Success Motivation Institute, Inc. v. Lawlis

On Motion for Rehearing

On reconsideration of our original opinion we have reached the conclusion that we were in error in rendering judgment for exemplary damages.

It is not an essential element of fraud, as we erroneously stated, that the party charged therewith must know of the falsity of the representation in question. Graves v. Hartford Accident & Indemnity Co., 138 Tex. 589, 161 S.W.2d 464 (1942).

“ . . . Where fraud is based on a promise to do something in the future, it is necessary to allege and prove that the promise was false and was made with no intention of keeping it . . .” Motors…