
tion of emotional distress under a bystander theory if he:
(a) was located near the scene of an accident;
(b) suffered a severe emotional distress (“shock”) resulting from the
sensory and contemporaneous observance of the accident; and
(c) had a close relationship with the victim.
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EXAM TIP The requirements for negligent infliction of emotional distress (“NIED”) are
different than the requirements for intentional infliction of emotional distress
(“IIED”). IIED is covered in depth earlier in this outline. See the chart below
for a recap of the different elements required for both NIED and IIED.
Theory 1 Theory 2
1. Plaintiff must be present when conduct 1. Plaintiff (no special relation to the third
occurs to third party/victim; party/victim required) must be present
2. Plaintiff must be a close relative of the when conduct occurs;
third party/victim; OR 2. Plaintiff suffers actual bodily harm (a
3. Defendant is aware of plaintiff’s physical manifestation of the emotional
presence; and distress); and
4. Plaintiff suffers severe emotional distress 3. Defendant is aware of plaintiff’s presence.
(whether or not it results in bodily harm).
1. Plaintiff is within the “zone of danger”; and 1. Plaintiff is present at the scene and
2. Plaintiff suffers emotional distress OR witnesses the event;
and some accompanying physical 2. Plaintiff is a close relative of the third
manifestation of the emotional distress. party/victim; and
3. Plaintiff suffers severe emotional distress.
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(2) Damages typically involve the cost of the birth and the cost to
rectify the ineffective contraceptive measure.
(3) Courts are very reluctant to award the costs of raising a child
through the age of majority.
b. Wrongful birth is the claim of the parents for the birth of an unhealthy child.
(1) Wrongful birth claims generally stem from a physician’s failure to
diagnose a disability in the fetus, which the plaintiff claims would
have led her to not give birth to the child.
(2) Many courts will not recognize a claim for wrongful birth.
(3) Some courts will award the extraordinary costs of having a child
with special needs, but the jury may offset this award by the
benefit obtained from having the child.
c. Wrongful life is the child’s action for having been born unhealthy.
(1) Most courts will not award damages for wrongful life.
(2) A small number of courts have awarded damages for the costs of
the child’s special needs after the age of majority.
6. Land Possessor Liability
a. The standard of care applied to owners and occupiers of land varies
according to which of three categories of danger or activity were
involved in the injury to the plaintiff. These categories are:
(1) activities—the injury to the plaintiff derived from the conduct of
persons on the land;
(2) artificial conditions—the injury to the plaintiff derived from circum-
stances created by persons on the land, such as buildings, exca-
vations, cultivation, etc.; and
(3) natural conditions—the injury to the plaintiff derived from circum-
stances not created by persons but existing on the land, such as
natural bodies of water, trees occurring naturally, falling boulders, etc.
b. In addition to considering the category of danger or activity that injured
the plaintiff, the analysis of the standard of care varies according to the
categories of the plaintiffs who claim injury.
c. Plaintiffs on the land
(1) Invitees
(a) An invitee is a person who enters onto the defendant’s land at
the defendant’s express or implied invitation, and who enters for a
purpose relating to the defendant’s interests or activities. Invitees
are classified as either business invitees or public invitees.
1) A business invitee is an invitee who enters onto the
defendant’s land for a purpose related to the defen-
dant’s business activities or interests.
EXAMPLE: Customers and persons accompanying them,
delivery persons, salespersons (if reasonable for them to
expect that someone on the non-private, non-residential
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NOTE Invitees who exceed the scope of defendant’s invitation are treated as licensees.
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3) Frequent
a) If the defendant knows or reasonably should know
that trespassers frequently enter upon a portion
of his land, the standard may be higher than that
normally applicable to unknown trespassers. For
example, if the defendant observed that a beaten
path cuts across his property, he would be alerted
to the presence of frequent trespassers. Frequent
trespassers are owed the same duty of care owed
to known trespassers, even if the defendant is not
aware that a particular plaintiff is present on his land
or has ever previously trespassed upon his land.
4) Children
a) Where activities and natural conditions are involved,
the standard of care as to children who trespass is
the same as that for the applicable category of adult
trespassers. A heightened standard of care may apply
as to artificial conditions on the defendant’s land.
i) Horses, livestock, pets, and other owned
animals are “artificial conditions” for these
purposes insomuch as the owner placed them
where they are, if they are not naturally occur-
ring in the landscape. However, note that they
may not pose a foreseeable, unreasonable risk
of danger to children trespassers unless the
owner knows or reasonably should know of the
danger posted, and so the liability of the owner
will depend on the facts of the case.
b) If the heightened standard of care as to children tres-
passers is invoked, a defendant has a duty to exer-
cise reasonable care to prevent injury to the children,
applicable to dangerous artificial conditions. The
heightened standard of care set forth above arises if
four prerequisites are shown to exist:
i) the artificial condition is a foreseeable risk of
unreasonable danger to trespassing children;
a. An artificial condition on a defendant’s land
poses a foreseeable, unreasonable risk of
danger to children trespassers if a defendant
knows or reasonably should know of the exis-
tence and nature of the artificial condition. A
defendant has no independent duty to inspect
the land to discover such artificial conditions.
b. It is relevant to whether a condition poses a
foreseeably unreasonable danger to children
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B. Standard of Care
1. Reasonably Prudent Person under the Same or Similar Circumstances
a. In general, a defendant breaches the duty to a plaintiff if he fails to conduct
himself as a reasonable person would in the same circumstances.
(1) Exceptions
(a) The reasonable person standard is applied as though the
reasonable person possessed the same physical character-
istics as the defendant. Thus, the trier of fact assesses what
conduct a reasonable person of the same height, weight,
ability to see or hear, and disabilities as the defendant would
have engaged in under the circumstances.
EXAMPLE: Del, blind since birth, is walking down the street
using a cane. He knocks into Pol, injuring him. In Pol’s negli-
gence action against Del, Del will be held to the standard of
care of a reasonably prudent blind person.
