Question

You are a junior associate at a top law firm in the state of California, when you are suddenly assigned a contract case. Mrs. Murphy, a 91-year-old senior citizen, got her self into a contract that she realized was a scam. Mrs. Murphy sits with you at your fancy office and with mesmerizing passion she starts to explain her tragic mistake. She tells you that after her life long husband passed away, five years ago last Monday, she began to feel an emptiness and a desire for attention. It was a hole that only a young strong man can fulfill. While she was at the spa in Beverly Hills Country Club she found what she was looking for, Don Julio, a strong man with a hypnotizing accent. Three days after Don Julio started seeing Mrs. Murphy, Don Julio began to take special notice on Mrs. Murphy’s business empire. One afternoon, after a long day of exploring the hills of California, Don Julio gave Mrs. Murphy a bottle of 1986 Graud Larose Wine. They began to drink the bottle, and after a few glasses of wine Mrs. Murphy began to tell Don Julio how passionate she is about having him around. Don Julio gave Mrs. Murphy a piece of paper and asked her to acknowledge that because of his time with Mrs. Murphy that he is entitled to all of Mrs. Murphy’s business equity from her business empire. He also told Mrs. Murphy that if she did not sign it that he would leave her to die alone and never talk to her again. After much hesitation, Mrs. Murphy scribbled her signature on the document and told Don Julio, “we can be together forever now”. Later that night, Don Julio remembered that he forgot to get the real estate titles of Mrs. Murphy’s properties. In a quiet discretion, Don Julio asked Mrs. Murphy for her verbal consent to take title of her real estate properties. Without any conscience, Mrs. Murphy knotted her head in agreement.

The next morning Don Julio told Mrs. Murphy to legally change the business interest and real estate title to his name; or else he would take Mrs. Murphy to court.

Mrs. Murphy came to you asking for your advice on whether there are any defenses that can be used to defend her innocence.

1)Does Mrs. Murphy have a formation defense for the business contract? (IRAC)

2) Does Mrs. Murphy have an enforcement defense for the real estate contract? (IRAC)

Answer 1

A. Yes Mrs.Murphy have a formation defense under the business contract as when she signed the paper she was not in her full senses as she was drunk plus it was signed under the pressure as Dio Julio has asked her either to Sign the paper or leave him.

B. Yes Mrs. Murphy also have enforcement defense for the real estate contract as she only had given a verbal agreement to Don Julio as no one witnessed this verbal contract so she is not liable to pay him also it was done in the manner of undue influence.