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? (Please analyze using IRAC)

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

Answer 1

1. Yes ,Mrs. Murphy has formation defense.

Formation defense is when the contract was entered into she was drunk and was put under duress to sign to the contract which makes this contract invalid or void since it lacks the legal element of a consent in a legal capacity without any influence.

2. Yes, Mrs. Murphy has an enforcement defense.

She was under the duress at the time of signing the contract and was also not in conscience when Don Julio asked for the transfer of the title of the real estate. Duress is a valid defense against enforcement of a contract.