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Myers & Chapman, Inc. v. Thomas G. Evans, Inc.
North Carolina Supreme Court
374 S.E.2d 385 (1988)
Myers & Chapman, Inc. (Myers) (plaintiff) was a general contractor. Myers hired Thomas G. Evans, Inc. (Evans) (defendant) as a subcontractor. Evans submitted an application for payment from Myers for $11,000 of equipment, which Evans represented it had purchased. Myers paid Evans for the equipment, but Evans did not purchase the equipment. Myers sued Evans for fraud and gross negligence. At trial, the evidence established that Evans did not know the statements in the application were false and did not intend to deceive Myers. Following trial, the jury found that Evans had not knowingly made a false statement, but that Evans had nonetheless committed fraud. Evans appealed.
Rule of Law
Holding and Reasoning (Meyer, J.)
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