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California
Dog Bite Law
CIVIL
CODE
o:p>
DIVISION
4. General Provisions
PART
1. Relief
TITLE
2. Compensatory Relief
CHAPTER
2. Measure of Damages
ARTICLE
2. Damages for Wrongs
Cal
Civ Code § 3342.5
(2003)
§
3342.5. Duty to remove danger presented from dog bites;
Enforcement
(a) The owner of any dog that has bitten a human being shall
have the duty to take such reasonable steps as are necessary to
remove any danger presented to other persons from bites by the animal.
(b) Whenever a dog has bitten a human being on at least two
separate occasions, any person, the district attorney, or city attorney
may bring an action against the owner of the animal to determine
whether conditions of the treatment or confinement of the dog or
other circumstances existing at the time of the bites have been
changed so as to remove the danger to other persons presented by
the animal. This action shall be brought in the county where a bite
occurred. The court,
after hearing, may make any order it deems appropriate to prevent
the recurrence of such an incident, including, but not limited to,
the removal of the animal from the area or its destruction if necessary.
(c) Whenever a dog trained to fight, attack, or kill has bitten
a human being, causing substantial physical injury, any person,
including the district attorney, or city attorney may bring an action
against the owner of the animal to determine whether conditions
of the treatment or confinement of the dog or other circumstances
existing at the time of the bites have been changed so as to remove
the danger to other persons presented by the animal. This action
shall be brought in the county where a bite occurred.
The court, after hearing, may make any order it deems appropriate
to prevent the recurrence of such an incident, including, but not
limited to, the removal of the animal from the area or its destruction
if necessary.
(d) Nothing in this section shall authorize the bringing of
an action pursuant to subdivision (b) based on a bite or bites inflicted
upon a trespasser, or by a dog used in military or police work if
the bite or bites occurred while the dog was actually performing
in that capacity.
(e) Nothing in this section shall be construed to prevent
legislation in the field of dog control by any city, county, or
city and county.
(f) Nothing in this section shall be construed to affect the
liability of the owner of a dog under Section 3342 or any other
provision of the law.
(g) A proceeding under this section is a limited civil case.
HISTORY:
Added Stats 1968 ch 1274 §
1. Amended Stats 1976 ch 470 §
1.
Amended Stats 1984 ch 655 §
1, effective August 16, 1984; Stats 1998 ch 931 §
18 (SB 2139), effective September 28, 1998.
NOTES:
AMENDMENTS:
1976 Amendment:
Amended the first sentence of subd (b) by (1) adding ", the
district attorney, or city attorney" after "any person"; and (2)
substituting "municipal" for "superior".
1984 Amendment:
(1) Generally eliminated "such", (2) added subd (c); (3) redesignated
former subds (c), (d), and (e) to be subds (d), (e), and (g); and
(4) amended subd (d) by (a) deleting "which is" after "subdivision
(b)"; and (b) substituting "was" for "is" before "actually".
1998 Amendment:
(1) Amended the first sentence of subd (b) by (a) deleting
"or in the municipal court" after 'bring an action"; and (b) substituting
"the" for "such" after "presented by" at the end; (2) redesignated
former subd (g) to be subd (f); and (3) added subd (g).
OFFICIAL
COMMENT:
LAW
REVISION COMMISSION COMMENTS:
1998--Section 3342.5 is amended to accommodate unification
of the municipal and superior courts in a county. Cal. Const. art.
VI, § 5(e).
A limited civil case is within the original jurisdiction of
the municipal court or of the superior court in a county in which
there is no municipal court. Cal. Const. art. VI, §
10 (superior court jurisdiction); Code Civ. Proc. § §
85, 85.1 (limited civil cases). See also Code
Civ. Proc. § § 91,
904.2, 1085 (trial procedures and writ and appellate
jurisdiction for limited civil cases).
CROSS
REFERENCES:
Killing or impounding dog: Fd & Ag C § §
30953, 31102 et seq.
Prohibition of dogs running at large: Fd & Ag C §
§ 30954 et seq.
Dogs as property: Pen C §
491.
Injury to animals: Pen C § §
596 et seq.
COLLATERAL
REFERENCES:
Cal Forms Pl & Practice (Matthew Bender) ch 23 "Animals:
Civil Liability" § § 23.34(1),
(2).