NOTE The reasonable person standard is not altered to account for a defendant’s physi-
cal disability if the disability is the result of the defendant’s voluntary intoxication.
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C. Breach of Duty
1. Res Ipsa Loquitur
a. A plaintiff generally meets his burden of proving breach of duty by estab-
lishing that the defendant’s conduct fails to conform to the applicable
standard of care. This is rendered difficult or impossible where a plaintiff
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to proceed, finding that it is more likely than not that, but for Dr. Dyl’s mal-
practice, Prax would not have lost his 40% chance of survival.
a. Statutes in many jurisdictions reduce the duty of care owed by the
driver of an automobile to a guest (a non-paying passenger) in that
auto. Such statutes frequently provide that the driver of an auto is not
liable for injuries suffered by the guest unless the driver’s wrongful
conduct amounted to gross negligence or recklessness.
b. Slip-and-Fall Cases
(1) In cases where a person is injured because of a fall on the defen-
dant’s premises, the plaintiff must show evidence from which a
jury may reasonably infer unreasonable conduct on the part of the
defendant. Typically, the plaintiff must put on evidence about the
condition of the item on which he fell so that a jury may infer that
the object was there long enough that the defendant was unrea-
sonable in not discovering and remedying the dangerous condition.
EXAMPLE: Pashanda is injured when she slips on a grape on
the floor in the produce section of Dexto’s market. If this is all
the evidence she presents, Pashanda’s negligence claim will be
thrown out. If she can show, however, that the grape on which
she slipped was blackened and gritty, she will proceed to a jury
because there is circumstantial evidence that would permit the
jury to find that the grape had been on the floor long enough that
Dexto’s should have discovered it.
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UNFORESEEABLE
FORESEEABLE
(I.E., SUPERSEDING)
F. Damages
1. A plaintiff must affirmatively prove actual damages. Nominal damages are
not available, and punitive damages generally are not allowed.
2. Personal injury and property damages are recoverable. Included are
general and special damages, past and future pain and suffering, medical
expenses, lost wages, and loss of consortium, but not attorney’s fees. The
plaintiff’s duty to mitigate damages applies.
3. Payments made to or benefits conferred on the injured party-plaintiff from
other (i.e., collateral) sources are not credited against the tortfeasor’s
liability, even where they cover all or a part of the harm for which the tort-
feasor is liable. This is known as the collateral source rule.
a. The rule that collateral benefits are not subtracted from the plaintiff’s
recovery applies to the following types of benefits:
(1) insurance policies, whether maintained by the plaintiff or a third party;
(2) employment benefits;
(3) gratuities, including cash gratuities and the rendering of
services; and
(4) social legislative benefits.
EXAMPLE: Della negligently injures Pasha when she sets off
firecrackers incorrectly. Pasha has second-degree burns over
most of her body. If Pasha collects disability or health insurance
benefits, these will not be subtracted from the amount of dam-
ages that Della owes Pasha.
EXCEPTION: Payments made by a tortfeasor or by a person
acting for him (e.g., the defendant’s insurance company) to the
injured plaintiff are credited against the defendant’s tort liability.
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4. Punitive Damages
a. Punitive damages are an amount over and above the compensation
needed to make the plaintiff whole. They are intended to punish the defen-
dant for egregious conduct and to act as a deterrent against future conduct
by the defendant or others, and are thus also called “exemplary” damages.
b. Punitive damages are available in tort cases when there has been
willful, wanton, or malicious conduct. They are generally not available
in negligence actions or in contract actions.
c. A plaintiff is never entitled to an award of punitive damages, but a jury
may award them at its discretion. Jury rewards may be reversed or
overturned if excessive. Due process requires that punitive damage
awards not be grossly excessive on three measures [State Farm Mut.
Auto. Ins. Co. v. Campbell, 538 U.S. 408 (2003); BMW of No. America
v. Gore, 517 U.S. 559 (1996)]:
(1) the degree of reprehensibility of the defendant’s conduct, consid-
ering such factors as whether:
(a) the defendant acted intentionally, maliciously, or with reck-
less disregard for harm;
(b) such conduct was repeated or isolated; and
(c) the harm caused to the plaintiff was economic or noneco-
nomic (e.g., lost profits or personal injury);
(2) the ratio between the plaintiff’s compensatory damages and the
amount of the punitive damages (presumptively, punitive damages
should not exceed 10 times the compensatory damage award); and
(3) the difference between the punitive damage award and the civil or
criminal sanctions that could be imposed for comparable misconduct.
d. There may also be specific limitations on entitlement to punitive
damages under state law.
G. Defenses to Negligence
1. Contributory Negligence
a. Tort law requires a plaintiff to exercise due care to protect himself from
injury by the defendant. Thus, the plaintiff’s own negligence—called
contributory negligence at common law—may bar the plaintiff’s
recovery. The analysis is similar to that for the defendant’s negligence—
whether the plaintiff acted as a reasonable person would under the
same circumstances. Contributory negligence is conduct on the part of
the plaintiff that falls below the standard to which he should conform for
his own protection, and which is a legally contributing cause cooperating
with the defendant’s negligence in bringing about the plaintiff’s harm.
b. To show contributory negligence, the defendant must prove by a
preponderance of the evidence that the plaintiff fell below the relevant
standard of care and that this failure was the cause-in-fact and proxi-
mate cause of the plaintiff’s damages.
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for the third person’s negligence (e.g., partners and joint enter-
prisers, employers and employees); and
(2) the plaintiff’s claim against the defendant is completely deriva-
tive of the third person who was contributorily negligent (e.g.,
wrongful death, loss of consortium).
(a) A minority of states do not impute one spouse’s contributory
negligence to another in an action against a defendant for
loss of consortium.
h. The last clear chance doctrine provides a basis for recovery even
where a plaintiff is otherwise contributorily negligent. The focus is on
the time period after the plaintiff has engaged in contributory negli-
gence. If injury to the plaintiff could still have been avoided through a
subsequent exercise of due care by the defendant, then the defendant
is said to have had the last clear chance to avoid harm, and the plain-
tiff’s contributory fault will not bar recovery.
