George N. Smith, Respondent v. Rudolph Dotterweich, Appellant

Summary

The New York Court of Appeals reversed the Appellate Division’s judgment that had directed a verdict for the plaintiff. It held that the trial court erred in excluding the defendant’s oral testimony concerning a condition precedent to the validity of the promissory notes, and that the issue should have been submitted to the jury. The Court affirmed that oral evidence is admissible to show the existence of a condition precedent and that the lack of performance of that condition meant no enforceable contract.