Sigafus v. Porter

84 F. 430, 28 C.C.A. 443, 1898 U.S. App. LEXIS 1935
CourtCourt of Appeals for the Second Circuit
DecidedJanuary 8, 1898
DocketNo. 10
StatusPublished
Cited by24 cases

This text of 84 F. 430 (Sigafus v. Porter) is published on Counsel Stack Legal Research, covering Court of Appeals for the Second Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Sigafus v. Porter, 84 F. 430, 28 C.C.A. 443, 1898 U.S. App. LEXIS 1935 (2d Cir. 1898).

Opinion

LACOMBE, Circuit Judge.

Out of the 32 assignments of error, 80 ha ve been supported by argument in this court. They may be arranged in 17 groups, and are hereinafter discussed.

1. The exception reserved to the court’s denial of the motion made at the close of plaintiffs’ case to dismiss the complaint is of no a,vail. By not resting on his motion, and by thereafter offering his own evidence, the defendant waived Ms motion. Runkle v. Burnham, 153 U. S. 222, 14 Sup. Ct. 837. This disposes of the twenty-first assignment of error.

2. Orders denying motions for new trials are not reviewable in the federal courts. Railroad Co. v. Fraloff, 100 U. S. 24. This disposes of the twenty-ninth, thirtieth, thirty-first, and thirty-second assignments of error.

8. Exception was duly reserved to the refusal of the court to dismiss the complaint at the close of the testimony, and is properly presented here by assignment of error. To understand and dispose of (his exception it will be necessary to some extent to set forth the facts. Defendant practically owned the mine, and had owned it for some time, and (here was evidence tending to show that he wanted to sell it. Some time in May, 1893, one Griffith met defendant, and (old him he knew of some people in Los Angeles to whom he thought the property could be sold. Thereupon a contract was made between them in form calling for the sale of the property to Griffith for a sum named therein. Griffith was unable to sell the mine to these parties, and notified defendant to that effect, whereupon this contract terminated. On July 5,1898, defendant and Griffith entered into a second contract under seal, whereby defendant agreed to sell and convey the property to Griffith for §280,000. On August 24,1898, they entered into a third contract, also under seal, referring to the second contract, and to the fact that time was not of the essence of such contract, and providing that, in consideration of Griffith agreeing to make time the essence of said contract, defendant would sell and convey, and Griffith pay the §230,000, on or before January 1, 1894. It reserved to defendant the right and privilege at any time [432]*432before January 1, 1894, to sell the property at not less than $230,000 ($115,000 cash at 30 days), in which event he would pay Griffith $5,000. It was further stipulated in the contract that Griffith should go immediately to New Orleans, and endeavor, as agent for Sigafus, to sell the' property to parties named therein for $350,000, or such other price as Sigafus might authorize Griffith to accept. In the event of effecting the New Orleans sale Griffith was to have 10 per cent, as commission. Subsequently to the making of this contract, Griffith succeeded in effecting a sale of this property to plaintiffs for $400,000. Before this sale was effected, one Egan, a mining expert, had visited the mine, had seen Sigafus, had been furnished with what purported to be a report‘on the mine by another mining expert (Burnham), and had made an examination of the mine and of a mill run conducted while he and Sigafus were there. Griffith associated Egan and a Col. Platt with, himself in the ‘enterprise of selling the mine, the three to divide profits between them. Charles W. Morse was the first of the plaintiffs'to hear of the mine, meeting Griffith, Platt, and Egan in Denver, in October, 1893, and there is evidence tending to show that it was in part upon his employment that Egan went to the mine to make his examination. Subsequently Morse brought the other two plaintiffs into the scheme, and, after receipt of Egan’s reports, oral and written, as to the mine, they, on December 28, 1893, completed the purchase for the price named, $400,000. The complaint avers that previous to December 28,1893, defendant, through Griffith, entered into negotiations with plaintiffs for a sale to them of said mine, and plaintiffs entered into negotiations for the purchase of said mine, and thereupon, and in the course of said negotiations, the defendant falsely and fraudulently, and with intent thereby to deceive and defraud, made certain false representations, etc., specifically set forth in the complaint; that thereafter, and on December 28, 1893, plaintiffs, believing said representations to be true and correct, and relying thereupon, and induced thereby, purchased said mine. In support of the motion to dismiss it is contended that there was no proof sufficient to go to the jury that Griffith was in any way the agent of the defendant to sell the mine; that it appears that the relation was that of vendor and vendee, and that plaintiffs’ sole contract was with Griffith. Also that at the time of Egan’s visit to the mine there was no relation existing or intended between the plaintiffs and Sigafus. In reply to this it might be sufficient to say that an action for false representations will lie against the falsifier, whether the sale thereby induced is of his own property or of another’s. The court accurately expressed the theory upon which recovery was had in the charge to the jury:

“The plaintiffs claim that they were induced, to make the purchase in consequence of false representa Lions made to and fraudulent devices practiced on Egan by the defendant, while Egan was making the examination of the property, whereby Egan was led to believe the Burnham report to be true, and other facts to be true, afterwards incorporated into a report made by himself; that the defendant practiced these frauds on Egan, knowing him to be acting in the interest, of prospective purchasers, and expecting that he might mislead them by giving them incorrect information contained in .the Burnham report and his own report about the property; that Egan did give [433]*433the erroneous information to the plaintiffs, did corroborate to them the statements in the Burnham report; and that the plaintiffs, relying upon the truth of the various fads stated in that report and in Bgan’s report, purchased The property. If the jury find this theory to hi' established by the evidence, the defendant is responsible to the same extent that he would be if he. had personally misrepresented the facts to the plaintiffs, and personally misled them by fraudulent practices.”

There was no objection taken or exception reserved to (his part of the charge. Had defendant at the trial insisted that the case thus submitted to the jury was variant from tiiat set out in the complaint (and we do not now decide whether it was or not), the complaint might have been amended to conform to the proof; and, indeed, such amendment might now be made, if it were necessary. But there was abundant evidence to sustain the verdict upon the theory that Si gains was in fact undertaking to sell his own mine through the agency of Griffith. He held the title until the plaintiffs paid the money. The testimony fairly warrants the inference that when he made the contract of sale to Griffith (which he; himself in his testimony riders to as a bond. — folio 882) he knew that Griffith had no money to buy the mine Mth, and that the con-iract would be valueless and void, as the earlier one was, unless Griffith found some real purchaser in Los Angeles, or New Orleans, or the East, or elsewhere. There was testimony in the record, quite sufficient, if the jury believed it, as they did, to indicate that Siga-fus had very good reason for keeping' his own personality as much as possible in the background when the mine was to be offered for sale to a bona fide purchaser.

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Bluebook (online)
84 F. 430, 28 C.C.A. 443, 1898 U.S. App. LEXIS 1935, Counsel Stack Legal Research, https://law.counselstack.com/opinion/sigafus-v-porter-ca2-1898.