April 6, 2020

McElrath v. Electronic Investment Co. | Case Brief - Supreme Court of Minnesota - 114 Minn. 358, 131 N.W. 380 (1911)

FACTS: Plaintiff's rented property from the defendant with understanding that electric railroad would soon be running to the area. Plaintiffs also said the defendant said that with his assistance they could make $1500 per annum.

HISTORY: Overruled general demurrer

ISSUE: Can it be misrepresentation if it was based on future acts?

HOLDING: No 

RATIONALE: Intent was to induce plaintiff's to enter into the contract. The representations were presented as fact but promise for the future rested entirely on conjecture and speculation. 

DISPOSITION: Affirmed.