68 Iowa 241 | Iowa | 1885
II. The district court instructed the jury that the burden rested upon the plaintiffs to prove, by a preponderance of evidence, the allegations of the petition. The defendants ask the court to direct the jury that, in determining whether the representations were intentionally made, they must consider the presumption of defendants’ innocence; and, to authorize a verdict against defendants, the evidence for the plaintiffs must not only overcome all evidence introduced against them, but also the presumption of defendants’ inno
III. Counsel for defendants maintain that the action is brought upon Code, § 1071, which provides that intentional frauds in deceiving the public or individuals in relation to the means or liabilities of corporations shall be punished by fine and imprisonment, and any one suffering injury from such frauds may recover damages against those guilty thereof; and that, as recovery is sought under this penal statute, the rule of presumption as to innocence prevailing in criminal and penal cases must obtain in this case. Right 'here is counsel’s mistake. The action is not brought under the statute, and does not purport to be. There is nothing in the petition showing any such purpose of the pleader drawing it. It alleges that defendants are officers of the corporation. But this allegation may be regarded as showing the intentional misrepresentations of defendants. They would be presumed, as officers, to know whether the corporation was or was not indebted. The case presented by the petition is simply one to recover for false and fraudulent representations, inducing the purchase of the stock, — a cause of action at common law. In this view of the case the court correctly instructed the jury.
IY. There may have been questions as to the misjoinder of defendants, but they are not before us upon this appeal.
• Affirmed.