Bragonier v. Stevenson

This is a suit in equity to cancel two notes aggregating *579$1,100 and a mortgage securing them. Defendant sold to plaintiffs a one-fourth interest in a store at Sholes, and the notes and the mortgage were given for the purchase price. The action is based on the fraud of defendant in misrepresenting the value of the property and the amount of the store’s indebtedness. Defendant denied the fraud imputed to him and prayed for a dismissal. Upon a trial of the issues the district court dismissed the action on the ground that plaintiffs had failed to rescind the contract of sale promptly upon…