First National Bank of Lawrence v. Methodist Home for the Aged

Bertha Ellsworth moved into the Methodist Home for the Aged (defendant) and, the day she arrived, signed the Home's standard-form contract, agreeing to pay $10,779.60 to support the Home's charitable work in exchange for admission 'during the period of her natural life.' The same contract also gave her a two-month trial period to decide whether she liked living there, and stated that if she found it 'advisable to discontinue her stay,' her gift -- minus $80 per month -- would be refunded. Ellsworth paid the full amount but died just one month after moving in, before the trial period ended. First National Bank of Lawrence (plaintiff), as administrator of her estate, sued the Home to recover her gift; the trial court ruled for the Bank, and the Home appealed.