Eichbauer v. United States Fidelity & Guaranty Co.

Carl Kiburtz of Monroe, Michigan, in order to qualify as a dealer in securities in Michigan, executed a bond with defendant as surety, in compliance with (2 Comp. Laws 1929, § 9790), the blue sky law. He opened an office in Monroe where, as appeared from his printed stationery and a schedule of his liabilities, he engaged in the general business of buying, selling and trading in bonds, stocks, mortgages and farm loans.

• Plaintiff and his family had several transactions with Kiburtz as their broker, involving the purchase of bonds and mortgages. In August, 1931, plaintiff agreed to purchase a…