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LOUIS KADISON et al., respondents, v. LILLIAN HORTON et al., appellants.

1. It is well settled that since fraud is a conclusion of law, it may not be charged in general terms. The pleadings must state the facts which are relied on as constituting the fraud. Held, the bill of complaint pleads sufficient facts which, if proven at the hearing, would fully support complainants' charge of fraud. For the purpose of defendants' motion to strike the bill, these facts must be considered as admitted. Motion denied.

2. One of the defendants moves to strike the bill as to himself on the ground that it fails to allege that he has, or claims to have, any interest in the controversy, and no relief against him is sought. The bill alleges that he was an active participant in the fraudulent issuance of the stock certificates in question. If that fraud is proven at the hearing, and his participation established, it might very well be that a judgment or decree against him, under the general prayer for relief, would follow. The court's power to render such a judgment in an appropriate case cannot be questioned. Motion denied.

PER CURIAM.

The order appealed from is affirmed, for the reasons stated in the opinion filed in the court below by Vice-Chancellor Grimshaw.

For affirmance — THE CHIEF-JUSTICE, BODINE, DONGES, HEHER, WACHENFELD, EASTWOOD, BURLING, WELLS, DILL, FREUND, McLEAN, SCHETTINO, JJ. 12.

For reversal — None.

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KADISON v. HORTON
(May 13, 1948)