(1) If the defendant is aware that his breach of duty has placed the plain-
tiff in danger, the last clear chance doctrine is always available to the
plaintiff. The majority of jurisdictions deny a plaintiff the benefit of the last
clear chance doctrine if the defendant is not aware that the plaintiff is in
danger, and the plaintiff is in “helpless peril” rather than “inattentive peril.”
(a) A plaintiff is in helpless peril when his negligence has placed
him in a position of danger from which he cannot extricate
himself. A plaintiff is in inattentive peril when his contributory
negligence has placed him in a position of danger from which he
could escape if observant enough to recognize his peril.
(b) In a majority of jurisdictions, if a defendant is under a duty
to discover danger to the plaintiff (e.g., an owner/occupier
of land has duty to exercise due care to discover dangerous
conditions and protect invitees from them), no distinction is
made between helpless and inattentive danger.
2. Comparative Negligence
a. Under a modern comparative negligence regime, where a plaintiff’s
negligence has contributed to his own injuries, the total damages
caused by the defendant may be apportioned based upon a determina-
tion of the relative fault of each party. Virtually every state has adopted
a comparative negligence system, either by statute or judicial decision.
The analysis of comparative fault is identical to the analysis of contribu-
tory negligence, though the effect is different.
(1) Some states have adopted a pure comparative negligence
scheme. In such states, apportionment of damages tracks appor-
tionment of fault perfectly—if a defendant is 25% responsible and
a plaintiff is 75% responsible, plaintiff recovers from the defen-
dant 25% of the total damages he suffered.
(2) Other states have adopted a partial comparative negligence system.
Here, damages are apportioned only if the defendant’s responsibility
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EXAM TIP On the MBE, assume that a pure comparative negligence system applies un-
less the question states otherwise.
3. Assumption of Risk
a. A plaintiff “assumes the risk” of injury from a defendant’s negligence if
the plaintiff expressly or impliedly consents to undergo the risk created
by the defendant’s conduct.
(1) A plaintiff is barred from negligence recovery when he has, by
written or oral words, expressly relieved the defendant of his
obligation to act non-negligently toward the plaintiff. As long as
the waiver is not void as against public policy and the language is
clear, the waiver will be enforced by most courts.
(2) A plaintiff may also impliedly assume the risk of a defendant’s conduct.
(a) A plaintiff is barred from recovery, or recovery will be
reduced, under the assumption of the risk doctrine if the
defendant establishes that:
1) the plaintiff had knowledge of and appreciated the
nature of the danger involved;
a) This is a subjective standard. Youth, lack of infor-
mation, or lack of experience may justify a finding
that a plaintiff actually failed to comprehend the
risk involved. If so, there can be no assumption of
the risk, even if a “reasonable plaintiff” would have
recognized the danger under similar circumstances.
2) the plaintiff appreciated the specific danger that injured
him; and
EXAMPLE: A plaintiff who knowingly agrees to ride in a
car where the driver is speeding does not assume the
risk that the driver might also be intoxicated.
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A. In General
1. In strict liability, a defendant is liable for injuring a plaintiff whether or not the
defendant exercised due care. As to certain activities, the policy of the law is
to impose liability regardless of how carefully a defendant conducted himself.
B. Categories
1. A defendant may be held strictly liable as to two categories of activities:
a. possession of animals; and
(1) The analysis of strict liability in connection with the possession of
animals varies according to the nature of the plaintiff’s injury and
whether the animal is wild or domestic.
(2) A defendant can be held strictly liable for personal injuries
inflicted by his animal if it has “known dangerous propensities.”
(a) This is, in part, a “scienter-like” element, in that the defen-
dant is subject to strict liability only if he knew or had reason
to know of the dangerous quality of the animal.
1) Wild animals generally have “known dangerous
propensities” for this purpose. A wild animal is one not
customarily devoted to the service of humankind at the
time and in the place where it is kept.
2) Domestic animals have “known dangerous propensities”
only if a reasonable owner would realize that the animal
presented a danger of death or injury. The classic
example of a domestic animal with known dangerous
propensities is a dog that has previously bitten a human
being (the “one bite” rule—after one bite, the owner is
presumed to know that the dog is dangerous).
a) Strict liability does not apply to possession of domestic
animals as to which dangerous propensities are
normal, such as bulls, stallions, mules, rams, and bees.
EXAMPLE: Parker is seriously injured when bitten
by Damien’s pet tiger. Damien is strictly liable for this
injury even if Damien’s tiger has been as gentle as a
kitten until that moment. If Parker had been bitten by
Damien’s cat, Damien is only strictly liable once Damien
should have known of his cat’s dangerous propensity.
(b) If the plaintiff is an unknown trespasser, most jurisdictions do
not impose any liability for injuries inflicted by a defendant’s
animals while the plaintiff is on the defendant’s land, even as
to animals with known dangerous propensities. If the plaintiff
is any other type of trespasser (known, frequent, or child),
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C. Defenses
1. Contributory Negligence
a. Where strict liability is applicable, a defendant generally may not raise
contributory negligence as a defense.
EXCEPTION: Where a plaintiff knew of the danger that justified imposition of
strict liability, and his contributory negligence caused exactly that danger to be
manifested, such contributory negligence will bar the plaintiff’s recovery, as-
suming the jurisdiction applies the traditional contributory negligence doctrine.
EXAMPLE: If Pat O’Pheline stands next to a circus tiger’s cage knowing
that the tiger is dangerous and can reach between the bars of the cage,
and despite seeing and understanding warning signs and ropes posted
to keep circus patrons at a safe distance, he may be barred from recov-
ery by the doctrine of contributory negligence if the tiger claws him.
NOTE Contributory negligence is not a complete defense to strict liability; it can only
reduce recovery.
