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Michigan Law Review

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Contracts - Rescission Of Contract To Rescind Apr 1931

Contracts - Rescission Of Contract To Rescind

Michigan Law Review

The parties entered into an installment contract for sale of meal of a certain quality. Provision was made for arbitration of disputes arising under the agreement. After several deliveries, the vendor consented to cancellation of the remainder of the contract upon the buyer's agreeing to pay £782 at four specified dates. This agreement was made under mutual mistake as to the defective quality of the goods, which would have justified repudiation of the contract. Before the adulteration was discovered, the seller had paid £500 for a release from a supply contract with a third person and the buyer had paid …


Corporations--Cumulative Preferred Stock-Effect Of By-Laws Apr 1931

Corporations--Cumulative Preferred Stock-Effect Of By-Laws

Michigan Law Review

An action was brought by preferred stockholders, during voluntary liquidation of a corporation, for payment of dividends, alleged to be cumulative, which had been passed on account of deficits during the two preceding years. The statutory provision giving the power to issue stock required the articles of incorporation to indicate, when any of the stock was preferred, whether or not the dividends should be cumulative. The articles stipulated that the preferred stock should be entitled to a six per cent dividend out of the net yearly income before any dividend should be paid on the common stock. A by-law, adopted …


Injunction-Right To Labor As Property-Clayton Act Apr 1931

Injunction-Right To Labor As Property-Clayton Act

Michigan Law Review

The Texas & New Orleans R R engaged in promoting the organization of an association among its clerical employees in the nature of a company union. Its purpose was to secure control over the selection of representatives by the employees in the board of mediation provided for by the Railway Labor Act of 1926 (U. S. C. tit. 45, c. 8, par. 152). The Brotherhood of Railway Clerks sought an injunction against such interference on the ground that the Railway Labor Act prohibited "interference, influence, or coercion exercised by either party over the self-organization or designation of representatives by the …


Process--Privilige Of Nonresident Attorney Apr 1931

Process--Privilige Of Nonresident Attorney

Michigan Law Review

The defendant, an attorney at law and resident of Minnesota, came into Wisconsin to take depositions to be used in suits pending in Minnesota. Upon arrival he and the witnesses were served with an injunction restraining the taking of the depositions. While awaiting a hearing upon the injunction, in which he intended to appear in his own behalf and as attorney for the witnesses, personal service of a Wisconsin summons in the instant action was made upon him, naming as defendants himself and the law firm of which he was a member. A motion to set aside the service of …


Nuisance-Effect Of Failure To Do Everything Practicable To Prevent Apr 1931

Nuisance-Effect Of Failure To Do Everything Practicable To Prevent

Michigan Law Review

The defendant's galvanizing plant emitted noxious fumes, causing a noticeable odor on the premises of the plaintiff. Held, the defendant was maintaining a nuisance. Its failure to do everything "commercially practicable" to prevent the condition was an important factor in determining whether or not a nuisance existed. De Blois v. Bowers, 44 F.(2d) 621.


Prohibition-Against Enforcement Of Order To Produce Documents-Availability Of Other Appellate Relief Apr 1931

Prohibition-Against Enforcement Of Order To Produce Documents-Availability Of Other Appellate Relief

Michigan Law Review

Application was made to the circuit court of appeals for a writ of prohibition against a district judge to restrain him from compelling petitioner to allow an inspection of his ledger. Held, that although in the opinion of the court the order had been entered improperly, the circuit court of appeals had no jurisdiction to issue a writ of prohibition against enforcement of the order. Keaton v. Kennamer (C. C. A. 10th, 1930) 42 F.(2d) 814.


