the contract
of insurance related.

"A promise," says Woodward, "which is so general or indefinite that it
does not enable the courts to determine the nature and extent of the
obligation assumed must be regarded as no promise at all. Such has
been the fate of a promise to pay good wages; a promise to convey a
hundred acres of land, the land not being described; a promise to
divide profits, no rate of division being indicated. Instances might
be multiplied. A benefit conferred, in the honest, though mistaken,
belief that such a promise is binding ought in justice to be restored.
Restitution is accordingly enforced."

The law requires some kinds of contracts to be executed in a
particular manner. Thus, by statute, many municipalities can make
contracts, or those of a particular kind, only on sealed bids or
proposals and after proper advertising for bids, etc. If these things
are not done, the contract made in disregard of them is invalid. The
courts of this country have got into deep confusion in applying this
rule to private corporations. Suppose a corporation makes a loan
without proper authority and receives the money, can the lender
recover it? The corporation had no right to borrow, of this the lender
knew as well as the borrower. Both parties are in the wrong. The
highest court in this country has been more consistent than many of
the state courts, and holds that a contract it cannot make for lack of
legal power is not made and cannot be ratified. "No performance on
either side can give the unlawful contract any validity, or be the
foundation of any right of action upon it." Nevertheless though a
contract is unlawful and void because the corporation was unable to
make it, a court strives to do justice between the parties by
permitting property or money, parted with on faith of the unlawful
contract, to be recovered back, or compensation to be made therefor.

The lack of another legal requirement in making contracts gives rise
to serious consequences. We have learned that the Statute of Frauds
requires for the validity of many contracts that a memorandum of them
be made in writing and signed by one or both contracting parties. By
English law the statute provides a rule of evidence, that a writing
must be shown as proof of a contract before the courts will consider
it as having been made; by some of the American courts a contract that
does not meet the requirements of the statute is held to be void; by
other cour