2. Comparative Negligence
a. Some states that have adopted comparative fault systems reduce the
recovery of plaintiffs whose negligence contributes to their own injuries
involving strict liability situations.
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3. Assumption of Risk
a. A plaintiff may be found to have assumed the risk of injury and be
completely barred from recovery in a strict liability situation if the plain-
tiff knows of and appreciates the danger justifying imposition of strict
liability and voluntarily exposes himself to such danger.
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the marketing chain. Note that these defendants are liable even
though there is likely no fault on their part.
b. Retailers and commercial lessors are subject to strict liability for
defects in new goods that they sell or lease. Commercial lessors are
subject to strict liability for defective used goods leased, but there is a
split in authority as to whether a retailer of used goods is strictly liable
for defects in those goods.
c. Most jurisdictions hold sellers of mass-marketed new residences
strictly liable for defects in those homes. There is a split in authority
as to whether other new home sellers, such as custom builders who
construct a few houses at a time or building contractors who construct
residences under specific contracts, may be held strictly liable for
defects in those constructions. No court has imposed strict liability on a
defendant who sold a home he did not construct.
d. Occasional or one-time sellers are not proper defendants for purposes
of strict products liability because they are not in the position to further
the goals of the tort—safer products and cost-spreading.
EXAMPLE: Pumpkin is injured as a result of a defect in a new widget
she bought at Della’s garage sale. Della is not a proper defendant for
strict products liability. To recover, Pumpkin will have to prove negli-
gence or a breach of warranty.
e. A few states have imposed strict liability on a franchisor, at least where
it was found that the franchisor exercised substantial control over the
operations of the franchisee.
4. Proper Context for Strict Products Liability
a. Generally, providers of services are not held strictly liable for inju-
ries received by their customers. If defective goods are supplied
along with services, strict liability is still not applicable so long as
the goods supplied were merely “incidental” to rendition of the
services. In this regard, restaurants are frequently regarded as
sellers of goods (food) subject to strict liability. Doctors, dentists,
and blood banks are usually regarded as primarily providing
services, so defective products (medicines, blood, etc.) provided are
incidental and not subject to strict liability.
5. Defect
a. Almost all jurisdictions impose strict liability where a product is “in a
defective condition unreasonably dangerous.”
b. Formulations of liability occur under three categories of defects.
(1) Manufacturing Defects
(a) A product manufactured in a form other than the manufac-
turer intended contains a manufacturing defect. All jurisdic-
tions impose strict liability on the manufacturer and everyone
else in the chain of distribution for personal injury or property
damage to a plaintiff caused by a manufacturing defect.
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control and the time of the plaintiff’s injury [Banner Welders, Inc.
v. Knighton, 425 So. 2d 441 (Ala. 1982)].
(4) For the defense to prevail, the modification or alteration must be
independent of the expected and intended use of the product.
(5) The mere fact that the product has been altered or modified does
not necessarily relieve the manufacturer or seller of liability. The
defendant will remain liable if the alteration or modification:
(a) did not in fact cause the injury; or
(b) was reasonably foreseeable to the manufacturer or seller.
(6) Material alteration is not a defense in a products liability action
based on a design defect theory; it is only a defense when the
alteration makes it impossible to conclude that a defect at the time
of manufacturer was a cause of the injury giving rise to the suit.
c. Contributory Negligence
(1) As initially conceived, a plaintiff’s unreasonable conduct was not a
defense to a strict products liability action unless the plaintiff knew
of the defect, comprehended the risks posed by the defect, and
voluntarily elected to expose himself to those risks. That is, only an
assumption of the risk was a defense to strict products liability.
EXAMPLE: Because of a defect, Parker’s television set, manu-
factured by DuMont, starts to spark. A reasonable person would
have noticed this, but Parker, because he is totally engrossed in
his favorite sitcom, does not. DuMont has no defense.
(2) At modern law, contributory negligence only applies as a defense
to strict products liability if the plaintiff’s conduct rises to the level of
misuse, abnormal use, or independent negligence (i.e., not where
the plaintiff’s wrongful conduct is a failure to discover the defect).
(3) A plaintiff’s continued use of a product which the plaintiff knows to
be defective is not voluntary, and thus not an assumption of the
risk, if there are no practicable alternatives to such use.
EXAMPLE: If while in the desert hundreds of miles from a city,
Plaintiff discovers that his car has a dangerous steering defect, it
would not be an assumption of the risk that Plaintiff continued to
use the car to drive back to civilization.
(4) Where a defendant can show that his product was subse-
quently altered in an unforeseeable manner by someone in the
chain of distribution or a third party, courts usually relieve that
defendant of liability.
d. Comparative Negligence
(1) Some jurisdictions that have adopted a comparative negligence
system as to negligence also apply that system to strict liability.
A plaintiff’s wrongful conduct that contributes, along with the
defective product, to his own injury reduces his recovery in some
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V. NUISANCE
A. Types of Nuisance
1. Public Nuisance
a. A public nuisance is an unreasonable interference with a right
common to the general public.
b. Circumstances that may sustain a holding that an interference with a
public right is unreasonable include the following:
(1) whether the conduct involves a significant interference with the
public health, safety, peace, comfort, or convenience;
(2) whether the conduct is proscribed by a statute, ordinance, or
administrative regulation; and
(3) whether the conduct is of a continuing nature or has produced a
permanent or long-lasting effect, and as the actor knows or has
reason to know, has a significant effect upon the public right.
c. To recover damages in an individual action for a public nuisance, a
plaintiff must have suffered harm of a kind different from that suffered
by other members of the public.
d. To maintain a proceeding to enjoin or abate a public nuisance, a plaintiff must:
(1) have the right to recover damages;
(2) have authority as a public official or public agency to represent
the state or a political subdivision in the matter; or
(3) have standing to sue as a representative of the general public, as a
citizen in a citizen’s action, or as a member of a class in a class action.
