Digital Commons Network^™

Future Interests-Rule Against Perpetuities-Application To Duration Of Private Trusts, R. L. Storms

Michigan Law Review

Testator devised the locus to his daughter, V, in fee. Thereafter he executed a codicil whereby the property passed to his son-in-law, in trust, to take possession of the real estate and hold it in trust for V during her life, and "in the event of the death of my daughter . . . rent the same . . . and the said rents so received . . . he shall use for the support, sustenance, education, and benefit of the children of my daughter . . . surviving her." Held: the trust the testator attempted to create …

International Law-Accidents In International Air Transportation-Limitation Of Liability, William C. Gordon S.Ed.

Michigan Law Review

Plaintiff, known professionally as Jane Froman, sought damages of one million dollars for injuries received when defendant's transatlantic plane crashed at Lisbon, Portugal. Before the flight, defendant prepared tickets for plaintiff and other passengers scheduled to entertain troops overseas and delivered them to a USO Camp Shows' employee in charge of arranging transportation for the group. Plaintiff had not expressly authorized the USO employee to receive the ticket in her behalf. She was unaware of the plane's exact destination. Held, a ticket invoking the liability limitations of the Warsaw Convention was delivered as a matter of law. Ross v. …

Taxation--Income Tax--Family Partnerships--Application Of The Tower-Lusthaus Doctrine, Earl R. Boonstra S.Ed.

Michigan Law Review

Respondent and his four sons formed a partnership in 1939. The sons contributed cattle and property purchased from respondent who accepted their notes in return. Subsequently, part of the notes were forgiven and part paid from shares of the firm proceeds. A firm bank account was opened on which all members could draw. It was planned that all the sons would render substantial services to the partnership. However, the plan was disrupted when the two eldest were called to military duty, and the two minor sons continued their education. A partnership return was filed for 1940. The Commissioner determined a …

Torts-Assumption Of Risk-Flying Pucks And The Ice Hockey Spectator, James F. Gordy S.Ed.

Michigan Law Review

Plaintiff and her husband attended an ice hockey game being sponsored by the defendant. Both testified that they knew nothing about the game. They asked for the ''best seats in the house" and were seated in the front row of an unprotected section, immediately adjacent to the ice and behind a low wooden wall. During the progress of the game, plaintiff was struck and injured by a puck driven from the ice. Defendant had furnished screened areas, which were unfilled at the time; he had prominently displayed many large placards warning of the danger of flying pucks and advising of …

Trusts-Power To Revoke Through Unrestricted Power To Amend, Alan P. Goldstein S.Ed.

Michigan Law Review

Plaintiff and defendant were the settlors and trustees of a twenty year trust created in 1945. Their wives were the beneficiaries. The settlors retained the unrestricted power to amend the trust, but reserved no power to revoke. In October, 1945 the trust was amended, giving to either trustee the power to terminate the trust at any time, upon notice to the other trustee. In 1947, plaintiff gave notice of revocation to the defendant, and when this notice was ignored, plaintiff petitioned for a decree of termination. A demurrer was sustained, and plaintiff appealed. Held, reversed. ''If the power to …

Trusts-Addition To Corpus By Will-Nature Of Bequest, Robert H. Frick

Michigan Law Review

Testator created an amendable inter vivos trust which he amended in 1938, 1940, and 1942. By a codicil to his will, executed in 1945, he left his residuary estate to the trustees of the inter vivos trust to be held according to the terms of that trust as amended. On certification from the probate court, held, the bequest to the trustees was valid, and it was not necessary for the trustees to give bond and account to the probate court as required of trustees of testamentary trusts by statute. In re York's Estate, (N. H. 1949) 65 A. …

Wills-An Exception To The Pennsylvania Mortmain Statute, Robert H. Frick

Michigan Law Review

Testatrix and her husband entered into an agreement that the survivor should devise property owned by them as tenants by the entireties to charities of the Catholic Church. Ten years later, testatrix, who had survived her husband, executed a will in accordance with the agreement, and died within thirty days thereafter. The lower court held that the bequest was not invalid under the Pennsylvania statute voiding religious or charitable bequests made within thirty days of death. On appeal, held, affirmed. Where a valid contract to make a will antedates the testator's death by more than the statutory period, the …

Busch: Law And Tactics In Jury Trials, Edson R. Sunderland

Michigan Law Review

A Review of LAW AND TACTICS IN JURY TRIALS. By Francis X. Busch.