Witkin Summary (9th ed) Torts §
876.
ANNOTATIONS:
Modern status of rule of absolute or strict liability
for dogbite. 51
ALR4th 446.
Who "harbors" or "keeps" dog under animal liability
statute. 64 ALR4th
963.
Liability for injuries inflicted by dog on public
officer or employee. 74
ALR4th 1120.
SUGGESTED FORMS
COMPLAINT
BY PARTY AGAINST OWNER OF DOG THAT HAS INFLICTED BITES ON TWO SEPARATE
OCCASIONS--FOR DETERMINATION OF WHETHER DOG SHOULD BE REMOVED FROM
AREA OR BE DESTROYED
[Title
of Court and Cause]
1.
Plaintiff resides at ----------- [address], in the City
of -----------,
County
of -----------, State of California.
2.
Defendant resides at ----------- [address], in the City
of -----------,
County
of -----------, State of California, and is the owner of -----------
[specify
breed of dog].
3.
Defendant's dog has bitten a human being on at least ---- [two]
separate
and
unrelated occasions.
4.
On ----------- [date] , defendant's dog bit ------ [person]
at ------
[location],
in the County of -----------, State of California. On ------
[date]
, defendant's dog bit ------ [person] at ------ [location],
in the
County
of -----------, State of California.
5.
------ [If applicable, set forth facts supporting allegation
of vicious
nature
of dog and defendant's knowledge of such nature and his inability
or
refusal
to take reasonable steps to remove danger presented other persons].
Wherefore,
plaintiff prays:
1.
That defendant be cited to appear and answer this complaint;
2.
That this court determine, in accordance with the provisions of
Section
3342.5
of the Civil Code of the State of California, whether conditions
of the
treatment
or confinement of the dog or other circumstances existing at the
time
of
the ---- [two] bites have been changed so as to remove the danger
to other
persons
presented by such animal;
3.
------ [If applicable, set forth any further specific relief
requested];
4.
For costs of suit; and
5.
For such further relief as may be deemed just and equitable.
Dated
-----------.
[Signature]
[For
verification, see first form set out under § 3304.]
[Reminder:
Rule 311(b) of The California Rules of Court provides that in all
proceedings
in civil law and motion in superior, municipal, and justice courts,
the
first page of each paper must specify immediately below the number
of the
case
(1) the date, time, and location, if ascertainable, of any scheduled
hearing;
(2) the nature or title of any attached document other than an
exhibit;
and (3) the trial date, if set. Documents bound together must be
consecutively
paginated.]
CIVIL
CODE
o:p>
DIVISION
3. Obligations
PART
2. Contracts
TITLE
1. Nature of a Contract
CHAPTER
3. Consent
Cal
Civ Code § 1572 (2003)
§
1572. Actual fraud defined
Actual fraud, within the meaning of this chapter, consists
in any of the following acts, committed by a party to the contract,
or with his connivance, with intent to deceive another party thereto,
or to induce him to enter into the contract:
1. The suggestion, as a fact, of that which is not true, by
one who does not believe it to be true;
2. The positive assertion, in a manner not warranted by the
information of the person making it, of that which is not true,
though he believes it to be true;
3. The suppression of that which is true, by one having knowledge
or belief of the fact;
4. A promise made without any intention of performing it;
or,
5. Any other act fitted to deceive.
HISTORY:
Enacted 1872.
NOTES:
HISTORICAL
DERIVATION:
Field's Draft NY CC §
757.
CROSS
REFERENCES:
Contract not in writing due to fraud: CC §
1623.
Statue of frauds: CC §
1624; UCC §
2201.
Rescission of contracts for fraud: CC §
1689.
Fraudulent deceit: CC § §
1709, 1710.
Deceit upon the public: CC §
1711.
Involuntary trust resulting from fraud: CC §
2224.
Damages: CC § §
3288, 3343.
Exemplary damages in case of fraud: CC §
3294.
Fraudulent instruments and transfers: CC § §
3439 et seq.
COLLATERAL
REFERENCES:
Witkin Summary (9th ed) Contracts § §
393-395, 397-399; Torts § §
657, 674, 688, 690, 705,
722, 723.
Cal Jur 3d (Rev) Criminal Law §
1281.
