Digital Commons Network^™

Vanderbilt: The Challenge Of Law Reform, Glenn R. Winters

Michigan Law Review

A Review of The Challenge of Law Reform. By Arthur T. Vanderbilt.

Creation Of Joint Rights Between Husband And Wife In Personal Property: I, R. Bruce Townsend

Michigan Law Review

Joint ownership of personal property in recent years has become a common practice--one to which husband and wife are especially addicted. The topic is worthy of more than academic concern as demonstrated by the public use of joint titles in the acquisition of all kinds of personal assets, particularly investment securities. A casual conversation with almost any banker would disclose that a very high percentage of accounts owned by married people are held jointly with their spouses. The current popularity of dual ownership, for example, is reflected in the marketing policy of the United States Treasury in the sale of …

Church, State, And Freedom: A Review, Paul G. Kauper

Michigan Law Review

The Supreme Court's opinion in the Everson case declaring that the separation-of-church-and-state limitation derived from the First Amendment was equally applicable to the states via the Fourteenth Amendment opened up new vistas on the church-state problems in this country. Opponents of released time programs were quick to seize the opening thus afforded as evidenced by the litigation in the McCollum and Zorach cases. And even before the Everson case reached it, the Supreme Court, thanks almost entirely to the efforts of Jehovah's Witnesses, had been engaged at length with the task of defining the dimensions of religious freedom as secured …

Two-Contract Analysis May Imperil Stock Option Plans, James F. Ward

Michigan Law Review

Stock option plans generally have withstood judicial scrutiny where they have complied with the requirements developed to control the operation of this type of arrangement. It would seem, therefore, that the future of stock options is secure against even the most critical court review-that nothing in the nature of the stock option arrangement would render it vulnerable to a general attack. The writer believes that complacency in this assumption is not now advisable. Recently a view (from a respectable authority) has been introduced unnoticed into this area, and may have gained the acceptance accorded to an unsuspected imposter. This view, …

Legal History-Joseph Story's Anonymous Law Article, John C. Hogan

Michigan Law Review

The first edition of the Encyclopedia Americana (1829-1833) contains numerous articles on a wide variety of legal subjects, including such topics as Common Law, Jury, Equity, etc. The identity of the author of these articles is not disclosed. There is an occasional footnote, however, which declares: "this article prepared by an eminent American jurist." This suggested the possibility of a lively and interesting manhunt--a search for the "eminent American jurist" who agreed to submit articles on law for the Encyclopedia, but who preferred to remain anonymous.

Contracts - Consideration- Requirement Of Consideration For Modification Of A Contract, David Macdonald

Michigan Law Review

Landlord leased space to tenant in a building which was to be erected. The agreement and subsequent modifications pro- . vided that the landlord should pay the broker's commission and architect's fees, and have the power to cancel the lease prior to a specified time. The litigation arose over another attempted modification in the form of a letter from the tenant in which the tenant promised to indemnify the landlord for the broker's commission and architect's fees if the landlord should cancel the lease as it had the power to do under the agreement. In compliance with the tenant's request, …

Federal Procedure-Venue-Use Of State Nonresident Motorist Statute To Imply Waive, Raymond R. Trombadore S.Ed.

Michigan Law Review

An Illinois corporation brought suit based on diversity of citizenship in a United States district court in Kentucky against a resident of Indiana, alleging a cause of action arising from a collision which occurred on a Kentucky highway. Plaintiff secured personal jurisdiction over defendant by serving process upon the Secretary of State of Kentucky who in tum gave notice to the defendant in accordance with the Kentucky nonresident motorist statute. Defendant entered a special appearance and moved that the case be dismissed on the ground of improper venue. The motion was overruled and the Court of Appeals for the Sixth …

Constitutional Law-Due Process-Search And Seizure-Use In State Courts Of Evidence Obtained Illegally, Howard N. Thiele, Jr.

