Bates v. Cashman

119 N.E. 663 (1918)

Purchase the Printed Copy at bsmsphd.com

Nature of the Case

To access this section all you need to do is click here and register.

Facts

P and D contracted for D to purchase stocks and bonds in Newburyport Cordage Company. The stocks and bonds were the means by which to convey control of land with a factory and machinery. There is no controversy that the contract was made. During negotiations, P represented that a right of way, which was a substantial factor of value in the real estate, was owned by the Company and could not be interfered with. This representation was untrue. P did not know that it was untrue. D relied upon it and would not have signed the contract if he had known that it was false. P sued D to enforce the contract and D defended in that he was induced to sign by such false representations by P and that released him from an obligation to perform.