Lindeberg v. Murray

Citations

• 117 Wash. 483
• 201 P. 759
• 1921 Wash. LEXIS 876

Syllabus

<p>Equity (6) — Gbounds fob Relief — Mistake of Facts — Rescission of Contbact. The true test in cases involving mutual mistake of. fact being whether the contract would have been entered into had there been no mistake, a contract is subject to rescission, where there is a clear Iona fide mistake regarding material facts, without culpable negligence on the part of the person complaining.</p> <p>Contbacts (116) —Rescission — Mistake of Fact — Evidence — Sufficiency. Where, as part of the agreement for a bank’s taking over the assets and liabilities of another bank in straitened circumstances, it was agreed by the president of the former bank to buy the stock of the principal shareholder of the embarrassed bank, but, owing to the discovery of a heavy defalcation of the latter’s funds, the original agreement for the transfer was rescinded and a new arrangement made, the contract for sale of the principal shareholder’s stock was such a part of the rescinded contract as to be likewise subject to rescission.</p> <p>Mackintosh, Holcomb, and Hovey, JJ., dissent.</p>