Rehm-Zeiher v. Walker: Difference between revisions

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|date=November 20, 1913
|date=November 20, 1913
|subject=Contracts
|subject=Contracts
|facts=* Rehm-Zeiher (RZ) = a whiskey distributor = "Rehm"
|facts=*Rehm-Zeiher (RZ) = a whiskey distributor = "Rehm"
* F.G. Walker (FGW) = a distiller = "Walker"
*F.G. Walker (FGW) = a distiller = "Walker"
* In 1908, the 2 parties in Kentucky signed a contract for Walker to supply whiskey to Rehm
*In 1908, the 2 parties in Kentucky signed a contract for Walker to supply whiskey to Rehm
*{{Timeline
|2,000 cases of whiskey
|1-title=Contract for Walker to supply whiskey to distributor Rehm
|4-title=''Second''
|1909|3,000 cases
|1910
|4,000
|1911
|5,000
|1912
|
|
|
|
|
|
|
|
|
|
|
|
}}
 
*
*
* the contract specified that in the event of fire, Walker would be excused from making whiskey for the distributer Rehm
* Rehm was also allowed to reduce its orders of whiskey
* Rehm ordered
* 786 cases in 1909
* 1,200 in 1910
* 4,000 in 1911
* However, in 1911, Walker only delivered 1,044 cases & refused additional deliveries because the price had risen in the market while the contracted price/case was lower
*
*
*
|procedural_history=Rehm sued Walker in Kentucky state court.
Walker won in the trial court in a bench trial.
|issues=Is a contract that lacks mutuality of obligation between the parties enforceable?
|holding=No. A contract is un-enforceable if it lacks [https://www.quimbee.com/keyterms/mutuality-of-obligation mutuality of obligation].
|case_text_links={{Infobox Case Brief/Case Text Link
|case_text_links={{Infobox Case Brief/Case Text Link
|link=https://case-law.vlex.com/vid/rehm-zeiher-co-v-901852541
|link=https://case-law.vlex.com/vid/rehm-zeiher-co-v-901852541

Revision as of 23:44, December 27, 2023

Rehm-Zeiher v. Walker
Court Kentucky Court of Appeals
Citation 160 S.W. 777,156 Ky. 6
Date decided November 20, 1913

Facts

  • Rehm-Zeiher (RZ) = a whiskey distributor = "Rehm"
  • F.G. Walker (FGW) = a distiller = "Walker"
  • In 1908, the 2 parties in Kentucky signed a contract for Walker to supply whiskey to Rehm
1909
Contract for Walker to supply whiskey to distributor Rehm
2,000 cases of whiskey
3,000 cases
Second
1910
1911
4,000
5,000
1912





  • the contract specified that in the event of fire, Walker would be excused from making whiskey for the distributer Rehm
  • Rehm was also allowed to reduce its orders of whiskey
  • Rehm ordered
  • 786 cases in 1909
  • 1,200 in 1910
  • 4,000 in 1911
  • However, in 1911, Walker only delivered 1,044 cases & refused additional deliveries because the price had risen in the market while the contracted price/case was lower

Procedural History

Rehm sued Walker in Kentucky state court.

Walker won in the trial court in a bench trial.

Issues

Is a contract that lacks mutuality of obligation between the parties enforceable?

Holding

No. A contract is un-enforceable if it lacks mutuality of obligation.

Resources