Facts About Case:
W.O. Lucy filed a suit against the Zehmer family to compel them to sell their property, the Ferguson Farm, for $50,000. W.O. had been trying to buy the Zehmers farm for about 8 years and one night offered $50,000 for the farm while they were drinking. A.H. Zehmer verbally agreed to the price and the two men continued to drink. Lucy got Zehmer to write up a contract agreeing to the deal and Lucy sued Zehmer to compel him to go through with the deal he agreed to. In trial court, Zehmer argued that he was intoxicated, the trial court agreed with Zehmer and Lucy appealed.
Issue:
Is there enough evidence to say that the contract is a serious, binding business transaction or a casual, jesting matter?
Rule:
“In the field of contracts, as generally elsewhere, we must look to the outward expression of a person as manifesting his intention rather than to his secret and expressed intention. The law imputes to a person an intention corresponding to the reasonable meaning of his words and acts”.
Application:
The contract was discussed for over forty minutes before it was signed, resigned to meet the objection that it was in the singular, and signed by Mrs. Zehmer. The provision for the examination of the title and the completeness of the instrument that was executed were all taken into consideration as persuasive evidence. Lucy took possession of the contract without any objection to give it back by the Zehmers. The Zehmers outwardly expressed their intention in the writing of the contract and were required to follow through with the sale of the Ferguson Farm due to the facts surrounding the contract.
Conclusion:
The Supreme Court of Appeals did not affirm the decision of the lower court and decided that the writing was an enforceable contract.