Calif Real Property Remedies Practice (CEB, 1982) § §
3.1-3.58.
Handling real property sales transactions. CEB Action Guide.
Drafting representations, guaranties, and indemnities for
a sale transaction. 11 CEB Bus L Prac 189.
Trial court committed prejudicial error in failing to instruct
jury on constructive fraud; burden of proof for oral modification
of written contract is preponderance of evidence rather than clear
and convincing evidence. CEB Civ Litig Rep (1986) Vol 8 No. 4 p
136.
Miller & Starr, Cal Real Estate 3d § §
1:124, 1:125, 1:126, 1:136, 1:146, 1:138, 1:137, 8:55, 8:57,
28:102, 28:103, 31:51.
LAW REVIEW ARTICLES:
Right of vendee to affirm contract and sue on
fraud. 3 Cal LR 152.
Provision for remedy and compromise agreement:
remedy for fraud inducing compromise. 10 Cal LR 263.
Remedy in tort where actual fraud is present.
36 Cal LR 138.
Admissibility of parol evidence to show that
promise was made without intention to perform it. 38 Cal LR 535.
Rescission of contract for fraud. 39 Cal LR
309.
Oral employment contracts and equitable estoppel:
The real estate broker as victim. 26 Hast LJ 1503.
Fraud begins at home, or at least with the loan
applications. 34 Orange County Law No. 8 p 20.
Contractual liability of persons ignorant of,
or not proficient in, the English language; fraud in the execution.
11 San Diego LR 427.
Tortious breach of the covenant of good faith
and fair dealing in California since Foley:Opportunity or efficiency.
26 San Diego LR 73.
Damages for fraud. 14 Santa Clara Law 325.
Rescission for fraud. 25 SCLR 204.
Election of remedies in cases of fraudulent misrepresentation.
26 SCLR 157.
Prerequisite intent to deceive. 5 UCLA LR
583.
ANNOTATIONS:
Proceeding under executory contract after discovering
fraud as waiver of right to recover damages for fraud. 13 ALR2d
807.
Contracting party's right of redress for fraud
as affected by his own breach of the contract before discovering
the fraud. 13 ALR2d 1248.
Misrepresentations as to matters of foreign law
as actionable. 24 ALR2d 1039.
False representations as to income, profits,
or productivity of property as fraud. 27 ALR2d 14.
Misrepresentation as to third person's present
intention as to future act as actionable fraud. 40 ALR2d 971.
Tort liability for damages for misrepresentations
as to area of real property sold or exchanged. 54 ALR2d 660.
Liability of vendor's real-estate broker or agent
to purchaser or prospect for misrepresenting or concealing offer
or acceptance. 55 ALR2d 342.
Right of action for fraud, duress, or the like,
causing instant plaintiff to release or compromise a cause of action
against third person. 58 ALR2d 500.
Necessity of showing damage to establish fraud
as defense to action on contract. 91 ALR2d 346.
Civil liability of witness falsely attesting
signature to document. 96 ALR2d 1346.
Obligee's concealment or misrepresentation concerning
previous defalcation as affecting liability on fidelity bond or
contract. 4 ALR3d 1197.
Fraud in connection with franchise or distributorship
relationship. 64 ALR3d 6.
Claim of fraud in inducement of contract as subject
to compulsory arbitration clause contained in contract. 11 ALR4th
774.
Claim of fraud in inducement of contract as subject
to compulsory arbitration clause contained in contract. 11 ALR4th
774.
NOTES OF DECISIONS
1. In
General 2. Elements of Fraud or Deceit, Generally 3. Material
Misrepresentation 4. Representations With Knowledge of
Falsity--Generally 5. Representations With Knowledge of
Falsity--Applications 6. Representations With No Reasonable
Grounds to Believe True--Generally 7. Representations
With No Reasonable Grounds to Believe True--Applications 8. Statements
of Facts or Opinion, Generally 9. Opinions Not Honestly
Entertained 10. Opinions Stated as Accomplished Facts 11. Opinions
Stated to Persons Entitled To Rely 12. Statements of Value
of Property 13. Statements of Fact--Applications 14. Matters
of Opinion--Applications 15. Suppression of Fact--Generally 16. Suppression
of Fact--Applications 17. Promise Made Without Intention
to Perform--Generally 18. Promise Made Without Intention
to Perform--Applications 19. Procedure--Generally 20. Pleading 21. Burden
of Proof 22. Findings 23. Procedure--Other Matters
o:p>
1. In
General
Concealment may constitute actionable fraud where seller knows
of facts which materially affect desirability of property and which
he knows was unknown to buyer.
