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St. Peter v. Pioneer Theatre Corp.

Iowa Supreme Court

291 N.W. 164 (Iowa 1940)

Relevant factsFree

Pioneer Theatre Corp. (defendant) ran a "bank night" drawing that awarded a cash prize to entrants, including people simply standing outside the theatre, so long as they redeemed the prize within a limited time after their name was called. Mr. and Mrs. St. Peter entered and waited outside; a Pioneer employee told Mrs. St. Peter (plaintiff) her name was called, but the manager Parkinson clarified it was actually her husband's name, and as Mr. St. Peter approached to claim it, the theatre's lights went out, delaying him. When they found Parkinson again, he told Mr. St. Peter he was one second too late and refused to pay. Mr. St. Peter assigned his claim to his wife, who sued for breach of contract; the trial court directed a verdict for Pioneer, finding no consideration supported the offer.

IssueFree

Whether, if a promise in a unilateral contract is made contingent upon the other party doing some act which he is not under legal obligation to do, such affirmative act or forbearance constitutes the consideration for and acceptance of the promise.

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