Trusts--Exercise Of A Power With Consent Of Trustee-Retroactive Federal Inheritance Tax Apr 1931

Trusts--Exercise Of A Power With Consent Of Trustee-Retroactive Federal Inheritance Tax

Michigan Law Review

A trust, established in 1908, reserved a power to the settlor to alter or amend the provisions of the trust, conditioned on the assent of the trustee. 26 U. S. C. A. sec. 1094 (d), Rev. Act (1926) sec. 302 (d), which applied to trusts subject at the date of death to any change through the exercise of a power either by the decedent alone or in conjunction with any person, to alter, amend or revoke, was made retroactive by clause (h) of the same section. Held, since the transfer was complete before the death of the settler, section …


Review: Saving Taxes In Drafting Wills And Trusts, E. B. Stason Apr 1931

Review: Saving Taxes In Drafting Wills And Trusts, E. B. Stason

Michigan Law Review

A Review of: SAVING TAXES IN DRAFTING WILLS AND TRUSTS By Joseph J. Robinson.


Bills And Notes-Payee As Holder In Due Course Apr 1931

Bills And Notes-Payee As Holder In Due Course

Michigan Law Review

In an action by the payee against the insane accommodation maker of a promissory note, the court held that the payee is presumed to be a holder in due course. F. S. Royster Guano Co. v. Sherman (N. J. 1930) 151 Atl. 382.


Sales-Absolute Warranty Of Purity Of Food--"Liability Without Fault" Apr 1931

Sales-Absolute Warranty Of Purity Of Food--"Liability Without Fault"

Michigan Law Review

The plaintiff bought a bottle of Coca-Cola from a retailer; it was opened in his presence and he drank it at once. The bottle contained decomposed parts of a mouse or rat, and the plaintiff became violently ill after drinking the Coca-Cola. In an action against the manufacturer, held, that there was an absolute warranty of fitness for human consumption, and that the manufacturer was liable for the results of any impurities, regardless of whether or not he was negligent. Coca-Cola Bottling Works v. Simpson (Miss. 1930) 130 So. 479.


Trusts-Resulting-Conveyance To Voluntary Grantee To Defraud Creditors Apr 1931

Trusts-Resulting-Conveyance To Voluntary Grantee To Defraud Creditors

Michigan Law Review

The plaintiff and the defendant, husband and wife, were tenants by the entireties in certain real estate. Fearing an action by a supposed creditor against the husband, they conveyed without consideration to a third person who subsequently conveyed to the wife. This was done on the advice of counsel. There was an oral understanding between the plaintiff and the defendant at the time of this conveyance that the husband's interest should be reconveyed in the same roundabout manner after any danger of suit had passed. Due to wise investments on the part of the wife this property became very valuable. …


Wills-Gifts To Named Beneficiaries And To A Class-Per Stirpes Or Per Capita Apr 1931

Wills-Gifts To Named Beneficiaries And To A Class-Per Stirpes Or Per Capita

Michigan Law Review

Action by an executor for the construction of a will in which the testator had given a gift to certain of his children, naming them, and to two sets of grandchildren one of which was the offspring of a child, deceased at the time of the execution of the will. The gift provided that they were to participate "share and share alike." In two subsequent clauses of the will the testator provided for trustees to take care of the "portion" left to the grandchildren. The court held, that a sufficient intent was shown so as to justify a distribution …


Review: International Law, H. Arthur Steiner Apr 1931

Review: International Law, H. Arthur Steiner

Michigan Law Review

A Review of : INTERNATIONAL LAW By Ellery C. Stowell.


Review: Cases On Constitutional Law, Thomas C. Lavery Apr 1931

Review: Cases On Constitutional Law, Thomas C. Lavery

Michigan Law Review

A Review of: CASES ON CONSTITUTIONAL LAW By Dudley O. McGovney.


Book Reviews Apr 1931

Book Reviews

Michigan Law Review

Six brief book reviews of various law topics.