2. Private Nuisance
a. A private nuisance is a thing or activity that substantially and unrea-
sonably interferes with the plaintiff’s use and enjoyment of his land.
b. The interference with the plaintiff’s use and enjoyment must be
substantial. This means that it must be offensive, inconvenient, or
annoying to an average person in the community. A plaintiff cannot, by
devoting his land to an unusually sensitive use, complain of a nuisance
based on conduct that would otherwise be relatively harmless.
c. The interference must be unreasonable, which means that either:
(1) the gravity of the plaintiff’s harm outweighs the utility of the defen-
dant’s conduct; or
(2) if intentional, the harm caused by the defendant’s conduct is substan-
tial and the financial burden of compensating for this and other
harms does not render unfeasible the continuation of the conduct.
d. A trespass is an invasion of a plaintiff’s interest in the exclusive
possession of land (e.g., an entry of something tangible onto the prop-
erty). On the other hand, a nuisance is an interference with a plaintiff’s
interest in the use and enjoyment of the land, which does not neces-
sarily require a physical intrusion.
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EXAM TIP Often the key determination on an examination question is to evaluate the
reasonableness or unreasonableness of the defendant’s conduct. This
analysis involves weighing the gravity of the harm done to the plaintiff
against the utility of the defendant’s activity. Unlike in trespass, the court
will balance several factors: compliance with applicable zoning ordinanc-
es; priority of occupation; the frequency and extent of the interference,
applied objectively to normal persons; and the utility and social value of
the defendant’s activity.
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B. Defenses
1. Contributory Negligence
a. When a nuisance results from negligent conduct of the defendant,
the contributory negligence of the plaintiff is a defense to the same
extent as in other actions founded on negligence.
b. When the harm is intentional or the result of recklessness, contributory
negligence is not a defense.
c. When the nuisance results from an abnormally dangerous condition
or activity, contributory negligence is a defense only if the plaintiff has
voluntarily and unreasonably subjected himself to the risk of harm.
2. Assumption of Risk
a. In an action for a nuisance, the plaintiff’s assumption of risk is a
defense to the same extent as in other tort actions.
3. Coming to the Nuisance
a. The fact that the plaintiff has acquired or improved his land after a
nuisance will not by itself bar his action, but it is a factor to be consid-
ered in determining whether the nuisance is actionable.
4. Compliance with Statute
a. A relevant and persuasive, but not absolute, defense to nuisance arises upon
evidence that the defendant’s conduct was consistent with applicable admin-
istrative regulations (i.e., a zoning ordinance or pollution control regulation).
C. Remedies
1. For a private or public nuisance, the usual remedy is damages.
2. Where the legal remedy (i.e., money damages) is inadequate or unavail-
able, courts may grant injunctive relief. The legal remedy may be deemed
to be inadequate for a number of reasons (e.g., the nuisance is a continuing
wrong or the nuisance is of a kind which will cause irreparable harm). In
determining whether an injunction will be granted, the court will undertake
to balance the equities, namely taking into account:
a. the relative economic hardship to the parties for granting or denying
the injunction; and
b. the public interest in the defendant’s activity continuing.
EXAM TIP Keep in mind that a court may require the defendant to pay damages while
denying injunctive relief.
3. A plaintiff has the privilege to enter upon the defendant’s land and personally
abate the nuisance after notice to the defendant and his refusal to act. The privi-
lege extends to the use of all reasonable action that is necessary to terminate
the nuisance, even to the destruction of valuable property, provided the damage
done is not greatly disproportionate to the threatened harm, but does not extend
to unnecessary or unreasonable damage. There will be liability for any excess.
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d. Permanent Injunctions
(1) The plaintiff must have prevailed on the substantive claim and
shown a need for continuing protection to be eligible for perma-
nent injunctive relief.
(a) EXAMPLE: When a claimant who insisted the famous lawyer
Johnnie Cochran owed him money, and picketed Cochran’s
office with signs containing insults and obscenities, indicated
that he would continue to engage in the activity absent a
court order, the court permanently enjoined the claimant from
making defamatory statements about Cochran and his firm in
any public forum [Tory v. Cochran, 544 U.S. 734 (2005)].
(2) Unlike the interlocutory temporary injunction, a permanent injunc-
tion is a final judgment and continues in force until dissolved, but
the permanent injunction need not be perpetual—it may be set to
expire by its own terms.
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VI. DEFAMATION
A. In General
1. For a defamation action, a plaintiff must establish that the defendant
published defamatory material concerning the plaintiff that caused reputa-
tional damage. In analyzing an action for defamation, one must check for:
a. a defamatory message;
b. certain pleading problems;
c. publication of the message;
d. the type of defamation;
e. damages;
f. common law defenses; and
g. constitutional issues.
B. Defamatory Message
1. A message is defamatory if it lowers a plaintiff in the esteem of the commu-
nity or discourages third persons from associating with him.
a. A defamatory message has been characterized as one that holds
a plaintiff up to hatred, ridicule, contempt, or scorn. Whether or not a
defendant’s statement includes this notion of disgrace, it should be
actionable if it causes third persons to avoid contact with the plaintiff. A
message is also defamatory to an entity if it causes customers to stop
doing business with the entity, causes persons to stop making chari-
table contributions to it, or causes them to avoid membership.
2. In general, only statements of fact are actionable as defamatory. However,
expressions of opinion which imply that the speaker knows certain facts to
be true, or which imply that such facts exist, may be sufficient to classify the
messages as defamatory. If a reasonable person would interpret a state-
ment as one of fact, considering the context and the nature of the utter-
ance, a jury may find that the message is defamatory.
a. A statement is more likely to be regarded as a statement of fact rather
than opinion to the extent that it is more specific and detailed. It is not
sufficient to change what is otherwise a statement of fact to one of
opinion by adding qualifiers such as, “I think…“ or “It is my opinion….”
EXAMPLE: The Daily may be subject to defamation liability to Paxton for
stating falsely: “In our opinion, Paxton was involved in the planning of the as-
sassination of Robert F. Kennedy.” The Daily cannot be liable for publishing:
“Paxton was once a very stylish dresser, but this year his clothes seem drab.”