Notes, Michigan Law Review

Michigan Law Review

The information given in the notes is derived from inspection of the books, publishers' literature, and the ordinary library sources.

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.

Corporations-Shareholders' Derivative Suits-When Demand On Shareholders Is A Prerequisite To Maintenance Of Suit, Thomas L. Waterbury S.Ed.

Michigan Law Review

A shareholder's derivative suit is an equity proceeding instituted by a shareholder on behalf of himself and all other shareholders to assert corporate rights. Both the corporation and the parties allegedly liable to the corporation are necessary parties. The question to be considered in this comment is, when must the plaintiff shareholder show that he sought redress for the corporation through collective action of the shareholders and failed to secure it? As a preliminary matter, we may ask what sort of collective action the shareholders are expected to take. A few authorities suggest that the shareholders, as a body, bring …

Constitutional Law-Due Process Of Law-Freedom From Unreasonable Search And Seizure-The Admissibility Of Illegally Seized Evidence, Bernard Goldstone S.Ed.

Michigan Law Review

Local police officers entered the private office of petitioner, a practising physician, without a warrant and seized his private books and records. As a result of the information thus obtained, petitioner was convicted of conspiracy to perform an abortion. Petitioner claimed that his constitutional rights were invaded contending that due process of law under the Fourteenth Amendment includes freedom from unreasonable search and seizure and prevents the admission of illegally seized evidence, but this was denied by the Supreme Court of Colorado and the conviction was affirmed. On certiorari to the Supreme Court of the United States, held, affirmed, …

Front Matter, Michigan Law Review

Michigan Law Review

Front Matter for Volume 48, Issue 1 of Michigan Law Review

Place Of Trial Of Civil Cases, William Wirt Blume

Michigan Law Review

Places involved in a study of place of trial may be classified in various ways. The most general classification is: (1) Places within one sovereignty, (2) Places in different sovereignties. Where there is choice of place within one sovereignty, the only rational basis for making the choice is convenience-convenience of the parties, jurors, witnesses, and of the court itself. The same is true when the choice is between courts of different sovereignties, but without cooperation between the sovereignties rational choice may not be possible. The purpose of this discussion is to compare choice of place in England before 1800 with …

Municipal Tort Liability, Allan F. Smith

Michigan Law Review

Municipal government in the United States is big business. In 1946, the 397 cities having a population of 25,000 or more spent a total of nearly 3 billion dollars for general governmental expenditures. In 1947 the total increased by 17 per cent to $3,477,000,000. Of that amount, 2½ billion were actual operational expenses for such activities as public safety, public health, sanitation, hospitals, local street and highway maintenance, and schools. Since the figures do not include the amounts expended in connection with municipal water works or municipal street railways, they lend weight to the assertion that our municipal governments are …

Administrative Terminology And The Administrative Procedure Act, Bernard Schwartz

Michigan Law Review

The confusion of terminology in our administrative law is a natural result of the manner in which that branch of law has developed. "The use of terms in administrative law exemplifies its most characteristic element-that it did not spring from a single source but has its roots in many places." The administrative process has not evolved according to a fixed plan; "thus far our Administrative Law has largely 'growed' like Topsy." With the haphazard habit characteristic of our political life, individual administrative agencies have been created as and when the need for them arose, without any logical system. The form …

Contracts-Duration Of Indefinite Employment Contracts That Specify Period Of Pay, Paul E. Anderson S.Ed.