Kallgren v Steele (1955, 2nd Dist) 131 Cal App 2d 43,
279 P2d 1027.
A promise not to enforce one of terms of written contract,
being directly at variance with terms of writing, cannot afford
basis for action in deceit.
Abbot v Stevens (1955, 2nd Dist) 133 Cal App 2d 242, 284
P2d 159.
Where any relation of confidence and trust exists between
parties which demands that information communicated respecting the
subject of their dealings be full and complete, any concealment
or misrepresentation will amount to fraud sufficient to entitle
injured party to an action.
Kruse v Miller (1956, 4th Dist) 143 Cal App 2d 656, 300
P2d 855, 61 ALR2d 1231.
One who learns that his statements, even if thought to be
true when made, have become false through change in circumstances,
has duty before his statements are acted upon to disclose the new
conditions to party relying on his original representations.
Stevens v Marco (1956, 2nd Dist) 147 Cal App 2d 357, 305
P2d 669.
A representation need not be a direct falsehood to constitute
fraud; it may be a deceptive answer or other indirect but misleading
language. Brady
v Carman (1960, 1st Dist) 179 Cal App 2d 63, 3 Cal Rptr 612.
Deceit may consist of suppression of facts which it is fiduciary's
duty to reveal. Zikratch
v Stillwell (1961, 4th Dist) 196 Cal App 2d 535, 16 Cal Rptr 660.
Deceit is tort action not requiring existence of any contract
though one may coincide with tort.
Hayman v Shoemake (1962, 5th Dist) 203 Cal App 2d 140,
21 Cal Rptr 519.
Deceit may arise from mere nondisclosure (Civ. Code, §
§ 1709, 1710).
Massei v Lettunich (1967, 1st Dist) 248 Cal App 2d 68,
56 Cal Rptr 232.
2. Elements
of Fraud or Deceit, Generally
Fraud may consist in the misrepresentation, or the concealment
of material facts, and may be inferred from the circumstances and
condition of the parties contracting.
Belden v Henriques (1857) 8 Cal 87.; Kallgren v
Steele (1955, 2nd Dist) 131 Cal App 2d 43, 279 P2d 1027.
One material misrepresentation justifiably relied on is sufficient
to establish for fraud. Harris
v Miller (1925) 196 Cal 8, 235 P 981.; Leary v Baker (1953)
119 Cal App 2d 106, 258 P2d 1090.; Mariani v Schonfeld (1954)
126 Cal App 2d 187, 271 P2d 940.; Ogier v Pacific Oil &
Gas Dev. Corp. (1955, 1st Dist) 132 Cal App 2d 496, 282 P2d 574.
There is definite distinction between a fraudulent representation
and a warranty; a fraudulent representation is an antecedent statement
made as an inducement to the contract, but is not a part or element
thereof. J. B. Colt
Co. v Freitas (1926) 76 Cal App 278, 244 P 916.
Fraud and deceit which will impose a liability for damages
must consist of representations known by the parties charged to
be false, or which are not warranted by the information which they
possess. Walker
v Department of Public Works (1930) 108 Cal App 508, 291 P 907.
Truth or falsity of the representations must be determined
as of time when they were relied and acted upon.
United States Nat. Bank v Stiller (1931) 119 Cal App 442,
6 P2d 529.
Plaintiff seeking relief from fraud will not be denied relief
because he reposed too much confidence in person who actually defrauded
him, where it cannot be said that his conduct in light of his own
intelligence and information was manifestly unreasonable.
Anderson v Thacher (1946) 76 Cal App 2d 50, 172 P2d 533.
The elements of actionable fraud which must be pleaded and
proved are a false representation of a material fact, made with
knowledge of its falsity and with intent to induce reliance thereon,
on which plaintiff justifiably relies to his injuries; and, normally,
omission of a single one of these elements in an action for deceit
will prevent recovery. Wishnick
v Frye (1952) 111 Cal App 2d 926, 245 P2d 532.
