Cengage Advantage Books: Business Law 9th Edition by Arnold Goldman ,William Sigismond

Exercise 16

The Dayton Country Club offers social activities, including golf, to its members. However, golf membership requires an additional fee and offers membership only to those from a waiting list. Magness and Redman, who each had a golf membership, filed for bankruptcy and could not afford to continue their membership in the club. In turn, they attempted to sell (assign) their remaining membership time to those on the waiting list, but only if those on the waiting list joined the Dayton Country Club or were already members. Magness and Redman claimed that the right to sell their memberships was valid. Are they correct? (Reisere v. Dayton Country Club, 972 F. 2d 689).