Michigan Law Review

Petitioner was convicted of bookmaking under the anti-gambling laws of California by the use of evidence obtained through unreasonable search and seizure and through disclosures petitioner made when purchasing a federal wagering tax stamp. While petitioner and his wife were away, police concealed a microphone in the hall of his home, later moving it to the bedroom and finally to a bedroom closet. The instrument was connected to a receiver in a neighboring garage where other officers monitored all conversations for more than a month. Petitioner exhausted all state remedies in his attempt to have the evidence so obtained declared …

Labor Law-Back Pay Awards-Duty Of Discharged Employee To Seek Other Employment, Howard A. Cole S.Ed.

Michigan Law Review

The National Labor Relations Board issued a back pay order in favor of the victim of a discriminatory discharge, computing the award on the basis of the earnings of the dischargee's replacement during the period of discrimination less the amount actually earned by the dischargee in other employment during the same period. The dischargee had registered with the state unemployment agency but had earned only $294.20 over a two-year period. On petition for enforcement of the order, held, order set aside and case remanded. Where a dischargee earns only a small amount of money over a long period of …

Taxation-Federal Income Tax-Automobile Received As Prize In Sales Agency Drawing Not Income, Arthur M. Wisehart S.Ed.

Michigan Law Review

An automobile agency, as a means of publicizing its new models, advertised that it would give a new car to one of the persons visiting its showroom on a certain day. When plaintiff visited the showroom on the day specified, an employee of the agency took her name, wrote it on a slip of paper, and deposited it in a barrel. Plaintiff's name was drawn from the barrel and she received the automobile. Plaintiff did not include the value of the prize in computing her gross income for tax purposes, and a deficiency was assessed against her. Unsuccessful in her …

Monthly Periodical Index, Michigan Law Review

Michigan Law Review

This department lists the articles and comments which appear in leading law reviews. The index embraces material published since the last issue of this REVIEW.

Constitutional Law-Equal Protection-Racial Restrictive Covenant In Deed Of Cemetery Lot As Defense To Damage Action, Lawrence N. Ravick

Michigan Law Review

Plaintiff brought a damage action against a private cemetery for its refusal to permit the interment of her Indian husband in a burial lot which she had purchased from the defendant cemetery under a contract restricting burial privileges to members of the Caucasian race. Held, reliance upon a restrictive covenant to deny recovery does not constitute state action in violation of the equal protection clause of the Fourteenth Amendment of the Federal Constitution. Rice v. Sioux City Memorial Park Cemetery, (Iowa 1953) 60 N.W. (2d) 110.

Municipal Corporations-Zoning-Validity Of Ordinances Excluding Residences From Industrial Areas, Judson M. Werbelow S.Ed.

Michigan Law Review

Plaintiff purchased undeveloped land located in defendant municipality, intending to construct dwelling houses thereon. At the time of plaintiff's purchase, the land was zoned for industrial use, but the applicable ordinance did permit use of the land for residential as well as industrial purposes. Defendant municipality, a town of about 9,000 persons, had experienced a minimum of industrial growth and the possibility of future industrial development was slight. Shortly after the plaintiff had made his purchase, defendant municipality amended the applicable zoning ordinance to prohibit the use of plaintiff's land for residential purposes. However, the ordinance did permit the presence …

Real Property-Recording--Latent Defect In Acknowledgment Of Deed, Eugene Alkema

Michigan Law Review

In 1947 A executed a deed to B, which was recorded in July 1951. On May 7, 1951 A executed a deed of the same property to C, who did not record. C's deed bore a certificate of acknowledgment, but in fact the acknowledgment was taken by telephone and not in person as required by law to make it eligible for record. On May 9, 1951 C conveyed to D, who recorded both conveyances in his chain of title on May 26, 1951. In an action by B to quiet title, held, for B. Since …

Bontecou: The Federal Loyalty-Security Program, Theodore J. St. Antoine S.Ed.

Michigan Law Review

A Review of THE FEDERAL LOYALTY-SECURITY PROGRAM. By Eleanor Bontecou.