There is no requirement, that to constitute ground for recovery,
misrepresentations be made at any particular moment during negotiations.
Nathanson v Murphy (1955, 1st Dist) 132 Cal App 2d 363,
282 P2d 174.
To be actionable deceit, representation need not be made with
knowledge of actual falsity, but need only be assertion, as a fact,
of that which is not true by one who has no reasonable ground for
believing it to be true and made with intent to induce recipient
to alter his position to his injury or his risk.
Nathanson v Murphy (1955, 1st Dist) 132 Cal App 2d 363,
282 P2d 174.
Deceit may be negative as well as affirmative; it may consist
in suppression of that which it is one's duty to declare, as well
as in declaration of that which is false.
Oldenburg v Brody (1956, 4th Dist) 139 Cal App 2d 543,
293 P2d 844.; Stevens v Marco (1956, 2nd Dist) 147 Cal App
2d 357, 305 P2d 669.; Agnew v Cronin (1957, 2nd Dist) 148
Cal App 2d 117, 306 P2d 527.
If facts clearly indicate that defendant, when making misstatements
directly to plaintiff, had no intention of inducing reliance by
plaintiff, there is no actionable fraud though plaintiff in fact
relies to his detriment. Cohen
v Citizens Nat. Trust & Sav. Bank (1956, 2nd Dist) 143 Cal App
2d 480, 300 P2d 14.
Existence of duty to tell truth to plaintiff is essential
basic element of any valid claim of fraud and deceit, and unless
it is intended that plaintiff rely and act on representation made
by defendant, or unless plaintiff belongs to class to whom representation
is made, no cause of action can arise therefrom.
Hesse v Vinatieri (1956, 2nd Dist) 145 Cal App 2d 448,
302 P2d 699.
Scienter is not essential element of cause of action for deceit.
Stone v Farnell (1956, CA9 Cal) 239 F2d 750.
"Actual fraud" and "deceit" are defined in similar terms by
the code. Zinn v
Ex-Cell-O Corp. (1957, 1st Dist) 148 Cal App 2d 56, 306 P2d 1017.
Elements of actionable deceit are false representation of
material fact made with knowledge of its falsity, recklessly or
without reasonable grounds for believing its truth, and with intent
to induce reliance thereon, on which plaintiff justifiably relies
to his injury. Regus
v Schartkoff (1957, 2nd Dist) 156 Cal App 2d 382, 319 P2d 721.
General elements of cause of action for fraudulent misrepresentation
are misrepresentation (false representation, concealment, or nondisclosure),
knowledge of falsity (scienter), intent to induce reliance, justifiable
reliance, and resulting damage.
Lawson v Town & Country Shops, Inc. (1958, 2nd Dist)
159 Cal App 2d 196, 323 P2d 843.
Intent to defraud is not of essence of suit for deceit; it
is intent to induce action by other person that counts.
Ashburn v Miller (1958, 2nd Dist) 161 Cal App 2d 71, 326
P2d 229.
To constitute either actual or constructive fraud there must
be false representation or promise as to material fact, knowledge
of its falsity when made, or lack of reasonable ground to believe
in its truth, intent to deceive, or suppression, and reliance with
resulting damages. Pinney
& Topliff v Chrysler Corp. (1959, DC Cal) 176 F Supp 801.
To establish cause of action for fraud or deceit, plaintiff
must prove that material representation was made, that it was false
and defendant either knew it to be untrue or did not have sufficient
knowledge to warrant belief that it was true, that it was made with
intent to induce plaintiff to act in reliance thereon, that plaintiff
reasonably believed it to be true and did in fact rely thereon,
and that he suffered damage thereby.
Sixta v Ochsner (1960, 1st Dist) 187 Cal App 2d 485, 9
Cal Rptr 617.
Intent required in fraud and deceit is intent to induce action
in reliance on false representations, not intent to deceive.
Yellow Creek Logging Corp. v Dare (1963, 1st Dist) 216
Cal App 2d 50, 30 Cal Rptr 629.
In its broad, general sense the concept of fraud embraces
anything which is intended to deceive, including all statements,
acts, concealments and omissions involving breach of legal or equitable
duty, trust or confidence which results in injury to one who justifiably
relies thereon. Pearson
v Norton (1964, 4th Dist) 230 Cal App 2d 1, 40 Cal Rptr 634.
