Chapter 1 Intro创新duction.pptVIP

International Business Law; On March 20, 1869, William E. Story  had promised his nephew, William E.  Story II, $5,000 if his nephew would  abstain from drinking alcohol, using  tobacco, and playing cards  or billiards for money until the nephew  reached 21 years of age. Story II  accepted the promise of his uncle and did refrain from the prohibited acts until he turned the agreed-upon age of 21. After celebrating his 21st birthday on January 31, 1875, Story II wrote to his uncle and requested the promised $5,000. ; The uncle responded to his nephew in a letter dated February 6, 1875 in which he told his nephew that he would fulfill his promise. Story I also stated that he would perfer to wait until his nephew was older before actually handing over the (then) extremely large sum of money (according to an online inflation calculator, $5000 in 1890 would be worth approximately $118,000). The elder Story also declared in his letter that the money owed to his nephew would accrue interest while he held it on his nephews behalf. The younger Story consented to his uncles wishes and agreed that the money would remain with his uncle until Story II became older. ; William E. Story I died on January 29, 1887 without having transferred any of the money owed to his nephew. Story II had meanwhile transferred the $5,000 financial interest to his wife; Story IIs wife had later transferred this financial interest to Louisa Hamer on assignment. The elder Storys estate executor refused to grant Hamer the money, believing there was no binding contract due to a lack of consideration. As a result, Hamer sued the estates executor, Franklin Sidway.;Opinion of the court; Suppose you are working in a la