Michigan Law Review

Normally a contract which does not express a time for performance is treated as enforceable. The courts interpret it to require that performance be completed within a reasonable time, basing their conclusion on a presumption of the intention of the parties. However, in the area of employment contracts, an exception to the reasonable time rule has developed. An indefinite contract for services is generally held to be terminable at will. The questions that come to mind are two: What is" the basis for the unique treatment of employment contracts? What are the manifestations of intent that will defeat application of …

Insurance-Liability Of Insurer For Judgment In Excess Of Policy Limits, Clinton R. Ashford S.Ed.

Michigan Law Review

A liability insurer has issued a policy, reserving the sole right to effect a settlement, and refuses to settle, within the limits of the policy, a claim against the insured. A judgment in excess of the policy limit is then recovered against the insured. These circumstances present the question whether the insurer may be liable to the insured for the amount of the judgment in excess of the policy limit.

This comment will be limited to consideration of cases involving only the above facts, and no attempt will be made to consider the liability of the insurer for failing to …

Agency-Liability Of Employer For Employee's Intentional Torts, L. W. Larson, Jr.

Michigan Law Review

Plaintiff, a spectator occupying a front seat at a hockey game, was struck and injured by one of the players who was attempting to strike an opponent. Beyond the fact that a hockey game was in progress, there was nothing to indicate the player's motive. Plaintiff recovered judgment against appellant, the corporation that employed the player who had struck her. The lower court instructed the jury that the player who had struck the plaintiff was as a matter of law acting as a servant, agent, or employee and within the scope of his employment at the time the plaintiff was …

Municipal Corporations-Zoning-Abrogation Of Private Restrictive Covenants By Zoning Regulations, Robert Dilts

Michigan Law Review

A recent New Jersey decision raises a question of current importance in view of the acute housing shortages in many metropolitan areas. Can a municipality, acting under its power to establish zoning regulations, authorize the construction of multiple-family dwellings in a particular area and simultaneously abrogate private covenants which restrict the area to single-family dwellings?

Appeal And Error-Eisler's Flight And The Case And Controversy Question, Albert B. Perlin, Jr. S.Ed.

Michigan Law Review

The United States Supreme Court granted certiorari to review a federal court conviction on a charge of contempt of Congress. Pending determination of the appeal, appellant was released on bail and, after argument on the merits but before a decision had been rendered, he wrongfully fled the country. Subsequently the Attorney General notified the Court that appellant had been apprehended in England at the request of the Secretary of State and that a court of competent jurisdiction there found that appellant was not guilty of an extraditable offense under English law. The Court of its own motion then considered the …

Bankruptcy-Corporate Reorganization-Power Of Court To Order Interim Payments While Petition Is Pending Under Chapter X Of Bankruptcy Act, William F. Snyder S.Ed.

Michigan Law Review

A petition for reorganization was filed, pursuant to Chapter X of the Chandler Act, October 3, 1947, which was adjudged on the same day to be in good faith and within the terms of the act. The corporation was clearly solvent, in the sense that its assets exceeded its liabilities, but needed financial adjustment to meet the principal on outstanding income notes due the following June. Thereafter, and before a plan was approved, the court entered an order directing the trustee of the debtor to pay 6% to the holders of the first mortgage bonds as an interim distribution to …

Constitutional Law--Commerce Clause--Due Process--State Taxation Of Interstate Barges, E. Blythe Stason, Jr.

Michigan Law Review

Action was brought to recover ad valorem taxes assessed and collected by the City of New Orleans and the State of Louisiana on plaintiff's freight ba1ges used in interstate commerce. Plaintiff was a foreign corporation, and its barges were enrolled at ports outside Louisiana but were not taxed by the state of incorporation. They moved, without a fixed schedule, on the Mississippi River. The tax was apportioned on the basis of miles travelled in Louisiana to miles travelled everywhere. Plaintiff argued that the tax violated the due process and commerce clauses of the Constitution because the vessels acquired no tax …

Constitutional Law-Equal Protection-Traffic Regulation Forbidding Advertising On Moving Vehicles, W. M. Myers S.Ed.