3. A message is defamatory if it has the required injurious effect on any substan-
tial minority of reasonable people. If a negligible number of people are affected,
or only those whose views are too antisocial, the message is not defamatory.
a. A messages is defamatory per se if it is apparent on the face of the
message that it will injure the plaintiff’s reputation. If the message at issue
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does not on its face seem injurious to the plaintiff’s reputation, or defama-
tion per quod, the plaintiff must plead additional, extrinsic facts that render
the message defamatory. The plaintiff must also explain how the message,
with the extrinsic facts, injures his reputation. Where a statement is defam-
atory only upon a showing of extrinsic facts, the plaintiff must:
(1) plead and prove inducement;
(2) establish a defamatory meaning by innuendo; and
(3) show that he himself was the intended plaintiff by colloquium.
EXAMPLE: The Daily prints, “Petunia married Donald yesterday.”
This does not appear reputation-harming on its face, but it may
become so through the inducement that Petunia is already mar-
ried to someone else.
4. The defamatory message must be understood by the person who receives it.
A judge decides whether a communication could be understood as defama-
tory, and the jury decides whether it was defamatory in the case before it.
EXAMPLE: The Daily falsely states in an article that Penelope used to be
best friends with a drug addict. A judge may determine that a false statement
that a person was once friends with a person who was addicted to drugs is
not capable of causing reputational harm. If the judge instead determines
that it could be harmful, then it would be up to the jury to determine if such a
statement harmed Penelope’s reputation in the situation before it.
C. Pleading Problems
1. To bring an action for defamation, the party suffering the defamation must
have been a living person or an existing organization.
a. A defamatory message published about a third person is action-
able only to the extent that it also defames the plaintiff. A defamatory
message concerning only a third person, even one closely related to
the plaintiff, cannot defame the plaintiff.
b. Where a defendant makes an otherwise defamatory statement about a
group of persons, his liability to individual plaintiffs varies according to
the size of the group and the nature of the defamatory message.
(1) A defamatory message made concerning all members of a large
group does not create a right of action in favor of any particular
member of that group. However, if the circumstances would indi-
cate to a reasonable person that a particular plaintiff is the actual
subject of the defamatory message, the fact that the message is
spoken of the group does not relieve the defendant of liability.
(2) If the group that is the subject of the defendant’s defamatory message
is sufficiently small, each member of the group is generally regarded as
sufficiently identified so that each could bring an action for defamation.
EXAMPLE: In a case involving a sportswriter who published an
article stating that all 20 members of the University football team
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had used illegal steroids, each member of that team was permit-
ted to bring an action against the sportswriter for defamation.
(3) Traditionally, no individual member of a small group was
permitted to bring an action for defamation where the defendant
defamed some but not all of them. Today, whether a particular
member was sufficiently identified is examined on a case-by-case
basis, considering all the circumstances.
D. Publication
1. A defamatory message is commonly a spoken or written statement. Any
form of communication may be defamatory, however, including television
and radio broadcasts, films, plays, novels, cartoons, sculpture, etc.
a. A plaintiff must prove that some reasonable third person who received
the defamatory message understood it to refer to the plaintiff. Thus,
if the plaintiff is not specifically named in the allegedly defamatory
communication, he must allege through colloquium that some people
will interpret the communication to be about him.
EXAMPLE: The Daily states that the longest serving Torts professor at
Acme School of Law does not know the difference between battery and
assault. Pinnafore may proceed in his action for defamation by alleging
and proving that he is the longest serving Torts professor at Acme.
2. It is not actionable to utter a defamatory message to the plaintiff alone. For
the defendant’s message concerning the plaintiff to constitute defamation, it
must be communicated to a third person, who receives and understands it.
a. In most situations, it is apparent that the defendant desired that third
persons receive the defamatory message. However, a message is
“published” if the defendant negligently permitted it to be communi-
cated to third persons. If it is reasonably foreseeable that an eaves-
dropper might overhear a message, for example, and one does so,
there is a sufficient publication.
3. In addition to the defendant who originates the defamatory message, other
persons who repeat it may be liable to the plaintiff, varying according to
their relationship to the original publisher. Such republication may also
increase the originator’s liability to the plaintiff.
a. All persons who participate in originating a defamatory message are
liable as primary publishers.
EXAMPLE: The author of a book defamatory to a plaintiff, the editor
who selected it for publication and provided editorial services, and the
company that employed the editor and printed the book would all be
liable as primary publishers.
b. Any person who repeats the defamatory message is liable as a
publisher. This is so even where the repetition is qualified by such
terms as “alleged” or is said not to be the opinion of the republisher.
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(1) Where the original publisher could reasonably foresee that the
defamatory message would be republished, he is liable to the
plaintiff for additional damages caused by the republications.
c. A person who distributes the original defamatory message as a
commodity (e.g., a bookseller, newspaper vendor, retailer, etc.) is liable
only if he knew or should have known that the material distributed
contained the defamatory message.
E. Type of Defamation
1. Historically, libel was a written form of defamation. Today, a defamatory
message embodied in any relatively permanent form is a libel.
EXAMPLE: A sound recording, video recording, picture, sculpture, etc.
a. Libel per quod is a libel as to which it is not apparent on the face of
the communication that it is defamatory. A plaintiff must plead and
establish extrinsic facts to establish that the libel was defamatory and
that it referred to the plaintiff. A large minority of jurisdictions require
proof of special damages for libel per quod.
2. Historically, slander was defamation in spoken, rather than written, form. Today,
a defamatory message not preserved in permanent form is classified as slander.
a. Slander per se is a type of slander historically regarded as so harmful
that it was presumed that the plaintiff suffered damage from the very
fact of its utterance. Four types of slander were so classified:
(1) a slander that imputed to the plaintiff the commission of a crime involving
moral turpitude or infamous punishment (imprisonment or death);
(2) allegations of the plaintiff having a loathsome disease are slander;
(a) Historically, a loathsome disease was one that was incur-
able and persisted over time, such as venereal disease or
leprosy. Allegations of insanity or tuberculosis have been
held not within the slander per se category.