Elements of actionable fraud are false representation, actual
or implied, or the concealment of a matter of fact, material to
the transaction, made falsely; knowledge of the falsity, or statements
made with such disregard and recklessness that knowledge is inferred;
intent to induce another into relying on the representation; reliance
by one who has a right to rely; and resulting damage.
Pearson v Norton (1964, 4th Dist) 230 Cal App 2d 1, 40
Cal Rptr 634.
Elements of fraud, giving rise to tort action for deceit are
misrepresentation, knowledge of falsity, intent to defraud, justifiable
reliance, and resulting damage.
Norkin v United States Fire Ins. Co. (1965, 2nd Dist)
237 Cal App 2d 435, 47 Cal Rptr 15.
It is not essential to liability for fraud that the person
charged have received any advantage from the fraud. Thus, a person
may be liable for fraudulent misrepresentations even if he or she
gains no benefit or profit of any kind from them. It is essential,
however, that the person complaining of fraud actually have relied
on the alleged fraud, and suffered damages as a result. What distinguishes
actionable fraudulent deceit is the element of knowing intent to
induce someone's action to his or her detriment with false representations
of fact. Fraud is an intentional tort; it is the element of fraudulent
intent, or intent to deceive, that distinguishes it from actionable
negligent misrepresentation and from nonactionable innocent misrepresentation.
It is the element of intent which makes fraud actionable, irrespective
of any contractual or fiduciary duty one party might owe to the
other. City of Atascadero
v Merrill Lynch, Pierce, Fenner & Smith, Inc. (1998, 1st Dist)
68 Cal App 4th 445, 481, 80 Cal Rptr 2d 329.
3. Material
Misrepresentation
To recover in an action based upon fraud and deceit, it must
first be made to appear that a false representation was made as
to a material fact. Andrew
v Bankers & Shippers Ins. Co. (1929) 101 Cal App 566, 281 P
1091.
To be material the false representation must be of such a
character that, if it had not been made, the contract or transaction
would not have been entered into.
Andrew v Bankers & Shippers Ins. Co. (1929) 101 Cal
App 566, 281 P 1091.
A fraudulent misrepresentation is one made with the knowledge
that it is or may be untrue, and with the intention that the person
to whom it is made act in reliance thereon.
Seeger v Odell (1941) 18 Cal 2d 409, 115 P2d 977.
Although a person may be under no duty to speak as to another,
if he undertakes to do so either voluntarily or in response to inquiries
he is bound not only to state truly what he tells, but also not
to suppress or conceal any facts within his knowledge which materially
qualify those stated. Wice
v Schilling (1954) 124 Cal App 2d 735, 269 P2d 231.
Concealment may constitute actionable fraud where seller knows
of facts which materially affect desirability of property and which
he knows are unknown to buyer.
Kallgren v Steele (1955, 2nd Dist) 131 Cal App 2d 43,
279 P2d 1027.
Vendor's misrepresentation of acreage may be of material fact.
Nathanson v Murphy (1955, 1st Dist) 132 Cal App 2d 363,
282 P2d 174.
Concealment is material where knowledge suppressed is so important
and obviously so well in recollection of party withholding it that
its mere repression amounts to fraud.
Sanfran Co. v Rees Blow Pipe Mfg. Co. (1959, 1st Dist)
168 Cal App 2d 191, 335 P2d 995.
Property owner's representation that he was offering for sale
property on which dwelling was located, when in fact he did not
own that property, constitutes material misrepresentation, and if
relied on is sufficient to establish that element in buyer's cause
of action for fraud, regardless of whether or not owner knew exact
location of his property.
Sixta v Ochsner (1960, 1st Dist) 187 Cal App 2d 485, 9
Cal Rptr 617.
The conclusion that defendants were guilty of the tort of
deceit was justified by findings, supported by the evidence, that
they induced plaintiff to buy a subdivision of land by misrepresentations
that part of its development was a going business and that the water
rights and wells were adequate, and by promises, which they did
not intend to perform, relating to the formation of, or arrangements
with, a utility company to provide water, electricity, gas and telephone
services, that the representations were known to be false, and that
plaintiff was intended to, and did, rely on them to its detriment.
