Smith v. Elder

Citations

• 167 Pa. 487
• 31 A. 735
• 1895 Pa. LEXIS 935

Syllabus

<p>Affidavit of defense — Fraud—Money intrusted to another for investment.</p> <p>In an action of assumpsit plaintiff averred that he had loaned defendant $2,500, for which he was to have an interest in a fiber patent as security; that he had had the records of the patent office examined, and found that the number of the patent transferred to him by defendant was not for a fiber patent, but was for another invention in which defendant had no interest. Plaintiff also averred that he had advanced $5,000 to defendant for the purpose of investment by defendant, but that defendant had not invested the same, and had wrongfully and fraudulently appropriated the same to his own use. Plaintiff also averred that he had advanced $1,000 to defendant who was to purchase for plaintiff an interest in a certain patent, naming it, but that defendant had not invested the money in the patent, and had appropriated the money to his own use. Defendant filed an affidavit of defense in which he admitted receiving the loan of $2,500, but averred that the number of the patent referred to by plaintiff was the application number, and that a fiber patent had been issued to defendant and that the same had been assigned to plaintiff, and the assignment duly recorded in the patent office. Defendant also admitted receiving the sums of $5,000 and $1,000, but averred that he had invested the said sums, giving dates and amounts of several payments made on account of the investments, and averring that plaintiff had full knowledge of the whole transaction, and that the investments were made with his approval and consent. Held, that the affidavit of defense was sufficient to prevent judgment.</p>