(3) slander which imputes to the plaintiff behavior or characteristics
that are incompatible with the proper conduct of his business,
profession, or office; and
(4) it was slander per se to falsely impute unchastity to a woman.
(a) Scholars have concluded that the same conclusion would
follow if the target of the defamation were a man, but no
case has so held. The Restatement defines this form of
slander per se in terms of false imputation of “serious sexual
misconduct” to any person. A small minority of jurisdictions
hold it slander per se to falsely impute impotency to a man.
In addition, commentators have suggested that false imputa-
tion of deviant sexual behavior might fall within this category.
3. Where it is not clear whether a defamatory message is libel or slander,
factors to distinguish the two include:
a. the permanence of the form;
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F. Damages
1. Three different types of damages are potentially recoverable for defama-
tion. In some situations, the need for actual proof of damages is affected by
the type of defamation involved.
a. Pecuniary damages are quantifiable monetary losses suffered by
the plaintiff due to the injury to his reputation. Examples include loss
of customers, loss of a job, or other diminishment of economic advan-
tage. The plaintiff must present evidence of specific actual monetary
losses in order to recover pecuniary damages.
(1) Proof of pecuniary damages is necessary to establish a prima
facie case if the form of defamation is slander and, in some
states, if it is libel per quod. Once pecuniary damages are estab-
lished, presumed damages are also available.
b. In certain circumstances, the jury is permitted to presume that plaintiff
suffered general damages as a result of the defendant’s defamatory
statement. These include nonpecuniary aspects of the injury to reputa-
tion, such as humiliation, loss of friends, etc. The jury is instructed to
estimate the amount of presumed damages based upon the extent of
injury to the plaintiff’s reputation.
(1) It is “presumed” that the plaintiff suffered general damages, and thus
no proof of actual damage need be offered, when the form of defa-
mation is slander per se or “ordinary” libel (i.e., not libel per quod).
c. Damages that are assessed against the defendant to punish and deter
future wrongful conduct are called punitive damages. The plaintiff
must make some additional evidentiary showing of vexatiousness or
evil intent (i.e., common law malice) to recover punitive damages.
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H. Constitutional Issues
1. Decisions interpreting the Free Speech Clause of the First Amendment
have altered the common law of defamation with regard to:
a. the degree of fault required of a defendant;
(1) At common law, defamation was a strict liability offense, in the sense
that the plaintiff need only establish that the defamatory statement
was made in order to recover (all other elements being present), not
that defendant had any particular mental state or degree of fault.
b. the nature of the plaintiff;
(1) Where a plaintiff is a public official or a public figure, the plaintiff must
establish that the defendant acted with “malice” before any recovery
may be had [New York Times v. Sullivan, 376 U.S. 254 (1964)].
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(a) in any case where the plaintiff establishes that the defendant
acted with malice; and
(b) where the common law still applies—that is, where a private
plaintiff sues for defamation as to a matter not of public concern.
(2) Where negligence is the applicable degree of fault required by
constitutional principles and the plaintiff does not show malice,
the plaintiff may only recover actual damages.
(3) Actual damages are broader and more inclusive than the
common law pecuniary damages, and include all injuries to the
plaintiff’s reputation. They need not be supported by evidence of
quantifiable monetary losses, but there must be introduction of
some evidence as proof.
(4) The U.S. Supreme Court has held that speech such as parodies,
cartoons, and other satirical utterances cannot be actionable as
an intentional infliction of emotional distress unless they contain
false statements of fact made with malice.
e. the media status of the defendant.
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F. Constitutional Principles
1. Where a plaintiff is portrayed in a false light as to a matter of public interest,
the plaintiff must prove that the defendant had acted with malice—knowl-
edge of falsity or reckless disregard for truth or falsity—in order to recover.
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A. Malicious Prosecution
1. Malicious prosecution is the institution of criminal proceedings by a
defendant, done for an improper purpose and without probable cause, that
terminate favorably for the plaintiff and cause the plaintiff damages.
a. The wrongful conduct is the taking of action that results in the
commencement of the criminal prosecution of the plaintiff. Such
actions include persuading a prosecutor to bring charges against a
plaintiff, signing an affidavit for a warrant, or giving false information to
the authorities with knowledge of its falsity. It does not constitute mali-
cious prosecution to give information to authorities while relying upon
their discretion as to whether to prosecute.
b. The defendant must act for a primary purpose other than to bring a guilty
person to justice. That there was no probable cause supporting the initia-
tion of proceedings is evidence that the defendant’s purpose was improper.
c. The defendant lacks probable cause for initiation of criminal proceed-
ings when either:
(1) a reasonable person possessing the same facts as the defen-
dant would not have believed that the plaintiff was guilty of the
charged offense; or
(2) defendant did not actually believe that the plaintiff was guilty.
EXAMPLE: Dahlia is still angry with her former boyfriend, Preston.
Dahlia contacts the police and has Preston arrested on suspicion
of being a terrorist. Preston is not a terrorist, and Dahlia knows this
fact. A judge eventually dismisses the case. Preston will have a
cause of action against Dahlia for malicious prosecution.
d. A grand jury indictment returned against a plaintiff after the defendant’s
action or a magistrate holding the plaintiff to answer after a prelimi-
nary hearing are prima facie evidence that probable cause existed
to believe the plaintiff was guilty. A plaintiff’s conviction on criminal
charges is conclusive evidence of probable cause, even if the convic-
tion is subsequently reversed on appeal.
e. An attorney’s advice to the defendant to institute criminal proceed-
ings conclusively establishes probable cause in most jurisdictions, at
least where the defendant made a full and fair disclosure of all relevant
facts, and the attorney is competent and duly admitted to practice in
the jurisdiction or otherwise qualified to render an opinion.
f. The criminal prosecution must have terminated in a fashion indicating
that the plaintiff was innocent of the charges. Terminations on the merits
(i.e., acquittal after trial or court dismissal for lack of sufficient evidence)
are sufficient in this regard; terminations based on procedural or tech-
nical defects, prosecutorial discretion, or similar grounds are not.
