Opie v. Pacific Investment Co.

Citations

• 26 Wash. 505
• 56 L.R.A. 778
• 67 P. 231
• 1901 Wash. LEXIS 676

Syllabus

<p>FRAUD — FIDUCIARY CAPACITY-PRINCIPAL AND AGENT.</p> <p>The fact that a sale had been ultimately effected through a broker who had originally written to the vendor, who was a non-resident, offering to find a purchaser for his property, would not establish a fiduciary relation between the vendor and broker, when the evidence shows that the vendor dealt with such broker at arm’s length, treating him as a possible purchaser instead of agent, and constituting a local bank his agent to close with such broker on specified terms.</p> <p>SAME-SURETY.</p> <p>An indorser or surety upon a promissory note does not occupy such a fiduciary relation towards the payee as to require him to make full disclosure to the payee of the value of the securities held by him for the payment of the note.</p> <p>SAAIE — INADEQUATE PRICE-RESCISSION.</p> <p>Mere inadequacy of consideration will not afford cause for rescission of a contract on the ground of fraud, where the parties have dealt at arm’s length, with avenues of information open to the one claiming fraud, and where the agreement is entered into after the exercise of the independent judgment of each of the parties.</p>