Uploaded April 2025 | Updated September 2026, 2 weeks ago
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Robson v. Robson
United States District Court for the Northern District of Illinois
514 F.Supp. 99 (1981)
Parties sometimes enter contracts to benefit third parties.
However, circumstances can change, and the original contracting parties may want to modify the contract in such a way that the third party no longer receives any benefit. In such cases, the key question becomes whether the third party's rights have vested, as the court explains in Robson versus Robson.
Raymond Robson senior and his son Raymond Robson junior each owned fifty percent of PB Services Incorporated.
In nineteen seventy five, Ray Senior and Ray Junior executed a contract to establish a retirement payment schedule for Ray Senior and outline the ownership of the men's stock in the event of their deaths.
The contract specified that Ray senior would receive one thousand dollars per month from PB Services for the remainder of his life, and that upon his death, his stock would pass to Ray junior who was then obligated to pay Ray senior's widow five hundred dollars per month for the remainder of her life.
Similarly, the contract provided that upon Ray junior's death, his shares would go to Ray senior, who would then pay Ray junior's widow five hundred dollars per month for five years or until she remarried, whichever came first.
A few years later, Ray Junior and his wife, Birta Robson, separated.
Ray Senior and Ray Junior modified their contract by deleting the portion that provided for payments to Birta.
Two days later, Ray Junior died from cancer.
Birta filed suit against Ray senior, arguing that she was entitled to the payments specified in the original contract.
Specifically, Birta asserted that as a third party beneficiary, her rights to the payments had vested. Both Birta and Ray senior moved for summary judgment.
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Get more case briefs explained with Quimbee. Quimbee has over 42,700 case briefs (and counting) keyed to 988 casebooks ► quimbee.com/case-briefs-overview
Robson v. Robson
United States District Court for the Northern District of Illinois
514 F.Supp. 99 (1981)
Parties sometimes enter contracts to benefit third parties.
However, circumstances can change, and the original contracting parties may want to modify the contract in such a way that the third party no longer receives any benefit. In such cases, the key question becomes whether the third party's rights have vested, as the court explains in Robson versus Robson.
Raymond Robson senior and his son Raymond Robson junior each owned fifty percent of PB Services Incorporated.
In nineteen seventy five, Ray Senior and Ray Junior executed a contract to establish a retirement payment schedule for Ray Senior and outline the ownership of the men's stock in the event of their deaths.
The contract specified that Ray senior would receive one thousand dollars per month from PB Services for the remainder of his life, and that upon his death, his stock would pass to Ray junior who was then obligated to pay Ray senior's widow five hundred dollars per month for the remainder of her life.
Similarly, the contract provided that upon Ray junior's death, his shares would go to Ray senior, who would then pay Ray junior's widow five hundred dollars per month for five years or until she remarried, whichever came first.
A few years later, Ray Junior and his wife, Birta Robson, separated.
Ray Senior and Ray Junior modified their contract by deleting the portion that provided for payments to Birta.
Two days later, Ray Junior died from cancer.
Birta filed suit against Ray senior, arguing that she was entitled to the payments specified in the original contract.
Specifically, Birta asserted that as a third party beneficiary, her rights to the payments had vested. Both Birta and Ray senior moved for summary judgment.
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