Is there any liability of an individual who was not an agent by reason of aiding and abetting the fraud of an agent?

California, United States of America


The following excerpt is from J. C. Peacock, Inc. v. Hasko, 16 Cal.Rptr. 525, 196 Cal.App.2d 363 (Cal. App. 1961):

Again, in Hickson v. Gray, 91 Cal.App.2d 684, 205 P.2d 420, there was presented the question of the liability of one who was not an agent by reason of his aiding and abetting the fraud of an agent; the court stated at pages 686-687 of 91 Cal.App.2d, at page 422 of 205 P.2d: 'If through fraud and conspiracy another person assists a real [196 Cal.App.2d 371] estate broker in violating his fiduciary obligation to his principal by making a secret profit and retaining the proceeds therefrom, he, as well as the fiduciary, is equally liable for all consequences of the fraud and conspiracy regardless of the extent of his participation or the share of the profits he has obtained. (citation).'

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