Lеhigh Valley Cooperative Farmers, Inc. (hereafter “Le-high”), appeals an order of the Court of Common Pleas of Lehigh County dismissing its exceptions and denying its motions for judgment notwithstanding the verdict or, in the alternative, for a new trial. We affirm.
By contrast, the trial court has broad discretion whether to grant a new trial. Its denial demands that we examine all the evidence and decide whether the trial court manifestly or capriciously abused that discretion or made an error of lаw.
Yandrich v. Radic,
Appellant Lehigh processes raw milk for sale to retail stores. In the early 1970s, appellant began negotiations with Topeo Associates, Inc., an Ohio firm and appellee’s
Appellant’s chief operating officer at that time, Richard Allison, told appellee on three occasions in 1971 that appellee might consider employment with appellant. Early in 1972, Allison and aрpellee began to negotiate terms for appellee’s employment. This involved at least two meetings and several telephone conversations; during one meeting appellee and Allison discussed appellant’s financial status. In Mаrch, 1972, appellee joined Lehigh as a vice-president.
In July, 1974, appellee was discharged by appellant’s new president, Robert Barry. Appellee’s dismissal did not result from any fault in his performance; rather, appellant was reducing its managеment staff because its financial health was not as it had believed. An audit of several of its annual reports, including those for the 1970 and 1971 fiscal years, disclosed numerous errors. Allison was fired upon the discovery of these errors; appellant claims that Allisоn deliberately misrepresented its finances while he was an officer of it.
Appellee sought but did not obtain new employment similar to his former office at Lehigh. Finally, he found employment as a consultant to a recycling business. He sued appellant fоr breach of contract and fraudulent misrepresentation, alleging, inter alia, that he was induced to resign from Topeo and join appellant partly on the basis of appellant’s 1970 and 1971 reports, which were discovered to have misstated appellant’s economic condition.
The jury found for appellee on both his breach of contract and fraud claims. The court fixed damages at $28,490.48 on the contract count; the jury awarded $162,000.00 compensatory damages on the fraud count.
Pennsylvania law on fraud was thoroughly reviewed in
Delahanty v. First Pennsylvania Bank, N.A.,
Appellant argues that appellee did not prove the third and fourth elements of his claim. Appellant asserts that it сould not intend that appellee rely upon the 1970 and 1971 reports because those documents were meant for perusal only by appellant’s shareholders, creditors and the like, not by prospective employees; appelleе was thus not a “foreseeable reader” of the reports. In the alternative, appellant argues that, because it had no knowledge of the fabrications in the reports, it could not intend that appellee act upon their misrepresеntation of appellant’s financial condition.
We disagree with those claims. Appellant admits that appellee read the two reports at issue in his capacity as a Topeo employee, and that it knew he read them. Therefore, appellant’s characterization of appellee as outside the scope of foreseeable recipients of the reports’ misrepresentations is meritless.
A corporation is a creature of legal fiction, and must “act” through its officers, directors or other agents.
Ashley v. Ashley,
First, corporations have long been able to confer express power to hire on one or more officers.
P. Curtis Ko Eune Co. v. Manayunk Yarn Manufacturing Co.,
Second, even if a corporation can raise the defense that an officer acted — specifically, contracted — outside the scope of his authority, it is estopped from doing so where it has. received and enjoyed the benefits of that act or contract.
Emperee v. Meyers, supra; C.L. McClain Fuel Corp., to Use of Wayne Title & Trust Co. v. Lineinger,
We cannot agree. Appellee suffered two superficially related but nonetheless distinct injuries: he was fraudulently induced to quit Topeo, where he held a high managerial position, resettle himself and his family in a new state and begin work fоr appellant, and then was fired from appellant in breach of his employment contract with it. Two separate wrongs were inflicted upon him, and our duty now is simply to determine whether the record supports the jury’s award for the first one. We concludе that it does.
Damages for fraud are limited to what losses were immediately and proximately caused by the fraud.
Crawford v. Pituch,
The determination of damages is a factual question to be decided by the fact-finder. This duty of assessing damages is within the province of the fact-finder and should not be interfered with unless it clearly apрears that the amount awarded resulted from partiality, caprice, prejudice, corruption or some other improper influence. The fact-finder must assess the worth of the testimony, by weighing the evidence and determining itscredibility, and by accepting or rejecting the estimates of the damages given by the witnesses. In reviewing the award of damages, the appellate courts should give deference to the decisions of the trier of fact who is usually in a superior position to appraise and weigh the evidence.
Delahanty, supra,
The trial court instructed the jury on determining damages for fraudulent misrepresentation, and apрellant does not contest those instructions; it disputes instead the result the jury reached by applying them.
The court, in its opinion dismissing appellant’s exceptions and denying its motions for judgment n.o.v. or a new trial, summarized appellee’s evidence of what he lost by leaving Topeo, including his salary and the value of fringe benefits at the time of his departure and projected increases in that salary. At first, recovery of these losses appears to be recovery of a lost expectation, in violation of the rule that a fraud plaintiff is limited to damages for "actual loss.” However, in an employment context lost future income is in fact what the plaintiff loses when he is induced to leave an otherwise on-going position; this is not the archetypal frаud fact-pattern in which a plaintiff was tricked into buying something for more than it was worth, or selling for less than that.
See, e.g., Glick v. Campagna,
After reviewing appellee’s evidence, we cannot say that the аmount set by the jury shocks our sense of justice or clearly resulted from “partiality, caprice, prejudice, corruption or some other improper influence.” This being so, we will not breach our deference to the trier by interfering with its award.
The order of the Court of Common Pleas dismissing appellant’s exceptions and denying its motions for judgment n.o.v. or a new trial is affirmed.
Order affirmed.
