Leggett v. Mutual Life Insurance
New York Supreme Court
ON the 11th day of November, 1863, the defendants entered into a written contract with the plaintiff to sell and convey to him certain lands and dock property in the town of Flushing, for the sum of $15,000. The contract provided,'among other things, that the party failing to fulfill the contract should pay the sum of $5000, as the agreed and fixed amount of liquidated damages.
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ON the 11th day of November, 1863, the defendants entered into a written contract with the plaintiff to sell and convey to him certain lands and dock property in the town of Flushing, for the sum of $15,000. The contract provided,'among other things, that the party failing to fulfill the contract should pay the sum of $5000, as the agreed and fixed amount of liquidated damages. The covenant on that subject was as follows : “And it is further hereby agreed, that in case the said parties of the first part shall fail or refuse to execute and deliver a proper deed of conveyance in manner and at…
1Opinion of the Court
By the Court,
Geo. G. Barnard, P. J.
The parties made the contract under which this claim arises. They agreed mutually to do certain acts, and in case of a default by either they “ fixed and agreed upon as the liquidated amount of damages,” to be paid by the defaulting party, the sum of five thousand dollars. With this covenant in evidence, the court decided to make a new agreement for the parties, and to determine that the sum of $5000 was intended by the parties as a penalty, and, in the- absence of any other proof of .damage, that the plaintiff was only entitled to recover a nominal sum of…
2Cases cited1 opinion
- Clement v. . CashNew York Court of Appeals · 1860
3Cited by3 opinions
- Taylor v. The MarcellaU.S. Circuit Court for the District of Louisiana · 1873
- Leggett v. Mutual Life InsuranceNew York Supreme Court · 1872
- Kemp v. Knickerbocker Ice Co.New York Court of Common Pleas · 1876