Same - Materiality

Not only must the representation be of a fact, but it must be of a material fact. A false representation of an immaterial fact, whatever may have been the intention, has no effect.26 It may often be difficult to say when a representation is material, but it is probably safe to say that it is always material if, had it been known to be false, the contract would not have been entered into.27

Same - Made By Party To Contract

In order that false representations may affect the validity of a contract, they must be made by a party to the contract, or by his authority. A party to a contract may not have it set aside because of the fraud of a third person, not the agent of the other party, nor acting in collusion with him.28

23Berry v. Whitney, 40 Mich. 71; Haviland v. Willets, 141 N. Y. 35, 35 N. E. 958; Motherway v. Wall, 168 Mass. 333, 47 N. E. 135. See "Contracts," Dec. Dig. (Key-No.) § 94; Cent. Dig. §§ 420-1,30.

24Upton v. Tribilcock, 91 U. S. 45, 23 L. Ed. 203; Fish v. Cleland, 33 I11. 238; Wheaton v. Wheaton, 9 Conn. 96; Grant v. Grant, 56 Me. 573; Bank of United States v. Daniel, 12 Pet 32, 9 L. Ed. 989; Pinkham v. Gear, 3 N. H. 163; Clem v. Railroad Co., 9 Ind. 488, 68 Am. Dec. 653; Ętna Ins. Co. v. Reed, 33 Ohio St. 293; Townsend v. Cowles, 31 Ala. 428; Sims v. Ferrill, 45 Ga. 585; Starr v. Bennett, 5 Hill (N. T.) 303; Moreland v. Atchison, 19 Tex. 303; People v. Supervisors, 27 Cal. 655; Dillman v. Nadlehoffer, 119 I11. 567, 7 N. E. 88; Burk v. Johnson, 146 Fed. 209, 76 C. C. A. 567. But see Underwood v. Brockman, 4 Dana (Ky.) 309, 29 Am. Dec. 407; Fitzgerald v. Peck, 4 Litt (Ky.) 125; Lowndes v. Chisolm, 2 McCord, Eq. (S. C.) 455, 16 Am. Dec. 667. False representation by the lessor of property that the lessee will have the right to sell intoxicating liquors therein. Gormely v. Association, 55 Wis. 350, 13 N. W. 242. See "Contracts," Dec Dig. (Key-No.) § 94; Cent. Dig. §§ 420-430.

25 Ante, p. 256.

26 Young v. Young, 113 I11. 430; Dawe v. Morris, 149 Mass. 188, 21 N. E. 31.3, 4 L. R. A. 158, 14 Am. St. Rep. 404; Geddes v. Pennington, 5 Dow. 159; Davis v. Davis, 97 Mich. 419, 56 N. W. 774; Nounnan v. Land Co., 81 Cal. 1, 22 Pac. 515, 6 L. R. A. 219; Winston v. Young, 52 Minn. 1, 53 N. W. 1015; Palmer v. Bell, 85 Me. 352, 27 Atl. 250; Curtiss v. Howell, 39 N. Y. 211. See "Contracts;' Dec. Dig. (Key-No.) § 94; Cent. Dig. §§ 420-430.

27 McAleer v. Horsey, 35 Md. 439; Powers v. Fowler, 157 Mass. 318, 32 N. E. 166; Hoist v. Stewart, 161 Mass. 516, 37 N. E. 755, 42 Am. St Rep. 442. Post, p. 288. See "Contracts," Dec. Dig. (Key-No.) § 94; Cent. Dig. §§ 420-430).