Green Trees Enterprises, Inc. v Palm Springs Alpine Estates,
Inc. (1967) 66 Cal 2d 782, 59 Cal Rptr 141, 427 P2d 805.
Generally an owner, by failing to impart its knowledge of
difficulties to be encountered in a construction project will be
liable for misrepresentation if the contractor is unable to perform
according to contract provisions.
Warner Constr. Corp. v Los Angeles (1970) 2 Cal 3d 285,
85 Cal Rptr 444, 466 P2d 996.
A misrepresentation or concealment of a known fill in a lot
sold to another constitutes material inducement working fraud on
a buyer who is ignorant of the fill.
Snelson v Ondulando Highlands Corp. (1970, 2nd Dist) 5
Cal App 3d 243, 84 Cal Rptr 800.
The essential elements of a purchaser's cause of action to
recover damages for the vendors' fraud based on nondisclosure and
not involving a confidential relationship were not present in a
case involving the purchase of a lot and dilapidated house, which
was posted after the sale as dangerous and declared condemned, where
it appeared that the purchaser was an engineer, skilled in realty
transactions, with a knowledge of value and repair requirements
and costs, that his associate in the transaction was a loan broker
and appraiser, that there was no confidential relation between the
parties, that no misinformation was given, that the vendors' broker
fully advised the purchaser of the defective condition of the house,
that representations as to the lack of pending condemnation proceedings
was accurate, that the vendors' information was known or accessible
to the purchaser, and that the purchaser chose not to obtain authorization
to inspect the building department's records affecting the house.
Driver v Melone (1970, 1st Dist) 11 Cal App 3d 746, 90
Cal Rptr 98.
In an action against a plastic surgeon arising out of scarring
of plaintiff's abdomen following an operation intended to remove
a previous scar, plaintiff's claim of fraud by defendant was not
supported by evidence that after plaintiff had retained an attorney,
defendant called her and offered either to correct her condition
or to pay for the services of another physician, that he offered
to pay her as much as $ 1,000 if she would drop the proceeding,
and that he told her either that he was "judgment proof" or would
become so in order to prevent her from recovering a judgment. There
was no evidence that such representations were not true or of reliance
by plaintiff, since she rejected the offer and continued the suit,
and there was no showing of damage in any manner.
Stone v Foster (1980, 3rd Dist) 106 Cal App 3d 334, 164
Cal Rptr 901.
4. Representations
With Knowledge of Falsity--Generally
Where misrepresentations are made knowingly, it is immaterial
whether there is intent to deceive. It is incumbent upon defendant
to disclose facts to the plaintiff in order that latter may have
opportunity to arrive at his own conclusion and make his decision
upon facts as they existed, and not upon half truths.
Pohl v Mills (1933) 218 Cal 641, 24 P2d 476.
When statement as to value is made as positive affirmation
of fact, and is intended as such by party making it, and such statement
is false and is known to be false by person making it, and such
statement is relied upon by person to whom it is made, such statement
is actionable. Willson
v Municipal Bond Co. (1936) 7 Cal 2d 144, 59 P2d 974.
Where party makes representations of fact with knowledge that
they were false, misrepresentation cannot be justified by an alleged
belief wholly unwarranted by facts.
Klutts v Rupley (1943) 58 Cal App 2d 560, 137 P2d 496.
A person who deliberately makes positive assertions that are
untrue will not avoid responsibility therefor by saying that his
adversary was not compelled to rely on them, but must go further
and show that the adversary did not in fact rely on them.
Sanders v Park Beverly Corp. (1952) 109 Cal App 2d 698,
241 P2d 597.
Expression of dishonest opinion to person entitled to rely
thereon amounts to practice of deceit on him and an action will
lie for resulting injury.
Gillespie v Ormsby (1954) 126 Cal App 2d 513, 272 P2d
949.
5. Representations
With Knowledge of Falsity--Applications
Where party to an exchange agreement expressly represents
property which he is conveying is under present rental of given
sum per month, and, though lease to tenant in possession provides
for such rental, rental value of the property is lesser sum, and
tenant has been paying only such lesser sum, this in effect amounts
to a wilful misrepresentation and is actionable fraud.
Sullivan v Helbing (1924) 66 Cal App 478, 226 P 803.
