Law Commons^™

Contracts - Consideration - Employer's Pension Plan

Michigan Law Review

The defendant corporation established a private pension system "for the purpose of promoting the welfare of the officers and employees" of the institution, and to "encourage long and faithful service." The terms and conditions of the system were distributed to all employees. They provided in substance, that all officers and employees who had attained the age of 65 years and who had served the institution honorably for twenty years would be entitled to a pension the amount of which was to be calculated by past salary and the number of years of service. The plaintiff was retired on a pension …