ÿWPCÌ …# VU:a %› 0(¡b Éw@Õ4 ) 8 0l@ 0D¬ 0Jð 0T: 0^Ž 0hì 0rT 0|Æ 0†B 0È 1uX 0dÍ U*1B)[DC„ AMÇ÷; v~F BÄ D3ávÓ 0@ç AO'Æv 0D< D/€ B¯˜HP LaserJet 4Si/4SiMX PS 600dpiPSCRIPTÈÚØÚÚØÈÚ0nLHÎ,†r‰AZ‹"Arial RegularX($¡¡- ù - ›DœDdžDŸD ¡D¢£Ó€­DÒ 3|x­((3üÝ$¤¤Ý ƒ!ÝÝ  Ýà  àòòÚ  Ú0Ú  Úóó(#Ã$òòÚ  Ú0Ú  Úóó2 ÿÿ0Indent1Ô2ÔÔ3  Ô2" ÿÿ0Indent2à0 àÔ2ÔÔ3  Ô2, ÿÿ0Indent3à0 àà0 àÔ2ÔÔ3  Ô26 ÿÿ0Indent4à0 àà0 àà0 àÔ2ÔÔ3  Ô2@ ÿÿ0Indent5à0 àà0 àà0 àà0 àÔ2ÔÔ3  Ô2J ÿÿ0Indent6à0 àà0 àà0 àà0 àà0 àÔ2ÔÔ3  Ô2T ÿÿ0Indent7à0 àà0 àà0 àà0 àà0 àà0 àÔ2ÔÔ3  Ô2^ ÿÿ0Indent8à0 àà0 àà0 àà0 àà0 àà0 àà0 àÔ2ÔÔ3  Ô ÿÿ?AGMSYaioIndent0I.A.1.a.(1)(a)i)a)P ÿÿ8Mac DefaultMac DefaultÓ ` °šXÓ< Œ 9p`(Arial% Line 7 d####7Border 1dd€-$Cþÿ << Gÿÿ íÝ ƒ!ÝÑ  ÑÑ#€d#ÑÔ€"ÔÝ  ÝÔ€"ÔÓ  Óò òÔ YYY ÔFILEDÔ€"XÔÌÌJuly€9,€1997ÌÌCecil€W.€CrowsonÌAppellate€Court€ClerkÔ  Ôó ó 1Ý ƒ!ÝÑ#€d#ÑÔ€"ÔÝ  ÝÒ € ÒÒ „ ÒÓ  ÓÔ€"ôÔà àòòÚ  ÚÚ  ÚóóHe€also€sued€the€Schrimpfs,€Doris€Freeman,€and€Tennessee€Title€Company€but€the€claimsÏagainst€these€defendants€are€still€pending.ÌPtPtHHÚ(ÿáÿâùFG(üHHÚ(d'h d))))'ÿÿdxdStyl{WP}01•ÃÃÃÃÃÃÃÃÃÃÃÃÃÃÃÃÃÃà Ãà Ãà Ãà Ãà ÃÃÃÃÃÃÃÃÃÃÃÐ ÐÐHHÐÐ  ÐÐ2ÐÐÿÿ¸æ$ÿÐÐHHÐÐÐÐÐÐÐÐ  ÐÐ ÐÐ ÐÑÑÑGenevaÑÑ ÑÑ € ÑÑ<Px–ÈÑÒÒÒ443!#4ÒÒ$ *$ÒÒ$*$ÒÒ ÿKK ÒÒ  Geneva ÒÒ  Geneva ÒÓ.,ÓÓÓÓ6ÓÓ ÓßßßßßßßßßßßßßßßßßßÑGenevaÑÑ ÑÒ  h HD: Geneva ÒÒ  h HD: Geneva Ò("ÿÿ$££Ò  ÒÒ  Ò€-‚ƒCþÿ<< CÿÿƒLevel 1Level 2Level 3Level 4Level 5($$””ò òÚ  Ú1Ú  Úó ó„„'÷ÿ dxdüÿP PdÝ ƒ!ÝÔ . ÔÔ€"ÔÝ  ÝÑ  ÑÒ € ÒÒ ° ÒÒ € ÒÒ „ ÒÑ X ÑÑ\R AØ'\ÑÑ\R AØ'\ÑÑ€ÑÑ7€W‘XXdædÈ7ÑÑ  ÑÑ  Ñ›Þ ÞÌMARK€E.€MILLER,à àà àà àà à)Ìà àà àà àà àà àà à)Ìà àPlaintiff/Appellant,à àà àà à)Ìà àà àà àà àà àà à)à àÌœVS›.à àà àà àà àà àà à)Ìà àà àà àà àà àà à)à àÌMICHAEL€P.€SCHRIMPF,€RITA€K.à à)à àAppeal€No.ÌSCHRIMPF,€and€TENNESSEEà àà à)à à01„A„01„9612„CH„00558ÌTITLE€AND€TRUST,€INC.,à àà àà à)à àÌà àà àà àà àà àà à)à àSumner€Chancery̜ـ€ÙßR€%&$A1-j|DS`  `€€@ÿRß›à àDefendants,à àà àà àà à)à àNo.€94C„219Ìà àà àà àà àà àà à)à àÌLINDA€H.€VAUGHN,€d/b/aà àà àà à)à àÌLAKESIDE€COLDWELL€BANKER,à à)ÌBONNIE€CAMPBELL€andà àà àà à)ÌCAMPBELL€REALTORS,€INC.,à àà à)Ìà àà àà àà àà àà à)Ìà àDefendants/Appellees.à àà à)ÌÌà@ àCOURT€OF€APPEALS€OF€TENNESSEEÌà@ àMIDDLE€SECTION€AT€NASHVILLEÌÌAPPEALED€FROM€THE€CHANCERY€COURT€OF€SUMNER€COUNTYÌAT€GALLATIN,€TENNESSEEÌÌTHE€HONORABLE€TOM€E.€GRAY,€CHANCELLORÌÌÌVICKY€V.€KLEINÌL.€ANTHONY€DEASÌ509€Lentz€DriveÌP.€O.