California Supreme Court July 2, 1964, L. A. 27851 (Bellerue v. Business Files Institute, Inc.)

McCOMB, J.

Plaintiff appeals from a judgment for defendants in an action to recover money on the ground that the transaction was a violation of the Corporate Securities Law and on the additional ground that it had been induced by misrepresentations.

Fads:

Defendants Hedden and Hilliard organized defendant Creative Management Corporation (hereinafter referred to as “C.M.C.