Explain being sure to identify the governing legal principle


Problem

Milton Polinger signed a written agreement pledging to contribute $210,000 to the United Jewish Appeal Federation of Greater Washington, Inc. (UJA). (The pledge was not for a specific purpose, was not made in consideration of pledges by others, and UJA borrowed no money against this pledge.) After paying $76,500 toward the pledge, Polinger died and the UJA filed a claim against Polinger's estate for the balance of $133,500. The representative of the estate (Maryland National Bank as executor under Mr. Polinger's will) refused to pay the claim. UJA brought suit against the Polinger estate for breach of contract.

I. Under the common law doctrine of consideration, who will win this case? Explain being sure to identify and apply the governing legal principle.

II. If Mr. Polinger had not died but had changed his mind about donating the remaining $133,500 pledge, would he be legally obligated to complete the donation?

III. Does the Polinger Estate have a legal basis to recover the $76,500 paid by Mr. Polinger to the UJA during his lifetime?

IV. Assume instead that Mr. Polinger had pledged the $210,000 for the specific purpose of building a children's hospital in Jerusalem and that Polinger's pledge was relied on by the charity to begin construction of the hospital. What legal theory might the charity rely on under these circumstances? Explain. (Note - the doctrine of 'moral' consideration is not generally recognized, having been adopted in only a few states - what other legal theory can you think of?)

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Business Law and Ethics: Explain being sure to identify the governing legal principle
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