Downs v. Wallace

The plaintiffs, Gia M. Downs and David L. Downs (husband and wife), appeal from a summary judgment in favor of the defendants, D. Wallace Corporation ("the Corporation") and Danny Wallace, president of the Corporation, in an action alleging fraud.1 We reverse and remand.

On March 27, 1990, the Downses entered an agreement with Terry Steadman to purchase from him a business called Hazel Green Feed and Seed ("the Business"). The purchase price was $16,000. The Downses executed a note to finance the purchase price, promising to pay Steadman $257.43 per month, beginning April 19, 1990, and…