Conflict Of Laws - Statute Of Limitations - Applicability Apr 1931

Conflict Of Laws - Statute Of Limitations - Applicability

Michigan Law Review

Goods, shipped from France on a vessel of the French line, were damaged by seawater. The bills of lading were issued in France, containing a clause that litigation or disputes arising from their interpretation or execution should be judged according to French law. When the holders of the bills libeled the French line, they were met with the defense that the French Code allowed suit on such claims only if within one year after the ship arrived, which period had passed. Section 433 of the French Commercial Code, to the effect that such claims were barred by a one-year prescription …


Sales-Rescission For Breach Of Warranty-Use Or Payment After Knowledge Of Defects Apr 1931

Sales-Rescission For Breach Of Warranty-Use Or Payment After Knowledge Of Defects

Michigan Law Review

In February, plaintiff sold defendant a cement mixer with, as defendant claimed, an express warranty. It did not work properly, and attempts were made by both parties to put it in order. Plaintiff refused to aid further, but defendant claimed that plaintiff earnestly requested him to make a further trial. In June, defendant made a payment. In September, he gave up attempts to make the machine work and notified plaintiff to take it back. Plaintiff sued for the balance of the price. Held, by defendant's version of the facts he had at one time a right to rescind. It …


Front Matter, Michigan Law Review Mar 1931

Front Matter, Michigan Law Review

Michigan Law Review

Front Matter for Volume 29, Issue 5 of Michigan Law Review


Adverse Possession-Interests Thereby Created And Extinguished Mar 1931

Adverse Possession-Interests Thereby Created And Extinguished

Michigan Law Review

One F., the owner of premises, executed a lease thereof to T. from year to year. A. took possession under T. as a tenant at will, and remained for more than the period of the statute of limitations. (Under the applicable statute the possession of a tenant at will becomes adverse after the first year.) F. then died and the land was sold by the executors to T. Upon T's death, plaintiff, his successor in interest, brought action to recover possession from the widow of A. who had recently died. The defendant claimed that since she was entitled to notice …


Bailment-Fungible Goods-Conversion Mar 1931

Bailment-Fungible Goods-Conversion

Michigan Law Review

Defendant conducted a grain elevator business, storing grains of like quality in one common bin. During a period of several months, the total grain on hand in the elevator was insufficient to meet all outstanding storage receipts. Previous to the plaintiff's demand, the defendant acquired sufficient grain to meet all outstanding claims. Held, the conversion was "cured." State ex rel. Hermann v. Farmers' Elevator Co. et al. ("N.D. 1930) 231 N.W. 725.


Constitutional Law-Due Process-Reasonableness Of Police Regulation Mar 1931

Constitutional Law-Due Process-Reasonableness Of Police Regulation

Michigan Law Review

The New York Agriculture and Markets Law, (Cons. Law, c. 69), sec. 252, 253, required an annual license of all persons or corporations gathering milk from producers for manufacture or resale. This was to be issued only upon execution of a bond for at least $2,000, conditioned upon the compliance with this law and the prompt payment to producers for milk or cream bought by the gatherer. The commission, however, could by formal order relieve the gatherer from having to file this bond if satisfied as to the gather's solvency and probable ability to pay for milk purchased. In case …


Contempt-Punishment Of One Not A Party To An Injunction Mar 1931

Contempt-Punishment Of One Not A Party To An Injunction

Michigan Law Review

The plaintiff sued A and B for infringement of patent rights. The suit was dismissed as to A and B testified that the business was solely his. A decree was then entered against B, "his agents, employees, associates and confederates * * *," which enjoined them from "infringing, or aiding or abetting, or in any way contributing to the infringement * * *" of the patents. When the decree was entered, A was an employee of B, but subsequently A left B's employ, began his own business, and infringed the patent. The plaintiff began contempt proceedings against A in the …


Corporations-Tax Upon Extension Or Renewal Of Corporate Term Mar 1931

Corporations-Tax Upon Extension Or Renewal Of Corporate Term

Michigan Law Review

Plaintiff, its period of corporate existence expiring in May, 1929, proceeded to extend its life, as provided by law, for another 30 years. The general corporation statute required a corporation, upon filing its annual report, to pay a privilege fee for exercising its franchises. It provided, however, that if the corporation was organized in the instant year between January 1 and August 31, it need pay only a filing fee and a privilege fee of ten dollars. By amendment in 1929, it was declared that a corporation seeking extension of corporate existence "should be regarded as a new corporation for …


