Public-domain · open source
OpenJurist

190 Ill. App. 493

Dice v. Wallace

Appellate Court of Illinois

Decided October 16, 1914

Appellate Court of Illinois · decided 1914-10-16

<p>1. Principal and agent, § 35*—right of agent to purchase principal’s property for resale. Where defendants acted as agents for a woman whose property they had under control, and in a final settlement of their affairs bought of her, without a complete disclosure of conditions to her advantage, a piece of real estate for $2,200 and immediately sold it for $5,000 to a purchaser with whom they were negotiating at the time for its sale at said price, held that they' were rightly decreed to account to her for the $5,000 with interest, and without any allowance of a commission for consummating the sale, as they occupied a fiduciary relation to the owner.</p> <p>2. Brokers, § 61*—effect of had faith. A broker’s had faith will forfeit his right to commissions and profits in a transfer of real estate.</p>

Reversed and remanded with directions · Decided 1914-10-16

Mr. Justice Scholfield

¶1delivered the opinion of the court.

¶2This is a writ of error to the Circuit Court of Vermilion county to review a decree rendered in a suit between the defendants in error and the plaintiffs in error for an accounting. The case was heard upon the amended bill, answers, replications, master’s report and exceptions thereto. Both parties filed objections and exceptions to said report and have filed errors and cross-errors in this court. Upon a hearing a decree was rendered against the plaintiffs in error on the accounting and they were ordered to pay the defendant in error Kittie B. Dice the sum of $2,683.48. The decree also allowed the plaintiffs in error a commission of $271.17, and did not allow the defendant in error, Kittie B. Dice any interest.

¶3The evidence shows that on December 20, 1902, the defendant in error Kittie B. Dice conveyed by deed to the plaintiff in error Dale Wallace real estate described as follows: All of Dice’s first addition to Hoopeston that remained unsold, together with lots, one, two, three and four of Dice’s subdivision of part of section 14, township 23 north, rang*e 12 west, which lies just west of and adjoining Dice’s first addition to Hoopeston, to sell for and account to her for the proceeds after paying certain debts.

¶4Plaintiffs in error were agents for Mrs. Dice. They had her property under their control and occupied a fiduciary relation with her and were bound to disclose to her everything to .her advantage. They properly accounted to her, so far as disclosed for all the property sold except the last tract of five acres (block 2).

¶5This, on a final settlement of their affairs, they bought of her without a complete disclosure of conditions for $2,200, and immediately sold it for $5,000. to a purchaser with whom they were negotiating at the time for its sale at $5,000. The decree is right in requiring them to account to her for the $5,000, but cross-errors by defendants in error are well assigned. Under the above facts no commission should be allowed to plaintiffs in error, and they should be charged with interest at five per cent, on $2,954.65 from October 20, 1904, the day the lot was sold by plaintiffs in error for $5,000.

¶6The defense of laches cannot prevail under the pleading and evidence in this case. The decree will be reversed and remanded at the costs of plaintiffs in error with directions to enter a decree in conformity with this opinion.

¶7Reversed and remanded with directions.

/190/illapp/493 · .json · Public domain