€Box€608ÌMadison,€Tennessee€œ37115›Ìà àAttorneys€for€Plaintiff/AppellantÌÌJ.€RUSSELL€FARRARÌKRISTIN€ELLIS€BEREXAÌ211€Seventh€Street€North,€Suite€320ÌNashville,€Tennessee€37219Ìà àAttorneys€for€Defendant/Appellee€Linda€H.€VaughnÌà àd/b/a€Lakeside€Coldwell€BankerÌÌLINDA€F.€BURNSEDÌSunTrust€CenterÌ424€Church€Street,€Suite€1750ÌNashville,€Tennessee€37219Ìà àAttorney€for€Defendant/Appellee€Bonnie€Campbell€Ìà àand€Campbell€Realtors,€Inc.ÌÌÌà@ àAFFIRMED€IN€PART;€REVERSED€IN€PART;Ìà@ àAND€REMANDEDà àÌÌÌà àà àà àà àà àà àà àBEN€H.€CANTRELL,€JUDGEÌÌCONCUR:ÌKOCH,€J.ÌCAIN,€S.J.ÌÌÇÑ ° ÑÓÓœÓ  Ó›à@ àò òòòÔ€"„ÔO€P€I€N€I€O€Nó óóóÔ€"XÔÌÌà àà àThe€purchaser€of€a€subdivision€lot€sued€his€agent€and€the€œsellersðð›Ïagent€because€the€lot€could€not€be€approved€for€a€septic€tank.€€His€complaintÏstated€causes€of€action€for€fraud,€negligence,€and€a€violation€of€the€TennesseeÏConsumer€Protection€Act.€€œThe›€Chancery€Court€of€Sumner€County€grantedÏsummary€judgment€to€both€agents.€€We€reverse€the€simple€negligence€œclaim›€as€toÏthe€purchaserððs€own€agent.€€In€all€other€respects,€the€judgment€is€affirmed.ÌÌà@ àœò òI.ó ó€€ò òFacts›ó óÌÌà àà àThe€origin€of€this€problem€goes€back€to€1988€when€Michael€P.€andÏRita€K.€Schrimpf€bought€Lot€No.€11€in€Countryside€Estates€from€the€Arnolds.€ÏBecause€the€property€was€not€œconnected€to›€a€sewer€œand›€the€soil€did€not€percolateÏwell,€the€Schrimpfs€also€acquired€an€easement€for€a€drain€field€on€the€rear€132Ïfeet€of€Lot€No.€12.ÌÌà àà àIn€1990,€the€Schrimpfs€listed€the€lot€for€sale€with€Linda€H.€Vaughn,Ïd/b/a/€Lakeside€Coldwell€Banker.€€Bonnie€Campbell€of€Campbell€Realtors,€Inc.Ïcontacted€Ms.€œVaughn›€on€behalf€of€Mark€E.€and€œSheree›€P.€Miller,€who€wereÏlooking€for€property€in€that€vicinity.€€After€inspecting€the€property,€the€Millers€madeÍan€offer€and€the€parties€finally€arrived€at€a€sale€price€of€$21,000.€€The€contractÏcontained€the€following€contingency:€ð ðThis€sale€is€contingent€upon€sellerÏœproviding›€for€buyer€an€approved€septic€letter.ðð€€Closing€was€set€for€June€28,€1990.ÌÌà àà àOn€the€appointed€day,€all€parties€gathered€at€the€office€of€DorisÏFreeman€of€Tennessee€Title€Company,€the€closing€agent.€€Before€the€documentsÏwere€executed,€the€Millers€learned€that€a€septic€letter€had€not€been€furnished.€€Ms.ÏVaughn,€the€œsellersðð›€agent,€produced€the€recorded€easement€and€left€the€œroom›€toÏmake€a€telephone€call.