Master And Servant-Liability For Acts Of Apparent Agent Or Servant Mar 1931

Master And Servant-Liability For Acts Of Apparent Agent Or Servant

Michigan Law Review

Plaintiff received bums as a result of the negligence of the operator of a beauty parlor located in defendant's department store. The operations of the beauty parlor were advertised over the name of the defendant, and the shop was, to all appearances, a part of the defendant's store; defendant claimed, however, that the beauty shop was operated by an independent owner. Held, that the plaintiff had a right to rely on the defendant's representations that the shop was one of its departments, hence, that a verdict for the plaintiff should not be disturbed. Fields' Inc. v. Evans (Ohio App. …


Negligence-Spread Of Fire-"New York Rule." Mar 1931

Negligence-Spread Of Fire-"New York Rule."

Michigan Law Review

The properties of plaintiff and defendant were separated by a city street. While filling a gasoline tank on his premises defendant allowed the tank to overflow, the escaping gasoline ignited, the fire spread to a warehouse on defendant's property and thence, across the street, to plaintiff's buildings. Held, that the negligence of the defendant was the proximate cause of the injury to the plaintiff, within the so-called "New York Rule" of limited liability in such cases, inasmuch as the titles of the two parties ran to the center of the street. Homac Corporation v. Sun Oil Co., 244 …


Perpetuities-Payment Of Corpus When Youngest Grandchild Reaches 25-Vested Or Contingent Mar 1931

Perpetuities-Payment Of Corpus When Youngest Grandchild Reaches 25-Vested Or Contingent

Michigan Law Review

T devised all real and personal property to wife and daughter with right to use income for life; portion remaining on their death in trust until youngest grandchild should reach 25, when any than living should receive the corpus; in default of such residue, to pass to others named. There was one grandchild living at T's death. Held, no violation of the rule against perpetuities, for grandchildren would take vested remainders. Endsley v. Hagey (Pa. 1930) 151 Atl. 799.


Public Utilities-Valuation-The Rate Base Mar 1931

Public Utilities-Valuation-The Rate Base

Michigan Law Review

The Board of Public Utility Commissioners of New Jersey appealed from a decree entered in the district court enjoining the enforcement of their order regulating the rates of the Elizabethtown Water Co. The district court found that, upon its own determination as to valuation, the rates prescribed were confiscatory and violative of the due process clause of the Fourteenth Amendment. Held, the basis of valuation in determining the rate base is present value. After reviewing the evidence, the court was of the opinion that the utility's evidence as to valuation was the more satisfactory, and that. the rates prescribed …


Trusts-Gift Direct To Unincorporated Society-Charities Mar 1931

Trusts-Gift Direct To Unincorporated Society-Charities

Michigan Law Review

In a suit by the personal representative of testator to determine who, if anyone, took under a gift in the will of testator's entire property to the Roman Catholic Church, for the use thereof, the court held that it was a good charitable gift to the "institution which ministers religion and gives spiritual · edification to members of the Roman Catholic Church, for those purposes." In re Schoales, [1930] 2 Ch. 75.


Review: The Public And Its Government. By Professor Felix Frankfurter, Forrest Revere Black Mar 1931

Review: The Public And Its Government. By Professor Felix Frankfurter, Forrest Revere Black

Michigan Law Review

A Review of THE PUBLIC AND ITS GOVERNMENT By Professor Felix Frankfurter.


Review: The Law Of Insanity. By George A. Smoot, Arthur Evans Wood Mar 1931

Review: The Law Of Insanity. By George A. Smoot, Arthur Evans Wood

Michigan Law Review

A Review of THE LAW OF INSANITY. By George A. Smoot