American Savings Bank & Trust Co. v. Bremerton Gas Co.

Citations

• 99 Wash. 18
• 168 P. 775

Syllabus

<p>Fraud—Conspiracy to Defraud—Evidence-—Admissibility. In an action upon notes and surety bonds guaranteeing the same, defended on the ground of fraudulent conspiracy between the manager of the payee and the agent of the bonding company, evidence that the agent had no authority to issue the bonds and failed to report them to the company, and that the payee was put on inquiry and warned by an expert that the agent had no authority to execute the bonds, and yet failed to heed the warning or investigate, is admissible to show bad faith and intent to take advantage of the surety company.</p> <p>Same — Evidence — Sufficiency. Such evidence is sufficient to make a case for the jury under the rule, peculiarly applicable to conspiracy to defraud, that inference of fraud may be gathered from surrounding circumstances.</p>