Drexler v. Zohlen

257 N.W. 675, 216 Wis. 483, 1934 Wisc. LEXIS 373
Wisconsin Supreme Court·Decided December 4, 1934·Published·Cited by 8 cases

Opinion

Fowler, J.

The appellant makes two principal contentions : (1) That the court improperly changed the answer of the jury by which they found that the plaintiffs were not justified in relying upon the false representation which they found he made, and that the verdict as returned by the jury will not support a judgment against him based upon his own false representation; (2) that the finding of the jury that Zohlen entered into a conspiracy with Kaiser is not supported by the evidence.

(1) .We are of opinion that the court was not justified in changing the answer of the jury that the plaintiffs were not justified in relying'upon the one false statement found by them to have been made by Zohlen. The false representation was that he (Zohlen) had dealt with the Paramount Company before and made money. The question covering justification in reliance upon the representation was: “Were plaintiffs justified in relying on that representation?” This amounts to a finding that reliance upon the truth of the representation did not justify the plaintiffs in entering into the contract and making their payments, thereon. No doubt the plaintiffs might rightly believe the representation to be true. But reliance on the representation implies more than mere belief in its truth. The matter believed must be of such a nature as of itself to constitute reasonable ground for [487] the action taken. We consider that the jury might rightly decide the question as they did. We are therefore of opinion that the judgment against Zohlen cannot stand unless it is supported by the findings of Kaiser’s fraud and the existence of a conspiracy between Kaiser and Zohlen.

(2) If a conspiracy existed between Kaiser and Zohlen to wrong the plaintiffs, then Zohlen is responsible for the fraud of Kaiser perpetrated pursuant to the conspiracy to the same extent as Kaiser. 12 C. J. p. 610, § 178. It follows that if the evidence supports the finding of a conspiracy between Kaiser and Zohlen, the judgment must be sustained against Zohlen. All that is necessary to constitute a conspiracy between two or more persons to wrong another is that the alleged conspirators shall arrive at an understanding to commit the wrong. The understanding may be merely tacit. An express agreement is not necessary. Patnode v. Westenhaver, 114 Wis. 460, 474, 90 N. W. 467; Lange v. Heckel, 171 Wis. 59, 67, 175 N. W. 788; Wachowski v. Luts, 184 Wis. 584, 593, 201 N. W. 234. The proof of a conspiracy necessarily rests upon circumstantial evidence. “The ultimate fact of the corrupt agreement, if proved at all, must be inferred from established facts and circumstances.” Lange v. Heckel, supra, p, 64. With these rules in mind we must consider whether the evidence, giving it the most favorable interpretation in support of the verdict which it may reasonably bear, is sufficient to support the finding of conspiracy.

The jury might well infer from the evidence that the Kaisers thought that Zohlen, by reason of his standing in the community, would be of great service to them in furthering sales of lots to people residing in and near Sheboygan, and that to aid in furthering such sales they procured his consent to act as district manager for the Paramount Company. Zohlen admitted that he gave such consent. A half page advertisement was on June 11th published in the local [488] daily newspaper, purporting to be signed by Zohlen as district manager, which stated that Zohlen was district manager of the Paramount Company and contained the following statement:

“Here is the endorsement August Zohlen, a prominent Sheboygan citizen, gives our company and our proposition:
“ T have thoroughly investigated the Paramount Development Co., Inc., and find them to be unquestionably reliable and reputable. Any business dealings with them will be satisfactory in every way. Their proposition for the sale of property at Fond du Lac and Wauwatosa Avenues in Milwaukee is an exceptional opportunity to make a good investment.’ ”

Free access — add to your briefcase to read the full text and ask questions with AI

Drexler v. Zohlen, 257 N.W. 675, 216 Wis. 483, 1934 Wisc. LEXIS 373 (Wis. 1934).

257 N.W. 675 (Drexler v. Zohlen) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

Related

Lloyd v. Loeffler
539 F. Supp. 998 (E.D. Wisconsin, 1982)
Dalton v. Meister
239 N.W.2d 9 (Wisconsin Supreme Court, 1976)
Eisenberg v. Continental Casualty Co.
180 N.W.2d 726 (Wisconsin Supreme Court, 1970)
Powalka v. State Mutual Life Assurance Co. of America
163 N.W.2d 162 (Wisconsin Supreme Court, 1968)
Kelly v. Madison National Life Insurance
154 N.W.2d 334 (Wisconsin Supreme Court, 1967)
McCauley v. Balsley
8 N.W.2d 299 (Wisconsin Supreme Court, 1943)
Scheele v. Union Loan & Finance Co.
274 N.W. 673 (Supreme Court of Minnesota, 1937)