Corbin v. Lee, 45332

Citation121 Ga.App. 784,175 S.E.2d 102
Decision Date21 May 1970
Docket NumberNo. 2,No. 45332,45332,2
PartiesHoward H. CORBIN v. Bobby C. LEE
CourtUnited States Court of Appeals (Georgia)

Greer, Sartain & Carey, Jack M. Carey, John L. Cromartie, Jr., Gainesville, Merritt & Pruitt, Glyndon C. Pruitt, Buford, for appellant.

Smith & Smith, Douglas E. Smith, Gainesville, for appellee.

Syllabus Opinion by the Court

EBERHARDT, Judge.

Howard Corbin brought suit against Bobby Lee, seeking to recover $2,000 actual damages and $2,000 punitive damages for fraud and deceit in the sale of realty. The evidence showed that Lee executed a warranty deed on July 1, 1967, purporting to convey to Corbin a one-half undivided interest in six lots of land. Corbin later learned of another warranty deed dated January 10, 1967, and recorded August 29, 1967, purporting to convey the same interest from Lee to Kenneth Jones. The evidence was conflicting as to whether Corbin was an innocent purchaser for value without notice, or whether the conveyance was a sham transaction for the purpose of enabling him to finance the purchase of a mobile home, both parties knowing that Lee had previously conveyed his interest to Jones. There was also a dispute as to the actual date of the Lee-Jones conveyance, Corbin contending it was made subsequent to his conveyance but back-dated, and Lee contending the date appearing on the deed was correct. Of the $2,000 prayed as actual damages, $750 was sought as the purchase price paid to Lee and $1,250 was sought as the value of improvements Corbin had made. There was no evidence that Corbin had attempted to rescind the contract, restore the benefits received, and regain the sums paid out. On the contrary the evidence showed that Corbin intended to remain, and still remains, in possession. There was no evidence of an eviction, or that Corbin had been required to pay rent, or that because of the title status he had been refused a loan on the property. 1 At the conclusion of the evidence the trial court directed a verdict for Lee on the basis that Corbin had failed to prove any actual damage. Held:

We affirm. 'When a vendee is induced to enter into a contract for the purchase of land by the fraud of the vendor, when the former discovers the fraud he has an election of remedies. One of such remedies is to rescind the contract, and another is to affirm the contract and sue for damages for the fraud. (Cit.) One who seeks rescission of a contract on the ground of fraud must restore or offer to restore the consideration therefor as a condition precedent to bringing the action. (Cit.)' Manget v. Cunningham, 166 Ga. 71, 88, 142 S.E. 543, 551. 'One who has been fraudulently induced to purchase property may, after discovering the fraud, affirm the contract and sue for damage resulting from the fraud, or he may rescind the contract for fraud and, after offering to restore, recover the...

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6 cases
  • Gibson v. Home Folks Mobile Home Plaza, Inc., Civ. A. No. CV181-002.
    • United States
    • United States District Courts. 11th Circuit. United States District Court (Southern District of Georgia)
    • March 10, 1982
    ...Wash, Inc. v. Schwab, 215 Ga. 319, 320, 110 S.E.2d 341 (1959); Tuttle v. Stovall, 134 Ga. 325, 328, 67 S.E. 806 (1910); Corbin v. Lee, 121 Ga. App. 784, 785 (1970); American Service Co. v. Berry, 108 Ga.App. 413, 415-16, 133 S.E.2d 433 (1963). The rationale for such an election, of course, ......
  • Price v. Mitchell, s. 59358
    • United States
    • United States Court of Appeals (Georgia)
    • June 18, 1980
    ...the contract for fraud and, after offering to restore, recover the purchase price paid by him. (Cit.) . . .' " Corbin v. Lee, 121 Ga.App. 784, 785, 175 S.E.2d 102, 104 (1970). In the instant case, the Mitchells obviously have chosen not to affirm the contract since they refused to consummat......
  • Vivid Investments, Inc. v. Best Western Inn--Forsyth, Ltd., INN--FORSYT
    • United States
    • United States Courts of Appeals. United States Court of Appeals (11th Circuit)
    • May 20, 1993
    ...fraud to "restore or offer to restore the consideration therefore as a condition precedent to bringing the action." Corbin v. Lee, 121 Ga.App. 784, 175 S.E.2d 102, 104 (1970). Georgia courts have carved out an exception to this rule, however, for situations in which restoration of the consi......
  • National Old Line Ins. Co. v. Lane, 68901
    • United States
    • United States Court of Appeals (Georgia)
    • November 6, 1984
    ...rescind the contract for fraud and, after offering to restore, recover the purchase price paid by him. [Cit.]' " Corbin v. Lee, 121 Ga.App. 784, 785-786, 175 S.E.2d 102 (1970). The requirement that an offer of restoration be made as a condition precedent to seeking recovery of the purchase ......
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