Overlock v. Central Vermont Public Service Corp.

237 A.2d 356, 126 Vt. 549, 1967 Vt. LEXIS 239
CourtSupreme Court of Vermont
DecidedDecember 20, 1967
Docket231
StatusPublished
Cited by20 cases

This text of 237 A.2d 356 (Overlock v. Central Vermont Public Service Corp.) is published on Counsel Stack Legal Research, covering Supreme Court of Vermont primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Overlock v. Central Vermont Public Service Corp., 237 A.2d 356, 126 Vt. 549, 1967 Vt. LEXIS 239 (Vt. 1967).

Opinion

Barney, J.

By certified questions, this Court is asked whether counts three and four of the plaintiff’s complaint state a cause of action. The lower court ruled that they do not. The counts read:

COUNT THREE
1. That in the course of his employment for the Defendant as a lineman, the Plaintiff, on October 13, 1959, fell from a tree and was severely injured.
2. That as a result of his injuries the Plaintiff became totally and permanently disabled.
3. That during October, 1959, certain persons interested in the welfare of the Plaintiff decided to take up a collection among the residents of the area where Plaintiff resided for the benefit of the Plaintiff.
4. That a duly authorized agent of the Defendant, in order to induce these persons not to take up the collection, promised them that there was no need to take up the collection because the Defendant would take care of the Plaintiff for the rest of the Plaintiff’s life.
5. That the Defendant should have reasonably expected that in reliance on this promise these persons would not take up the collection for the Plaintiff.
6. That in justifiable reliance on that promise these perons ceased all efforts to take up the collection.
7. That as a result of their not having done so, the Plaintiff has lost the expected proceeds of the collection.
8. That the Defendant has since refused to take care of the Plaintiff for life.
COUNT FOUR
1. That in the course of his employment for the Defendant as a lineman, the Plaintiff, on October 13, 1959, fell from a tree and was severely injured.
*551 2. That as a result of his injuries the Plaintiff became totally and permanently disabled.
3. That during October, 1959, certain persons interested in the welfare of the Plaintiff decided to take up a collection among the residents of the area where Plaintiff resided for the benefit of the Plaintiff.
4. That a duly authorized agent of the Defendant, in order to induce these persons not to take up the collection, promised them that there was no need to take up the collection because the Defendant would take care of the Plaintiff for the rest of the Plaintiff’s life.
5. That the acts of these persons in deciding to take up a collection for the Plaintiff’s benefit and in later deciding not to take up the collection because Defendant, by its duly authorized agent, promised to take care of Plaintiff for the rest of the Plaintiff’s life, were subsequently ratified by the Plaintiff thereby making them the acts of the duly authorized agents of the Plaintiff.
6. That the Defendant should have reasonably expected that in reliance on this promise these persons would not take up the collection for the Plaintiff.
7. That in justifiable reliance on that promise these persons ceased all efforts to take up the collection.
8. That as a result of their not having done so, the Plaintiff has lost the expected proceeds of the collection.
9. That the Defendant has since refused to take care of the Plaintiff for life.

An examination of these pleadings demonstrates we are dealing with something other than the usual contract relationship. No claim is made here of any promise running directly from the defendant to the plaintiff. Neither is the defendant charged with wrongful interference with any contractual relationship between the plaintiff and another party, as in Mitchell v. Aldrich, 122 Vt. 19, 22, 163 A.2d 833. Indeed, it could not be, on the allegations of this complaint, since they show the transaction between the plaintiff and the third parties as an unexecuted proposal by the parties to collect gift funds for the plaintiff, without any reliance or change of position on the part of the plaintiff. Such an offer to make a gift is an unenforceable right. Eastern *552 States Agricultural & Industrial League v. Est. of Vail, 97 Vt. 495, 506, 124 A. 568, 38 A.L.R. 845; Cox v. Town of Mt. Tabor, 41 Vt. 28, 31-32. Mitchell v. Aldrich, supra, 122 Vt. 19, 23, 163 A.2d 833, presupposes a contractual, rather than a donative, right, even though it speaks of the wrong of interference as justifying recovery although the contractual right had not ripened into enforceability.

The only remaining relationship is between the defendant and those who would solicit on behalf of the plaintiff. Here, again, there is concededly no true contractual relationship. It is acknowledged that the defendant did not state that it was its intention to take care of the plaintiff for life, only if the solicitation on behalf of the plaintiff was abandoned.

The plaintiff, in recognition of this state of the matter, relies on a doctrine, sometimes known as promissory estoppel, to convert the alleged representations of the defendant to the solicitors into a binding contract. The principle involved is stated in the Restatement of Contracts, Section 90, in this form:

A- promise which the promisor should reasonably expect to induce action or forbearance of a definite and substantial character on the part of the promisee and which does induce such action or forbearance is binding if injustice can be avoided only by the enforcement of the promise.

There are circumstances where insistence on consideration on exchange of promises may reduce the law to ritual, producing injustice and unconscionable advantage. The courts have responded to the pressures inherent in this kind of situation in many ways, over the years. Partial performance, slight consideration or tenuous promises have been stretched to bring the rightful remedy within reach. 1 Williston on Contracts 3rd ed. sec. 140, 611-9 (1957). All this ultimately developed into a recognition that, in certain situations, the inducing of unbargained-for reliance left the position of the parties such that the' statement or representation inducing such reliance ought to be enforced.

Although it found earliest recognition in various special cases relating to such matters as charitable subscription, waivers, promises of gifts of land, gratuitous bailments or agencies, bonus and pension claims, rent reduction, and other particular situations, it is now recognized as a generalized principle. See generally Boyer, Promissory *553 Estoppel: Principle from Precedents I, II, 50 Mich.L.Rev. 639, 873 (1952). The Supreme Court of Oregon, in Schafer v. Fraser, 206 Or.

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Bluebook (online)
237 A.2d 356, 126 Vt. 549, 1967 Vt. LEXIS 239, Counsel Stack Legal Research, https://law.counselstack.com/opinion/overlock-v-central-vermont-public-service-corp-vt-1967.