In Hardy v. Rose , Thomas Hardy sued Adam Rose for breach of an alleged employment agreement.
Rose purchased and funded an annuity contract and initially picked Hardy as the beneficiary. (Documents showed that Hardy was to receive $7,000 annually for life, regardless of whether or not he continued working for Rose.)
Not surprisingly, when Hardy later left his position, Rose appointed himself as the beneficiary.
After the Westchester County Supreme Court denied Rose's request to dismiss the lawsuit, he appealed to the Appellate Division, Second Department.
The AD2 thought dismissal was appropriate because Rose had voluntarily purchased the annuity contract and, under its terms, retained the right to change the beneficiary.
The appellate court thought that there wasn't a binding employment contract in place because the documents presented were unsigned and ambiguous. And, even if viewed as a gift, that wouldn't change the outcome as there was no "delivery" of the property. (Rose never gave up "dominion and control" of the annuity contract.)
Hardy sure got pricked by that Rose.
For a copy of the Appellate Division's decision, please use this link: Hardy v. Rose