then
the courts would compel him to pay. In other words, the most general
rule is, notwithstanding such a clearly written agreement, the courts
seek to do justice between the parties. Whenever the parties do not
attempt to fix the damages themselves, should their contract not be
fulfilled, then the amount that may be recovered depends on a great
variety of circumstances. Suppose a woman should go to a store to buy
a piece of silk. She asks if the piece shown to her by the saleswoman
is all silk, who makes an affirmative reply. The buyer knows much more
about it than the saleswoman, which is often the case in buying
things, and knows it is half cotton, can the buyer recover anything?
Surely she has not been deceived. The seller may have tried to fool
her but did not, and having failed, the buyer has no legal ground for
an action. On the other hand, if the buyer was ignorant, knew nothing
about silk and had been deceived by the seller, then she would have a
clear case. This is one of the fundamentals in that large class of
cases growing out of deceit. The party seeking redress, must have been
deceived, and also injured by the deceit in order to recover. The
remedies that may be employed whenever contracting parties have
failed, or partly failed to fulfill their agreements or promises will
be considered under other heads. See _Deceit_; _Drunkenness_; _Quasi
Contract_.
=Corporations.=--There are many kinds of corporations. Those most
generally known are business corporations; and though many of them are
very large, legally they are private corporations. A railroad
corporation, though performing a public service, nevertheless is a
private corporation.
Public corporations are formed for governing the people and are often
called municipal corporations. They are created or chartered by the
legislatures of the states wherein they exist. Formerly, all private
corporations in this country were granted charters by the legislative
power, and many corporations are doing business by virtue of the
authority thus granted to them. More recently general statutes have
been enacted whereby individuals may form such corporations without
the aid of a legislature. Authority has been conferred on the courts,
secretary of state, or other official to grant to individuals, who may
apply for them, charters on complying with the requirements of these
statutes. There are other kinds of corporations, religious, charitable
and the like; only one
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