DUE TONIGHT 12AM !
Watch this video for an overview of consideration and a great explanation of legal detriment and legal benefit. Then complete the IRAC assignment below.
This assignment is an opportunity to practice the IRAC method of case analysis. First, review the IRAC method if you need a refresher. You can find it under Course Resources.
Read the fact pattern below, then answer the questions that follow.
Hamer v. Sidway[1]
Facts: William Story wanted his nephew to grow up healthy and prosperous. In 1869, he promised the 15-year-old boy $5,000 if the lad would refrain from drinking liquor, using tobacco, swearing and playing cards or billiards for money, until his twenty-first birthday. The nephew had a legal right to do those things. The nephew agreed and kept his word. When he reached his twenty-first birthday, the nephew notified his uncle that he had honored the agreement. The uncle congratulated the young man and promised to give him the money, but said he would wait a few more years before handing over the cash, until the nephew was more mature. The uncle died and his estate refused to pay. Hamer, to whom the nephew had transferred his rights, sued. The estate argued that the nephew had given no consideration for the uncle’s promise. The trial court found for the plaintiff and the uncle’s estate appealed.
What is the issue in this case? What question does the court need to answer to resolve this case?
What is the rule of law in this case? Remember, the rule of law is the legal principle the court relies upon to resolve the issue.
Which specific element of the rule is in question in this case?
Next, read the Holding of the case below, then complete the exercise that follows.
Holding: Judgment for plaintiff affirmed. The nephew gave valid consideration by refraining from doing things he was legally entitled to do. The estate argued that there was no consideration because the nephew benefited from avoiding the proscribed actions, but the court was unpersuaded: “Courts will not ask whether the thing which forms the consideration does in fact benefit the promisee or a third party, or is of any substantial value to anyone. It is enough that something is promised, done, forborne, or suffered by the party to whom the promise is made as consideration for the promise made to him.”
Underline the text that illustrates the rule of law in this case.
Highlight the text that illustrates the court’s analysis of the case in a color of your choice.
What was the court’s conclusion in this case?
IRACStructure.docx
Using the I-R-A-C Structure for writing Legal Analysis
The IRAC method is a framework for organizing you answer to a business law essay question. The basic structure is Issue, Rule, Analysis, and Conclusion. Using this simple framework for structuring you answer will ensue that you have written a complete answer.
Issue Begin your answer by stating the issue presented by the essay question. Sometimes the question will provide the issue for you. If not, then ask: What is the legal question that, when answered, determines the result of the case? The issue should be stated in the form of a question in a specific, rather than a general form: “Is there an agency relationship if there was not compensation paid?” would be an acceptable issue. “Will the plaintiff win?” would not be acceptable. Note that the issue may be case specific, , mentioning the parties the parties’ names and specific facts of the case. Example: “Did Jones have an agency relationship with XYZ Corp. due to his acting on behalf of XYZ and following its instructions? The issue can encompass all cases which present a similar question. Example: “Is an agency created whenever there is an employment relationship? Most cases present one issue. If there is more than one issue to address, then you must write a separate IRAC analysis for each issue.
Rule The rule describes which law or test applies to the issue. The rule should be stated as a general principal, and not a conclusion to the particular case being briefed. Example: “An agency relationship is created when there is an agreement that the agent will act for the benefit of the principal at the principal’s direction or control regardless of whether compensation is paid” would be an acceptable rule. “the plaintiff was the defendant’s agent” would not be an acceptable rule. Do not use parties names or specific facts from the case. Hint: Frequently, the rule will be the definition of the principle of law applicable in the case. Example: An agent may not use or disclose confidential information acquired through the agency absent an agreement to the contrary.
Analysis The analysis is the most important, and the longest part of you answer. It involves applying the Rule to the facts of the problem or question. You should use the facts to explain how the rule leads to the conclusion. Discuss both sides of the case when possible. Important: Do not merely stat a conclusion without stating reasons for it. A conclusion without reasons or explanation means that you not used the rule and the facts to analyze the issue. Hint: The rule can be used as a guide in your discussion. Example: Suppose the issue is whether A is an independent contractor. Using the facts of the case, explain whether or not they fit into the definition of what is an independent contractor: “In this case, A was told by the foreman what to wear, how to operate the machine, and when to report to work each day, giving her little control over the job.” If the rule is a test with multiple factors, then you must analyze each factor by pointing out how the facts do (or do not) fulfill each factor.
Conclusion The conclusion is your answer to the Issue. State the result of your analysis. Examples: “Smith is liable for negligence” or “Therefore, no valid contract was formed between X and Y.” If there are multiple issues, there must be multiple conclusions as well.
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