Cheney v. Gleason

125 Mass. 166
CourtMassachusetts Supreme Judicial Court
DecidedJuly 24, 1878
StatusPublished
Cited by20 cases

This text of 125 Mass. 166 (Cheney v. Gleason) is published on Counsel Stack Legal Research, covering Massachusetts Supreme Judicial Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Cheney v. Gleason, 125 Mass. 166 (Mass. 1878).

Opinion

Colt, J.

The defendants contend that the motion of the executor that he be allowed to prosecute the suit was improperly allowed, on the ground that the action did not survive at common law or under the provisions of the Gen. Sts. c. 127, § 1. But this is not an action to recover damages for a simple fraud practised upon the testator, by which he was induced to part with his property at less than its value. It is a suit to recover in equity specific property, or the avails of specific property, still held by one or more of the defendants, parties to the original fraud, and which was obtained from the plaintiff in the abuse of a trust arising out of an existing confidential relation between him and one of the defendants, as well as damages for the breach of the trust. The liability of a trustee in equity for a breach of duty causing damage is not terminated by the death of the party wronged. The case of Leggate v. Moulton, 115 Mass. 552, cited by the defendants, was an action at law to recover damages for false representations relating to the pecuniary ability of a third person, whereby the plaintiff was induced to part with real estate. It was held that such an action did not survive under the statute. This case is to be distinguished on the grounds stated, and the executor was here properly admitted to come in and prosecute the suit, and under the recent statute to come in on motion without bringing a bill of revivor. St. 1865, c. 42. Pingree v. Coffin, 12 Gray, 288, 317. Sears v. Carrier, 4 Allen, 339. Walsham v. Stainton, 1 De G., J. & S. 678.

It remains to dispose of the defendants’ exceptions taken to the competency and sufficiency of the plaintiff’s evidence. The defendants produced no evidence. In the opinion of the court, the evidence of the plaintiff, considering the nature of the facts to be proved, was sufficient to warrant the findings of the jury upon all the issues necessary to support a decree in his favor. As to the participation of the two Gleasons in the false repre* [175]*175sentations made to the plaintiff, and in the fraud by which one of them, while employed to sell a valuable estate for the plaintiff, was to share in the profits or proceeds of the sale to the other, there was proof of previous arrangements, private consultations, and an actual division of the proceeds of the transaction.

As to the participation of the defendant Pearson in the same fraud, there was evidence that he was present when the deed was passed; that he inserted a false consideration for his deed according to the valuation fixed by his agent, Gleason, for the purpose of the trade with the plaintiff; that he divided the profits with the other defendants; and, above all, that Gleason was acting as agent for him in disposing of the Chickering Place estate, for whose fraud, perpetrated while employed in the work of his agency, he, as principal, was legally responsible. Commonwealth v. Mason, 105 Mass. 163, 169.

As to the false representations employed, the evidence was, that Gleason, while occupying a fiduciary relation towards the plaintiff as agent to sell, which required him to exercise the highest good faith to secure the best terms for his employer, and while enjoying the confidence of the plaintiff incident to that relation, fraudulently misrepresented the value and annual rental of the Chickering Place estate, the character of the house and of the neighborhood, the fact that a responsible party was in want of the place for a hotel, and that the adjoining house was a boarding-house, and further that the plaintiff trusted these representations, and was induced to part with his estate in exchange for the estate described.

The defendants contend that the representations proved did not constitute a fraud nor warrant the submission of the question to the jury, because they were expressions of opinion and estimate only ; and they cite the late case of Parker v. Moulton, 114 Mass. 99, with others of the same class, which were all cases of affirmations made between buyer and seller respecting the real estate of which the defendant was the seller. As between such parties, statements which concern the value of the land, or its condition or adaptation to particular uses, which are only matters of opinion and estimate, are not actionable. The maxim caveat emptor applies. The buyer is not excused from examina[176]*176tian for himself unless he be fraudulently induced to forbear inquiries which he would otherwise have made. The parties to the transaction are put on their guard; there is no breach of confidence, no abuse of an express or implied trust between them. The cases cited have no application to a suit in equity brought to enforce a trust. They do not show that such representations, made by an agent to his principal, under, the circumstances here disclosed, must not be treated as an actionable wrong in a court of equity. It is said, indeed, that where this relation exists, and there is any misrepresentation or concealment of a material fact, or any just suspicion of artifice or undue influence, courts of equity will interpose and pronounce the transaction void, and as far as possible restore the parties to their original rights. Emery v. Parrott, 107 Mass. 95. Ormond v. Hutchinson, 13 Ves. 47, 51. Beaumont v. Boultbee, 5 Ves. 485. 1 Story Eq. Jur. § 218.

The question whether Pearson had been settled with by the plaintiff for an alleged incumbrance on the land conveyed to him, and whether the evidence warranted the finding, in the view we take of the case, becomes immaterial. The plaintiff cannot rescind the whole contract for the exchange of property. The parties cannot be restored to their former condition, because the plaintiff’s original estate has passed into the hands of an innocent party.

The foregoing considerations dispose of part of the objections taken to the evidence admitted at the trial and to most of the specific requests for instructions.

The request for the instruction that there was no ground for presumption against the defendants from the fact that they produced no witnesses, could not be properly given. The neglect of a party to produce evidence which is in his own power, is a fact to be considered by the jury in connection with all the other facts, and in a case of fraud, the parties to which are within reach as witnesses, may be of great weight against him. Smith v. Whitman, 6 Allen, 562, 564.

The court, we must presume, gave full instructions upon all questions submitted. It does not appear that they were erroneous, or that the instructions requested should have been given, except as they were given in full, or were modified by the judge

[177]*177The evidence objected to nearly all related to the value of the estates which were exchanged. Upon the question of fraud, the actual relative value of the property exchanged had some bearing upon the motives and intentions of the parties. The plaintiff’s testimony on this point was admissible. The dealings of Mrs. Oharlebois with one of the Gleasons in the purchase of the plaintiff’s estate from him, and the payment therefor, were admissible, as showing the value of the property and the relations of the two Gleasons to each other in the transaction. It does not appear that this evidence was objected to because the deeds referred to were not produced. The plaintiff’s evidence which was objected to was all admissible on the question of fraud and as showing the accompanying circumstances.

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Bluebook (online)
125 Mass. 166, Counsel Stack Legal Research, https://law.counselstack.com/opinion/cheney-v-gleason-mass-1878.