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Park 100 Investors, Inc. v. Kartes

Indiana Court of Appeals (1995) | 650 N.E.2d 347; 1995 Ind. App. LEXIS 592; 1995 WL 316515

4 min read

TL;DR: A landlord's agent fraudulently procured personal guarantees from business owners by misrepresenting the document as "lease papers" requiring an urgent signature. The court held the guarantees were unenforceable due to the landlord's fraudulent inducement, excusing the signers' failure to read the document.

Legal Significance: A party's fraudulent misrepresentation in procuring a signature on a contract vitiates the other party's general duty to read the document. Even sophisticated parties may justifiably rely on such misrepresentations, rendering the contract unenforceable.