For each question you answer, please state the following: legal issue


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William Bailey and William Vaught, as officers for Bailey, Vaught, Robertson, and Co. (BVR), signed a promissory note to borrow $34,000 from the Freedom National Bank. The interest rate was variable: “the lender’s published prime rate” plus 1 percent. Freedom went out of business, and ultimately, the note was acquired by Robin Hood Investments, Inc. When BVR failed to make payments, Robin Hood filed a suit in state court against BVR. BVR contended in part that the note was not negotiable because after Freedom closed, there was no “published lender’s prime rate” to use to calculate the interest. Did the note provide for payment of a “fixed amount of money”? Discuss fully.


Batman had a joint checking account with his mother at Country National Bank. Between January and May 2000, a number of checks were allegedly forged on the account, and   Batman asked City National to re-credit the account for the amount of the checks, but the bank refused. Two years later, in March 2002, Batman filed a lawsuit against the bank. City National filed a motion to dismiss, claiming that the suit was barred because Batman did not file it within a year of City National’s making available to Batman the bank statements that reflected the forged checks. Batman argued that the only requirement was that he notify the bank of any unauthorized signatures within a year. How should the court rule?


Tom and Harry each owned a one-half interest, as tenants in common, in a farm called The Haven.  Tom died in 1988.  In his will, he left his share of The Haven to his wife, Lucy.  A few years later, Harry decided to make a gift of his share of The Haven to his daughter and son-in-law, Jack and Jill, as tenants by the entirety.  Jack died three years later.  In his will, he stated that he was leaving his share of The Haven to his “devoted assistant, Alice.”   Based on these facts, who owns The Haven?

Discuss fully.




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