Fischer v. Union Trust Co.

Supreme Court of Michigan, 1904.

138 Mich. 612, 101 N.W. 852.

Dawson, pp. 210-211

 

Facts: William Fischer wrote up a deed for his property to give to his daughter, the plaintiff.  There were two mortgages against the property.  He handed the deed to the plaintiff, who was mentally “incompetent”.  Her brother gave her a dollar and told her to give it to her father.  [The daughter got the property, but the promise on the deed to pay off the mortgages wasn’t performed.  The daughter sues her father’s estate.] The trial court found for the daughter and the father’s estate appealed.

 

Issue: Was the contract enforceable?  Was the plaintiff’s consideration real?

 

Rule: In order for the [contract written on the] deed to constitute an enforceable contract, it must be accompanied by “real consideration” on the part of the person receiving the deed.

 

Analysis: The court finds that the charade of giving the plaintiff a dollar to give to her dad did not constitute real consideration.

 

Conclusion: The trial court’s verdict was reversed and a new trial was ordered.