Hancock Bank & Trust Co. v. Shell Oil Co. – Case Brief
Hancock Bank & Trust Co. v. Shell Oil Co., 365 Mass. 629, 309 N.E.2d 482 (1974).
Facts: Shell (D) entered into a lease in which Shell had the right to terminate on 90 days notice. The lease agreement granted to Shell a 15 year primary lease with an option to renew for an additional 15 years. Hancock Bank later acquired the property through foreclosure and sought to void the lease on the grounds that the lease lacked mutuality. P appealed the trial court’s order of summary judgment in favor of D.
Issue: May a court review the bargain between parties after a contract is made in which there is consideration absent statutory authority?
Holding and Rule: No. Absent statutory authority a court may not review the bargain between parties after a contract is made in which there is valid consideration. A party is not relieved from the terms of a contract merely because the party made a bad or uneven bargain.
Notes: Mere inadequacy of consideration will not void a contract.