Contracts - Charitable Subscriptions - Iowa Supreme Court Finds Subscription Agreement Binding without Showing of Consideration or Detrimental Reliance - Salsbury v. Northwestern Bell Telephone Co. 221 N.W.2d 609 (Iowa 1974)
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Authors
Schwarzkopf, Robert
Issue Date
1975
Volume
8
Issue
Type
Journal Article
Language
Keywords
Alternative Title
Abstract
FIRST PARAGRAPH(S)|The enforcement of charitable subscriptions has long presented a dilemma for the courts. Courts have shown a strong desire to enforce subscription agreements for public policy reasons, but have been faced with a lack of adequate legal theories on which to do so. Thus, some of the earlier American cases flatly refused to enforce charitable subscriptions and held that such agreements were strictly gratuitous. However, most courts have subsequently decided that charitable subscriptions are enforceable, using one of several tenuous theories of consideration or promissory estoppel as a legal basis. A solution to this dilemma has been offered by the Iowa Supreme Court in Salsbury v. Northwestern Bell Telephone Co. with the holding that charitable subscriptions are enforceable without any showing of consideration or detrimental reliance. Although a few lower courts have so held, the Iowa court appears to be the first state high court to take this position...
Description
Citation
8 Creighton L. Rev. 848 (1974-1975)
Publisher
Creighton University School of Law