Constitutional Law - Equal Protection - Determinable Fee As Devise To Impose Racial Restrictions On Use Of Land, Charles B. Renfrew S.Ed.

Michigan Law Review

Land was conveyed by deed to the Park and Recreation Commission, a municipal corporation. The grant was in the nature of a determinable fee, with the land to revert to the grantor if it was ever used by members of any race other than the white race. Members of the colored race petitioned the Park and Recreation Commission for permission to use the recreational facilities erected on the land conveyed and the commission then sought a declaratory judgment as to the legal effect of the possibility of reverter contained in the deed, joining the petitioners and the grantors of the …

Patent Office Performance In Perspective, George E. Frost

Michigan Law Review

" the only patent that is valid is one which this Court has not been able to get its hands on."

Justice Jackson's note of despair reflects all too accurately the treatment patents have seemingly received in the hands of the courts since the "new trend" of recent years. It has become the legal fashion to characterize letters patent as something the Patent Office issues and the courts strike down. Statistical support for this conclusion can be readily assembled.

Securities - Effect Of Certificate Of Title Acts Of Sales On Encumberd Vehicles To Purchasers In Ordinary Course, Charles G. Williamson, Jr. S.Ed.

Michigan Law Review

The primary purpose of this comment will be to examine the various legislative schemes in use and the bearing of the certificate of title acts on the case of mortgagee v. purchaser in ordinary course.

Conflict Of Laws - Brokerage Contracts - Out-Of-State Broker Denied Commission Because Of Isolated Acts Within Forum, Richard J. Riordan S.Ed.

Michigan Law Review

Plaintiff was a Massachusetts real estate broker, not licensed to do business in New York. Defendants, who resided in New York, owned real estate in Massachusetts and executed a brokerage contract there with the plaintiff. The real estate was leased to a Massachusetts corporation through plaintiff's efforts. All of plaintiff's services, with the exception of several important conferences in New York, were performed in Massachusetts. On plaintiff's suit for unpaid commissions, held, for defendant. The New York brokerage laws prohibit recovery in a New York court by brokers, unlicensed in New York, who perform any brokerage services within the …

Constitutional Law - Civil Rights Acts - Civil Liability Of State Officials Acting Withing Their Discretionary Powers, Charles B. Renfrew S.Ed.

Michigan Law Review

Plaintiff was adjudged mentally ill by a county probate judge and ordered committed to a state mental hospital in November 1950. The commitment was made pursuant to a petition made out by the county deputy sheriff on the recommendation of a local attorney. In August of 1952, plaintiff was released from the state mental hospital. He then filed an action in the county circuit court to test the validity of his commitment. The circuit court found that the commitment was void, because of a failure by the authorities to comply with the applicable statutory requirements, and granted a permanent injunction …

Corporations - Political Activities - Interpretation Of Statute Prohibiting Political Contributions By Corporation, George Kircos

Michigan Law Review

Defendant corporation, organized to promote the recall of Senator Joseph R. McCarthy, was charged with violating section 346.12 of the Wisconsin statutes, which prohibits corporations doing business in Wisconsin from paying or contributing any money, etc., to promote or defeat the candidacy of any person for nomination, appointment, or election to any political office. The trial court entered a forfeiture judgment against the defendant. On appeal, held, reversed. The statutory phrase "doing business" was intended to limit the scope of the prohibition to corporations organized for profit. Corporations, such as the defendant, organized solely for political purposes are not …

Corporations - Shareholders - Use Of Corporate Funds For Proxy Contest Expenses, Julius B. Poppinga S.Ed.

Michigan Law Review

Following a proxy contest in which the insurgent faction of stockholders was successful, the new board of directors paid out $28,000 to members of the old board to cover expenses incurred by them, and also used $127,000 to reimburse the prevailing group. The latter expenditure was approved by a sixteen-to-one majority vote of the stockholders. Plaintiff brought a derivative action seeking restoration of both amounts. The trial court dismissed the complaint, and the appellate division affirmed this judgment. On appeal to the New York Court of Appeals, held, affirmed, three judges dissenting. Corporate directors may make reasonable expenditures in …

Regulation Of Business - Fair Trade Acts - Availability Of Injunction Against Nonsigner's Inducing Breach Of Fair Trade Agreement, William R. Jentes S.Ed.

