John Baldwin, appellant, brought a case against Charles Ely in the United States Supreme Court. The dispute was over an agreement between the two men that involved land and money. According to Baldwin's argument, he had loaned Ely $2,000 with which to purchase certain lands in Ohio. In exchange for this loan of money, Ely agreed to give Baldwin one-third of all profits made from these lands as well as title to them should they remain unsold after five years. However, when it came time for payment on the agreement according to its terms and conditions set forth by both parties at its inception; Ely refused payment claiming that he never received any benefit from his investment into said property or any other consideration given by him towards fulfilling his part of their contract. The court found in favor of John Baldwin and ordered Charles Ely pay him damages amounting up $1125 plus interest accrued since 1845 when the breach occurred along with costs associated with bringing suit against him before the court

In the case of John Baldwin, Appellant v. Charles Ely, the Supreme Court was tasked with determining whether a contract between two parties could be enforced when it had been made without consideration and in violation of an existing statute. The majority opinion held that such contracts were not enforceable due to their lack of consideration and statutory violations. However, Justice McLean dissented from this decision on the grounds that there should have been some form of remedy for breach of contract even if it did not involve enforcement by a court order or damages awarded by a jury. He argued that while courts may refuse to enforce contracts which are illegal or against public policy, they should still provide relief through equitable remedies like rescission or specific performance where appropriate. Furthermore, he noted that since both parties had acted in good faith and relied upon each other's promises during negotiations prior to entering into the agreement at issue here, equity demanded some sort of remedy for any wrongs committed as part of its purpose is "to do justice between man and man."