Davitt v. Long-Bell Farm Land Corporation

110 So. 88, 162 La. 59, 1926 La. LEXIS 2201
CourtSupreme Court of Louisiana
DecidedOctober 5, 1926
DocketNo. 25512.
StatusPublished
Cited by8 cases

This text of 110 So. 88 (Davitt v. Long-Bell Farm Land Corporation) is published on Counsel Stack Legal Research, covering Supreme Court of Louisiana primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Davitt v. Long-Bell Farm Land Corporation, 110 So. 88, 162 La. 59, 1926 La. LEXIS 2201 (La. 1926).

Opinion

ST. PAUL, J.

This is an action to rescind, with damages, on the alleged ground of fraudulent misrepresentations, certain contracts by which defendants agreed to sell, and plaintiffs agreed to buy, for farming purposes, certain cut-over pine lands in the parishes of Beauregard and Vernon in this state.

I.

Plaintiffs allege: (A) In substance and effect, that by verbal, written and pictorial representations, falsely and fraudulently made by defendants, as to climate, soil, fertility, crops, and surrounding conditions, they were induced to visit the locality and investigate the lands which defendants were offering for sale; 1

(B) That upon their said visit of inspection (1) they were “carefully guarded, watched and entertained by defendants, to the extent that all conversation, or opportunity for conversation, with outside parties could not take place”; (2) that plaintiffs “were taken to demonstration farms, cribs and barns, and were then and there told by the agents, boosters and employees of said defendants that the crops there exhibited to them were grown with only ordinary methods, and that all the specimens and samples of crops on exhibit at Kansas City [whence they started upon their tour of inspection], and at Ludington [where said demonstration *61 farms, etc., were located], were grown on said pine lands [with only ordinary methods, as aforesaid],” which was not true; (3) that they were taken to a vacant spot nearby, called Chasmore, and “were told that a town was going to be built there; and that they (defendants) had already sold all of the lots of said town site; and that a school was to be built immediately for the benefit of purchasers and a depot was to be established,” which was untrue; (4) that they were told that the lands were well worth “a larger sum than $25 (per acre), the price being asked,” which was untrue; and (5) that they were told that “all who had bought and moved upon said lands were satisfied, contented, and doing well,” which was also untrue.

(C) That the following facts, known to defendants, but unknown to plaintiffs, were suppressed, to wit: (1) That defendants’ demonstration farm was being operated at a great loss of money; (2) that certain owners of a large tract of similar lands in the same district “had found, by actual test and experiment, that said lands were not a success as agricultural lands, and that farming was done at a loss on said lands,” and that another owner of a large tract of similar lands in the same district “had done the same thing, [but] only as an experiment, and not for demonstration”; (3) that still another owner of a large tract of similar lands in the same district had, about that time, “contracted to sell 20,000 acres of same at $6 per acre” on six years' credit; and (4) that “a large majority of those who had tried out the lands had become dissatisfied, and had failed and abandoned the same.”

(D) That because of said fraudulent misrepresentations and suppressions (B and G), and' relying upon the verbal, written, and pictorial misrepresentations aforementioned (A), plaintiffs had been deceived and led into error, without which they would not have ■bought.

The defense is, in substance, the general issue.

II.

For convenience we take up these matters in irregular order.

It is quite immaterial whether the verbal, written, and pictorial representations first made to plaintiffs were true or false. They were from the start invited, to visit and investigate the lands for themselves, and were definitely told that no land would be sold to any one who had not visited and inspected it for himself and at Ms own expense. This was distinct warning to plaintiffs that they must rely upon their own judgment alone in any purchase which they might make; and—

“Statements of a vendor of land as to the value "and worth of the land and the uses to which it had been and might be put, are not such misrepresentations as to cause the contract of sale to be set aside, where all such matters could have been verified by an inspection of the land, which was accessible to the purchaser at all times.” Pike v. Kentwood Bank, 146 La. 704, 83 So. 904; Forsman v. Mace, 111 La. 28, 35 So. 372; Melka v. Brooks-Scanlon Co., Court of Appeal, First Circuit, February 27, 1915 (opinion filed in Tangipahoa parish March 3, 1915).

United States v. New South Farm & Home Co., 241 U. S. 64, 36 S. Ct. 505, 60 L. Ed. 890, Ann. Cas. 1917C, 455, has not the slightest application. That was a criminal prosecution under section 215 of the federal Criminal Code (35 Stat. at L. 1130, c. 321; Comp. Stat. § 10385), and the court held (in effect) that grossly false representations as to lands offered for sale came within the prohibition of the statute, and that the offense was complete as soon as the false statements were deposited in the mails, regardless of the actual value of the lands, or even whether any were sold on such representations.

III.

So that this feature of the case hangs upon the question. whether it be true, as al *63 .legad in the petition, that plaintiffs in their visit and endeavor to investigate the lands for themselves “were [without their realizing the fact] carefully guarded, watched and entertained by said defendants, to the extent that all conversation, or opportunity for conversation, with outside parties could not take place.”

On this point the evidence can hardly bo said to be conflicting; and thereupon the district judge says:

“Prospective purchasers were not herded, guarded or entertained on their inspection trips; nor were they discouraged to talk to southerners as plaintiffs contend. Naturally, in showing prospects about, care was taken to let them see the best and most successful farmers; but every opportunity was afforded for a fair investigation.”

And further on he says:

“The court not only finds that there was every reasonable opportunity offered plaintiffs to investigate the lands in question, but finds that they actually made an inspection of them and such investigation as they cared to make, and that plaintiffs bought, not as a result of what •defendants told them, but on their own judgment formed as a result of their own inspection and investigation.”

And the fact of the matter is that more than 2,000 prospects visited and investigated the lands, of whom less than 1,000 became purchasers, which tends to show that opportunity for full investigation was open to all who chose to avail themselves thereof, and that each of them relied upon his own judgment as to whether he would or would not "buy.

On the evidence as a whole our conclusion agrees with that of the district judge; but, granting that there is some conflict of testimony on this point, nevertheless, as just said by this court in Grau v Consolidated Dredging & Mfg. Co. (our No. 25984) post, p. 205, 110 So. 202, this day decided

“The Burden rests on appellant to show, to the satisfaction of tills court,, that the judgment appealed from is. erroneous.

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110 So. 88, 162 La. 59, 1926 La. LEXIS 2201, Counsel Stack Legal Research, https://law.counselstack.com/opinion/davitt-v-long-bell-farm-land-corporation-la-1926.