Gemini Investors III, L.P. v. Nunez, 78 So. 3d 94

Gemini Investors sued ABC Distributing and individuals for damages from stock investment in DDU Express.
Nunez (ABC Distributing president) and related parties allegedly concealed material information and had superior knowledge.
DDU Express had a contract with ABC Distributing extending to 2008; ABC later planned to consolidate with LTD Distributing in Chicago.
Defendants allegedly misrepresented ongoing business with DDU Express and failed to disclose related relationships and plans.
The trial court dismissed fraud and securities act claims; a successor judge affirmed dismissal; the appellate court reversed and remanded for further proceedings.

Issue	Plaintiff's Argument	Defendant's Argument	Held
Fraudulent inducement sufficiency	Gemini alleges misrepresentation and concealment of material facts	Defendants contend pleadings are insufficient to show elements	Fraudulent inducement pled sufficiently.
Securities act claim sufficiency	Gemini asserts violation of Florida Securities Act based on concealment and misrepresentation	Defendants argue insufficient pleading of statutory elements	Securities act claims pled sufficiently; must proceed.

Siegle v. Progressive Consumers Ins. Co., 819 So.2d 732 (Fla.2002) (review of pleadings for de novo standard)
Lopez-Infante v. Union Cent. Life Ins. Co., 809 So.2d 13 (Fla.3d DCA 2002) (fraud elements; reliance and intent requirements)
Gutter v. Wunker, 631 So.2d 1117 (Fla.4th DCA 1994) (fraudulent inducement elements; superior knowledge concept)
Johnson v. Davis, 449 So.2d 344 (Fla.3d DCA 1984) (requirement of past or present fact in misrepresentation)
Mejia v. Jurich, 781 So.2d 1175 (Fla.3d DCA 2001) (exception for superior knowledge and future promises)
Telesphere Int'l, Inc. v. Scollin, 489 So.2d 1152 (Fla.3d DCA 1986) (future promises with no intent do not negate misrepresentation)