A vendor of land is guilty of actionable deceit where he knew
the number of acres in the tract, and led the real estate agent
with whom he listed the property for sale to believe that it contained
a specified number of acres; where, acting upon such information,
the agent so represented it to the vendee, and the latter believed
such representation and relied upon it in his purchase of the property;
and where the vendor knowing of such belief and knowing the actual
acreage in the tract to be less than that specified, answered the
vendee's inquiry as to the acreage by stating that he "did not know
how many acres there were," that "it may be less, it may be a little
more" than the number specified, and that the person from whom he
purchased the tract told him it contained that number of acres.
Odson v Swanson (1924) 70 Cal App 279, 233 P 354.
In connection with an exchange of lands, statements with reference
to sufficiency of water supply, when made as accomplished facts
by one of parties and accepted and relied upon by the other as such,
may become basis of an action for fraudulent representations, and
this is particularly so where known deficiency is water supply in
past is shown. Dvorak
v Latimer (1928) 91 Cal App 664, 267 P 578.
Where false statement that corporation will declare large
dividend is designed by maker to create belief it is based upon
facts within knowledge of maker, and is accepted by buying public
as statement of fact, resulting in increased sales of stock of such
corporation, maker will not be permitted to escape liability on
ground that his fraudulent statement was not statement of fact.
H. W. Smith, Inc. v Swenson (1930) 105 Cal App 60, 286
P 1050.
Where a vendor knew that his house was erected on filled in
land over a creek bed, and could not have failed to understand from
the conversation of his vendees that they had assumed otherwise,
and knew that his answer that he did not blame them "for not wanting
to buy a house over a creek, that he would not either," would tend
to confirm them in their mistake and lead them away from inquiry,
he, by this statement, and his further silence, misrepresented the
fact as to the character of the land which constituted actionable
fraud. Benner v
Hooper (1931) 112 Cal App 53, 296 P 660.
Where a canal company induced the purchase of its stock by
its representation that it was a mutual water company, whereas it
was not operating freely as a bona fide mutual water company, but
was nothing more than a corporate fiction, completely dominated
by a power company, which was a public utility, such representation
was a fraudulent deceit which entitled the aggrieved party to any
damage caused thereby. Goodspeed
v Great Western Power Co. (1939) 33 Cal App 2d 245, 91 P2d 623.
Representations of the value of corporate stock, profits to
be counted on, and the condition of a business are not dealer's
talk when made by one possessing or assuming to possess superior
knowledge regarding the business which is not available to the other,
and it amounts to an affirmation of fact and the suggestion as a
fact of that which is not true by one who does not believe it to
be true. Stallman
v Schwartz (1946) 76 Cal App 2d 406, 173 P2d 388.
Where a purchaser's investigation of income property is limited
to its physical features, and he is falsely informed that no income
and expense records exist, he does not come within the rule that
a purchaser who makes his own investigation and is allowed to proceed
without hindrance is presumed to have relied exclusively on his
own investigation and not vendor's representations.
Sanders v Park Beverly Corp. (1952) 109 Cal App 2d 698,
241 P2d 597.
In action by purchasers for damages for false representations
as to freedom of a building from termites, a judgment for defendant
exterminator cannot be supported by findings that he was not sellers'
agent and that there was no privity of contract between him and
purchasers, where, notwithstanding he had been employed by sellers'
predecessor in title, it appears that, when he gave escrow agent
a copy of certificate given to predecessor in title, in which he
asserted that to best of his knowledge the premises were free of
termites, he knew that representation therein was false, and that
purchasers would rely thereon.
Wice v Schilling (1954) 124 Cal App 2d 735, 269 P2d 231.
In action by purchaser of realty against broker for fraud,
false statement by broker as to monthly rental received from property
is misrepresentation of material fact in view of court's finding
that such statement was made by broker with knowledge that it was
not true and was made for purpose and intent of deceiving plaintiff,
and where plaintiff, in reliance on such statement, entered into
agreement to purchase property.
Barnes v Persson (1955, 2nd Dist) 131 Cal App 2d 515,
280 P2d 821.
Where defendant stated to plaintiff's representative his desires
to obtain refrigerated showcase which would not be affected by condensation,
representative replied that he did not know if certain kind of glass
would effect desired result, defendant then requested that representative
ascertain fact from his superiors, and representative returned with
statement that he had consulted his superiors and had been t |