Contracts Keyed to Dawson
Kingston v. Preston
An action of debt for non-performance of covenants contained in articles of an agreement between the Plaintiff and the Defendant. The articles stated that the Plaintiff covenanted with the Defendant to serve him for one year and a quarter in his trade of a silk mercer at 200 a year and in consideration of the premises the Defendant covenanted that at the end of the year and a quarter he would give up his business to the Plaintiff and give up his stock and the deeds would be executed for fourteen years. Another covenant stated that payment was to be made in installments out of the proceeds of the business by Plaintiff. Plaintiff promised to post a security bond, which guaranteed payment of the installments if the business did not generate enough proceeds before the sale. Plaintiff did not post such a bond and as a result Defendant refused to consummate the sale. Thus, Plaintiff brought suit against Defendant for breach of contract. Plaintiff alleged that Defendant’s obligation to convey the business was independent of the Plaintiff’s obligation to post a security bond and the Defendant’s remedy was a breach of contract not to refuse to sell.
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