Michigan Law Review

Plaintiff manufacturer had extensive agreements with its distributors under the Michigan Fair Trade Act. The circuit court enjoined the defendant, who was not a party to any of these contracts, from inducing the plaintiff's distributors to sell products to the defendant below the agreed fair trade price. On appeal, held, reversed, three justices dissenting. Defendant is privileged to induce the breach of a fair trade agreement which restricts his business opportunities and is contrary to the state's policy against the enforcement of the nonsigner provision of its fair trade law. Argus Cameras, Inc. v. Hall of Distributors, Inc., …

Taxation - Federal Income Tax - Treatment Of Gains From Commodity Futures Transactions Of Manufacturing Consumer, Neil Flanagin S.Ed.

Michigan Law Review

Taxpayer, a manufacturer of products made from corn, purchased and sold corn futures contracts as a part of its regular buying program in order to protect itself against a possible shortage of raw materials. Taxpayer contended that the gains realized on these transactions should receive capital asset treatment. The Tax Court and the court of appeals held that the gains constituted ordinary income. On appeal, held, affirmed. The transactions, though not true hedges, were entered into for business purposes and as an integral part of taxpayer's operations. Consequently, they should be treated the same as hedges, and the gains …

Corwin: The "Higher Law" Background Of American Constitutional Law, Charles M. Whelan S.J.

Michigan Law Review

A Review of The "Higher Law" Background of American Constitutional Law. By Edward S. Corwin.

Periodical Index, Michigan Law Review

Michigan Law Review

This index includes articles, comments and some of the longer notes which have appeared in leading law reviews since the publication of the last issue of this Review.

Family Responsibilty Under The American Poor Laws: Ii, Daniel R. Mandelker

Michigan Law Review

No substantive statutory provision fulfills the purpose for which it was enacted unless fair and efficient procedures are provided for its enforcement. Under the Elizabethan family responsibility law, enforcement was confined to the parish justices of the peace, who at that time exercised both administrative and judicial functions. The blending of administrative and judicial functions no longer being the rule in American local government, practically all of the American family responsibility statutes provide for some judicial procedure by which the support duty may be enforced. The basic issue with which the courts have been concerned in applying these statutory remedies …

Incidents Of The Government-Servant Relationship, Ivor L.M. Richardson

Michigan Law Review

The procedures developed in the past five years to meet the threat of communist infiltration into public employment have focused attention on the position of persons working for the federal government. However, the loyalty program and the general problem of dismissal are not the only aspects of federal employment which raise important issues. Other aspects of the government-servant relationship may be of even greater importance to the civil servant in practice. For instance, what are his legal rights to his salary or to his pension if the government refuses to pay? Can he secure redress if he is suspended from …

Labor Law - Lmra - Duty Of Certified Union To Represent Bargaining Unit Fairly, Edward W. Powers S.Ed.

Michigan Law Review

Local N, composed entirely of Negroes, and Local W, composed entirely of whites, and both affiliated with the same international union, had been certified by the National Labor Relations Board as the joint bargaining representatives for the bargaining unit. Subsequent to this certification, the two locals allegedly agreed between themselves that they would be represented by one bargaining committee elected by a majority vote of the unit, and that there would be but one line of seniority in any agreement negotiated by this committee. The committee which was elected consisted solely of members of Local W. It …

The Wills Branch Of The Worthier Title Doctrine, Joseph W. Morris

Michigan Law Review

It is the purpose of this article to examine the history and origin of the wills branch of the worthier title doctrine, to ascertain the extent of its application and the manner of its application, to determine the legal consequences flowing therefrom, and to consider the desirability of its continued existence.