Vaughan v. Oxenborg, No. 39197
| Court | Georgia Court of Appeals |
| Writing for the Court | FRANKUM; NICHOLS, P. J., and JORDAN |
| Citation | 124 S.E.2d 436,105 Ga.App. 295 |
| Docket Number | No. 2,No. 39197 |
| Decision Date | 13 February 1962 |
| Parties | W. W. VAUGHAN et al. v. Stanley OXENBORG |
Page 436
v.
Stanley OXENBORG.
Page 437
Syllabus by the Court
1, 2. The petition agaisnt two defendants, who allegedly induced the plaintiff to invest money in the organization of a corporation by certain false representations and promises which they had no intention of fulfilling, states a cause of action.
3. Courts of law and courts of equity have concurrent jurisdiction in cases based upon fraud and deceit; and where the prayers of the petition seek only a money judgment for damages, the action is not one in equity.
Stanley Oxenborg brought an action for fraud against William Vaughan and Elmore Putney in the City Court of Hall County, alleging in substance that the defendants are partners doing business as Rocket-Wash of Georgia which purportedly engaged in the sale and establishment of coin-operated automobile wash unite (hereinafter referred to as units) to be installed in service stations; that in response to an advertisement of the defendants in a newspaper, petitioner contacted them to discuss the possibility of investing money in such units; that at said time defendants falsely represented that they had installed two such units in Atlanta during May, 1960, which were returning 30% to 35% profits; that they would furnish plaintiff with similar installed[105 Ga.App. 296] units together with signed leases from service station operators at various locations; that they already had the locations available; that if plaintiff would advance $10,000, defendants would also advance $10,000, in a joint enterprise for the purchase and installation of twelve units; that defendants suggested that plaintiff and defendants form a corporation for this purpose, but insisted that plaintiff sign an individual contract to
Page 438
purchase the units so that defendants could order them from the manufacturer prior to the organization of the corporation, which would enable them to move more quickly; that petitioner signed two purchase orders for a total of twelve units, all parties agreeing that the contrac would bind the corporation when formed; that defendants further falsely represented, prior to the organization of the corporation, that the units had been ordered, and that they already had locations leased for their installation, and it only remained to take delivery of the units and install them; that, relying on all of these representations, plaintiff placed $10,086.60 in a corporation known as Mel Leasing Corporation, which was formed on or about June 20, 1960; that each of the defendants wrote a check to Mel Leasing Corporation for $5,080.80; however, when each of said checks was presented for payment, the same was dishonored; that, in the meantime, defendants issued additional personal checks in the amount of $5,008.80, payable to Mel Leasing Corporation, and on the same day a check in the amount of $19,776, was issued by Mel Leasing Corporation to Rocket-Wash of Georgia; that the defendants opened a bank account in the name of Rocket-Wash of Georgia, deposited the Mel Leasing Corporation check therein, issued checks from Rocket-Wash of Georgia to themselves in the sum of $5,008.80 each, and deposited these checks in their respective individual bank accounts, and the sums so deposited covered their second issue of checks to Mel Leasing Corporation, neither defendant having sufficient funds to cover his check to Mel Leasing Corporation except through the means of this check-kiting device, the result being that defendants did not invest any of their own money in Mel Leasing Corporation.It is further alleged that the total consideration of the automobile-wash units purchase order was $20,023.20; that [105 Ga.App. 297] substantially all of this was paid to defendants doing business as Rocket-Wash of Georgia; that defendants have failed and refused to deliver any of said units to plaintiff or to Mel Leasing Corporation; that petitioner, who was to be general manager in charge of the units for Mel Leasing Corporation, has not received any signed leases for locations where such units were to be installed; that defendants cannot produce units installed in leased locations pursuant to said contract; that they did not have...
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Simpson Consulting, Inc. v. Barclays Bank PLC, A97A1500
...or puffing as to a future performance is not a material misrepresentation of fact that is actionable as fraud. Vaughan v. Oxenborg, 105 Ga.App. 295, 299-300(1), 124 S.E.2d 436 (1962). Statements of opinion are not such factual representations that are actionable as fraud. Buckner v. Mallett......
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Brown v. Techdata Corp., Inc., 31990
...Ga.App. 566, 130 S.E.2d 763 (1963); Doanes v. Nalley Chevrolet, Inc., 105 Ga.App. 846, 847, 125 S.E.2d 717 (1962); Vaughan v. Oxenborg, 105 Ga.App. 295, 298, 124 S.E.2d 436 (1962); Anderson v. Macy & Co., 101 Ga.App. 894, 896, 115 S.E.2d 430 (1960), and, Brown v. Ragsdale Motor Co., 65 Ga.A......
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Seale v. Miller, 1:87-CV-272-RHH.
...of future events cannot form the basis for fraud in Georgia. Dye v. Dye, 231 Ga. 533, 202 S.E.2d 418 (1973); Vaughan v. Oxenberg, 105 Ga.App. 295, 124 S.E.2d 436 (1962); Beach v. Fleming, 214 Ga. 303, 104 S.E.2d 427 (1958). Second, the projection states by its express language that it shoul......
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Cone Mills Corporation v. AG Estes, Inc., Civ. A. No. 1129.
...valid contract, it will not stand in the face of proof evidencing fraud in the procurement of that contract. E. g., Vaughan v. Oxenborg, 105 Ga.App. 295, 299, 124 S.E.2d 436 (1962). If fraudulent misrepresentations induced the execution of the contract, the document would fail to evidence t......
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Simpson Consulting, Inc. v. Barclays Bank PLC, A97A1500
...or puffing as to a future performance is not a material misrepresentation of fact that is actionable as fraud. Vaughan v. Oxenborg, 105 Ga.App. 295, 299-300(1), 124 S.E.2d 436 (1962). Statements of opinion are not such factual representations that are actionable as fraud. Buckner v. Mallett......
-
Brown v. Techdata Corp., Inc., 31990
...Ga.App. 566, 130 S.E.2d 763 (1963); Doanes v. Nalley Chevrolet, Inc., 105 Ga.App. 846, 847, 125 S.E.2d 717 (1962); Vaughan v. Oxenborg, 105 Ga.App. 295, 298, 124 S.E.2d 436 (1962); Anderson v. Macy & Co., 101 Ga.App. 894, 896, 115 S.E.2d 430 (1960), and, Brown v. Ragsdale Motor Co., 65 Ga.A......
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Seale v. Miller, 1:87-CV-272-RHH.
...of future events cannot form the basis for fraud in Georgia. Dye v. Dye, 231 Ga. 533, 202 S.E.2d 418 (1973); Vaughan v. Oxenberg, 105 Ga.App. 295, 124 S.E.2d 436 (1962); Beach v. Fleming, 214 Ga. 303, 104 S.E.2d 427 (1958). Second, the projection states by its express language that it shoul......
-
Cone Mills Corporation v. AG Estes, Inc., Civ. A. No. 1129.
...valid contract, it will not stand in the face of proof evidencing fraud in the procurement of that contract. E. g., Vaughan v. Oxenborg, 105 Ga.App. 295, 299, 124 S.E.2d 436 (1962). If fraudulent misrepresentations induced the execution of the contract, the document would fail to evidence t......