Court Opinion

ID: 9632186
Source: CourtListenerOpinion
Date Created: 2023-08-22 11:06:21.077508+00
Date Added: 2024-06-11T18:08:10.949035
License: Public Domain

On Rehearing
PORTER, Chief Justice.
Appellant Smith-Marshall. Agency, Inc., a corporation, duly filed a petition for rehearing which petition was granted by this court. Appellant, I. S. Stenerson, did not join in such petition and did not file a separate petition for rehearing within the time allowed by Rule 47 of this court, or at all. Stenerson did not participate in the rehearing or ask leave to so do.
At the rehearing, respondents contended that the interests of appellant, I. *291S. Stenerson, and of appellant Smith-Marshall Agency, Inc., a corporation, were separate and distinct and that a rendition of a different judgment on rehearing from the original judgment would inure only to the benefit of the Smith-Marshall Agency, Inc., and that I. S. Stenerson is bound by the original judgment. Respondents further contended that upon the expiration of ■the time-allowed for the filing of a petition for rehearing as provided by Rule 47 of the Appellate Rules of the Supreme Court, respondents were entitled and are now entitled to the issuance of a remittitur affirming the judgment against I. S. Stenerson. With these contentions of respondents we are in accord. 4 C.J.S., Appeal and Error, § 1452, p. 2049; Caldwell v. Caldwell, La.App., 55 So.2d 258; Graham v. Clearman, Tex.Com.App., 16 S.W.2d 522.
The gist of the contentions of appellant Smith-Marshall Agency, Inc., upon rehearing is that such appellant was a mere broker in the sale of the house involved and as such is not responsible for representations made within the scope of its ■ authority in good faith reliance upon -the representations of I. S. Stenerson, its principal, mad.e to such appellant as broker. ' The evidence shows that such appellant went far beyond its rights and duties as a broker. It procured the land for the subdivision. Its president went with Stenerson to Seattle, Washington, to decide upon the heating plants for the homes to be- built. It secured the financial commitment for financing the purchases of the homes from the New York Life Insurance Company. It prepared and had executed the mortgages and made a charge for servicing same. It did the advertising in the newspapers and was in charge of the model home. It could be contended with considerable merit that such acts show appellants were engaged in a joint venture in promotion of the subdivision in question. However, we do not deem it necessary to so hold as there is ample evidence to support a finding of fraudulent representations ■on the part of appellant Smith-Marshall Agency, Inc.
The advertisements in the newspapers represented that the streets would be paved. The President of Smith-Marshall Agency, Inc., testified that he obtained the information for such advertisements from the submission list of materials submitted by Stenerson to the Federal Housing Administration. Such submission list called for oiled streets.
The advertisements, among other things, represented that the homes would be supplied with automatic oil forced-air furnaces (thermostatically controlled); and there is testimony that the agents of such appellant represented that such furnaces would be of adequate size and type to properly heat such homes. There is testimony that the model home had a register against the wall in each of the bedrooms and in the living room, which would lead *292prospective purchasers to believe that such registers were to be served by ducts; and also had registers and ducts to the bathroom and kitchen. It also had a thermostat on the wall in the living room. The evidence shows that the registers in the bedrooms and living room were dummies and that apparently the registers and ducts were taken out of the bathroom and kitchen. The house delivered to respondents did not have any registers or ducts to any room and the only heat outlets were two registers in the front room attached directly to the furnace. There was a thermostatic control on the furnace to prevent the furnace from overheating but no thermostatic control of the temperature in the house. The heating plant proved entirely inadequate. The evidence discloses that the Smith-Marshall Agency, Inc., knew the type of heating plant to be installed in the home' built for respondents and that it did not correspond to the representations made in the advertisements and in the showing in the model home.
A complaint in a suit charging fraud need not allege the falsity of each and every material representation made, and a single material false representation, if properly pleaded, is sufficient to sustain the complaint. Paulsen v. Krumsick, 68 Idaho 341, 195 P.2d 363; MacLeod v. Stelle, 43 Idaho 64, 249 P. 254; Merchants Ice & Cold Storage Co. v. Globe Brewing Co., 73 Cal.App.2d 828, 167 P.2d 503; Cooper v. Wesco Builders, 73 Idaho 383, 253 P.2d 226. It necessarily follows that proof of a properly pleaded single material false representation is sufficient to sustain a judgment for damages.
We adhere to the original opinion rendered in this case. The judgment of the trial court is affirmed. Costs to respondents.
GIVENS, TAYLOR, THOMAS and KEETON, JJ., concur.