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Hunter Tract Improvement Co. v. Stone

Washington Supreme Court

109 P. 112 (1910)

Facts

Hunter Tract Improvement Company (Hunter) (plaintiff) marketed its new subdivision as an exclusive neighborhood for affluent homebuyers. Each lot’s sales contract defined the parties as including their heirs, assigns, successors, or legal representatives. Marguerite Foy (defendant) bought one such lot and assigned her sales contract to a Black couple, Susie and S. H. Stone (defendants). Hunter feared that the presence of Black homeowners would lessen the subdivision’s marketability, so it sued to void Foy’s assignment. Hunter claimed that the assignment was induced by mistake as to the couple’s race, that is, that the Stones had wrongfully concealed their race from Hunter. Hunter also contended that the signature block on the back of the assignment form indicated the need for Hunter to approve any assignment. Hunter appealed the trial court’s dismissal of the action to the Washington Supreme Court.

Rule of Law

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Issue

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Holding and Reasoning (Dunbar, J.)

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A "yes" or "no" answer to the question framed in the issue section;
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The procedural disposition (e.g., reversed and remanded, affirmed, etc.).

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