Michigan Law Review

A traffic regulation of the City of New York provides that "[n]o person shall operate, or cause to be operated, in or upon any street an advertising vehicle; provided that nothing herein contained shall prevent the putting of business notices upon business delivery vehicles, so long as such vehicles are engaged in the usual business or regular work of the owner and not used merely or mainly for advertising.'' Railway Express Agency, Inc., which owns and operates about 1,900 trucks in New York City, sold the space on the exteriors of these trucks for advertising unconnected with its own business. …

Corporations-Shares Of Stock-Reasonableness Of Restriction On Transfer Of Shares, E. Blythe Stason, Jr.

Michigan Law Review

Defendant corporation's by-laws provided, inter alia, that shareholders wishing to dispose of their shares must, in absence of contrary agreement with the remaining shareholders, give latter an option to buy at a price equal to book value, regardless of market value of these shares. This restriction was not set forth in the share certificates as required by statute. On refusal of defendant corporation to permit transfer of its shares except in compliance with the terms of the by-law, complainants brought suit for declaratory judgment, and obtained a finding that these terms were void. Held, affirmed. The by-law restriction violated …

Future Interests-Contingent Construction Of Remainder Gift To Charity, Charles D. Bell S.Ed.

Michigan Law Review

Testator left property in trust to use the income, and such portions of principal as might be necessary, for the support, maintenance and education of his granddaughter during her life. Upon the death of the life tenant, the trustee was directed "to pay unto the Methodist Protestant University of Kansas City, Kansas, all the unexpended principal and interest thereof, if any, to have and to hold the same forever.'' Subsequent to the testator's death in 1904, but prior to the death of the life tenant, the remainderman assigned its interest to appellant's assignor, and then went out of existence. In …

Divorce-Separation For Statutory Period As A Ground Of Divorce Regardless Of Fault, William R. Hewitt S.Ed.

Michigan Law Review

H sued W for a divorce on the statutory grounds that the parties had lived apart without cohabitation for ten years. The facts showed that the separation was caused by the willful abandonment of W by H and that H had lived in adultery after the separation and had not contributed to W's support since the separation. The trial court denied the divorce. On appeal, held, reversed. Where H and W have lived apart for the statutory period without cohabitation, H was entitled to the divorce regardless of the cause of the original separation and regardless of his …

Negligence-Taking The Issue Of Negligence From The Jury In Public Utility Cases, Charles D. Bell S.Ed.

Michigan Law Review

After boarding a trolley owned and operated by defendant, plaintiff-dropped her return slip. Holding a package in one hand, she stooped to pick up the slip. Plaintiff testified that although defendant's operator saw her in this position, he started the trolley with a "very fast jerk" which threw plaintiff to the floor and caused certain injuries. At the conclusion of plaintiff's evidence, which consisted of her uncorroborated testimony, the trial court directed a verdict for defendant. On appeal, held, affirmed. Przborowski v. Baltimore Transit Co., (Md. 1948) 59 A. (2d) 687.

Taxation-Federal Income Tax-Taxability To Nonresident Alien Of Lump Sum Payments For Copyright, Myron J. Nadler S.Ed.

Michigan Law Review

Taxpayer, a nonresident alien author not engaged in trade or business within the United States, delivered certain literary works to American publishers under agreement whereby the latter were to copyright and publish these stories and reassign to the taxpayer after publication all rights except the American serial rights. Lump sum payments for each story were received during the years 1938 and 1941. No tax was paid on these amounts and a deficiency was assessed on the ground that they constituted royalties received for the use of United States copyrights and were taxable as ordinary income. The circuit court of appeals …

Wills-Advancements-Joint Bank Deposit As Advancement To Child, James F. Gordy S.Ed.

Michigan Law Review

Decedent opened a joint bank account in the name of himself and his daughter. Only two deposits were made, both by him, and solely from his funds. Decedent died intestate before any withdrawals had been made. The administratrix of his estate contended that the funds remaining in the joint bank account constituted an advancement to the daughter, and sought to have them brought into hotchpot in determining the distributive shares of the other heirs. A Colorado statute provided, inter alia, that when such a joint deposit is made, it may be paid to any one· of the joint depositors whether …