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C. Abuse of Process
1. Abuse of process exists where a defendant intentionally misuses a judicial
process (whether civil or criminal) for a purpose other than that for which
the process is intended. This tort also parallels malicious prosecution.
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2. The plaintiff need not show the defendant’s lack of probable cause, as proof
of the defendant’s improper purpose serves the same function.
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B. Negligent Misrepresentation
1. The traditional rule, followed by a majority of jurisdictions, is that negligent
misrepresentations are not actionable. Many of these jurisdictions neverthe-
less allow recovery where there is arguably no intentional misrepresentation
by resorting to legal fictions that permit their courts to find intent because a
defendant’s honestly held belief in the truth of his assertion is unreasonable.
a. Many jurisdictions impose liability for negligent misrepresentation only in
certain situations where a special relationship exists between the defendant
and the plaintiff, and the nature of the defendant’s activity justifies holding
the defendant liable for a failure to exercise due care. The most widely
recognized circumstance involves a defendant in the business of supplying
information to be used by others in making economically significant deci-
sions (e.g., accountants, title abstractors, or lawyers). Such defendants
are liable if they fail to exercise due care in determining the truth or falsity
of the representations they make. The elements of this cause of action are
identical to those for fraud, with the following differences:
(1) The mental state a defendant must have for liability under negli-
gent misrepresentation is the same for negligence analysis
generally. Thus, a defendant’s representations, made in good
faith, are actionable if they are inaccurate because the defendant
failed to exercise due care.
(2) A defendant is liable for a negligent misrepresentation only to:
(a) the person to whom the misrepresentation was made; and
(b) to any other specific persons or identifiable group of persons
that the defendant knew would rely upon the misrepresentation.
1) Note the absence of foreseeability, a common negli-
gence concept; courts expanding the reach of fraud into
negligent misrepresentation sought to limit the class of
potential plaintiffs.
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reaped the advantages of the broken contract after the contracting party
has withdrawn from it.
EXAMPLE: Dani calls Jeffrey, whom she knows to be involved in a contract
with PubCo. Dani promises Jeffrey that she will go on a date with him if
he breaks the contract with PubCo. Unbeknownst to Jeffrey, Dani plans to
have her company take over Jeffrey’s business with PubCo once Jeffrey
breaks the contract. If Jeffrey does breach as a result of Dani’s bribe, Dani
will be liable for interference with a contract.
5. There have also been many decisions in which the action has been allowed
where the defendant has merely prevented the performance of a contract or
has made the performance more difficult and onerous.
EXAMPLE: Donald Defendant prevents Peter Promisor from supplying Paul
Plaintiff with goods by calling an illegal strike among his workmen. Donald
will be liable for interference with a contract.
6. Interference with a contract is almost entirely an intentional tort. Liability
has not been extended to the various forms of negligence by which perfor-
mance of a contract may be prevented or rendered more burdensome.
7. Where the damages suffered can be compensated with money, then an
action at law is appropriate.
a. If substantial loss has occurred, one line of cases tends to adopt the
contract measure of damages, limiting recovery to those damages that were
within the contemplation of the parties when the original contract was made.
b. Another line of cases, however, applies a tort measure, but limits
the damages to those which are sufficiently “proximate,” with some
analogy to the rules of negligence.
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A. Vicarious Liability
1. Vicarious liability describes liability imposed on a defendant because of his
relationship with the actual wrongdoer that directly caused injury to the plaintiff.
2. Employer-Employee (Respondeat Superior)
a. An employer is liable for injuries caused by the negligence or strict
liability of an employee if the tortious act occurred within the scope of
the employment.
(1) To determine whether the tortious acts occurred within the scope
of employment, a distinction is made based on whether the
tortious conduct was committed while the employee was on a
frolic (major deviation; outside of scope) or on a detour (small
deviation from an employer’s directions; within the scope).
EXAM TIP The more minor the deviation is in time and geographic area, the more likely it
will be only a detour, and therefore torts committed during that time will be con-
sidered within the scope of employment, making the employer vicariously liable.
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4. Indemnity
a. One of two or more defendants responsible for a plaintiff’s injuries may
in some situations cause one or more of the other defendants to satisfy
the entire amount of the plaintiff’s damages.
(1) Where one defendant is only vicariously liable for the tort of another
directly liable defendant, the first defendant may recover the entire
amount of any damages paid to the plaintiff from the second defen-
dant, who was actually responsible for the plaintiff’s injury.
EXAMPLE: A fiddler was injured by a truck driver that negligently
went through a red light while making a delivery. The fiddler sued the
truck driver as well as his employer, through respondeat superior.
The court found in favor of the fiddler and awarded him $100,000 in
damages. The fiddler recovered this amount from the truck driver’s
employer. The employer may then sue the truck driver for indemnity.
(2) In some jurisdictions, where a plaintiff has obtained and satisfied a
judgment against one defendant who is jointly liable with others, that
defendant may recover from the other defendants if their conduct
was “more wrongful” than the first defendant’s. In general, intentional
tortfeasors are viewed as “more wrongful” than negligent tortfeasors.
(a) Courts also make distinctions between “active” wrongdoing
(e.g., a manufacturer who makes a defective product) and
“passive” wrongdoing (e.g., the retailer who fails to discover
the defect), attributing “more wrongfulness” to the former.
(3) A defendant who injures a plaintiff may be liable when another
defendant subsequently injures the plaintiff and aggravates the
injuries the plaintiff suffered from the first defendant. Courts
generally permit the first defendant to obtain indemnity from the
second for the portion of additional damages imposed on the first
defendant attributable to the aggravating injury.
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