Power v. Smith

The trial court entered judgment in favor of plaintiffs, Thomas J. Power and R.J. Power Plumbing & Heating (Power Plumbing), and against defendant Robert L. Smith, on the basis that Smith was guilty of fraudulent misrepresentation. Smith appeals. Because we conclude that any misrepresentation was not a misrepresentation of fact, but a mere statement of opinion, we reverse.

I. BACKGROUND

Power is the owner of Power Plumbing. Smith previously owned Smith Construction, which did water and sewer jobs in California. Smith and Power met in 1995 while Smith and Power Plumbing were doing work on a…