€€The€Millers€assumed€she€was€checking€with€someoneÏabout€the€septic€letter,€but€she€did€not€return€with€any€further€information.€€Ms.ÏCampbell€told€the€Millers€that€they€did€not€have€to€close€without€the€letter.€€DorisÏFreeman€allegedly€said€that€the€easement€was€sufficient€to€satisfy€the€septic€letterÏcontingency,€and€on€that€assurance,€the€Millers€went€through€with€the€closing.ÌÌà àà àMrs.€Miller€died€before€1993,€when€œMr.›€Miller€put€the€property€backÏon€the€market.€€It€was€then€he€discovered€that,€even€with€the€easement€on€Lot€12,Ïthe€health€department€would€not€approve€the€installation€of€a€drain€field€to€serveÏthe€property.€€Without€an€adequate€drain€œfield,€the€property€is€not€a€suitableÏbuilding€site.›ÌÌà àà àœMr.›€Miller€sued€the€two€agents€for€fraud,€negligentÏmisrepresentations,€and€violation€of€the€Tennessee€Consumer€Protection€Act.œ× ƒ' ××  ×›ÌÌà@ àœò òII.€€›à@ àFraudó óÌÌà àà àThe€essential€element€of€a€claim€for€fraud€is€an€intent€to€deceive.€ÏòòWilder€v.€Tennessee€Farmers€Mutual€œIns›.€Co.,óó€912€S.W.2d€œ722,€726›€(Tenn.€App.Ï1995).€€We€do€not€think€any€trier€of€fact€could€infer€that€either€of€the€agentsÏintended€to€deceive€the€Millers.€€Aside€from€the€question€of€whether€anyÏrepresentations€œat€all€were›€œmade€by€these€defendants›€at€the€closing€„„€which€weÏwill€address€in€the€next€section€of€this€opinion€„„€there€is€no€proof€that€anyone€atÏthe€closing€knew€that€the€easement€on€Lot€12€would€not€allow€the€Millers€to€get€aÏseptic€tank€permit.€€If€a€party€thinks€he€is€stating€the€truth,€he€is€not€liable€for€fraudÏeven€though€the€statement€turns€out€to€be€entirely€false.€€òòWynne€v.€Allenóó,€66€Tenn.Ïœ312,€316›€(Tenn.€1874).€€œHe›€may€be€liable€under€some€other€theory,€òòHaynes€v.ÏCumberland€Builders,€Inc.óó,€546€S.W.2d€228€(Tenn.€App.€1976),€but€actual€fraudÏcannot€be€maintained€under€such€circumstances.ÌÌà@ àœò òIII.ó ó€€ò òNegligence›ó óÌà@ àò òa.€€œNegligent€Misrepresentationsó ó›ÌÌà àà àð ðOne€who,€in€the€course€of€his€business,€profession,€or€employment,Ïor€during€a€transaction€in€which€he€had€a€pecuniary€interest,€supplies€falseÏinformation€for€the€guidance€of€others€in€their€business€transactions,€is€subject€toÏliability€for€pecuniary€loss€caused€to€them€by€their€justifiable€reliance€upon€suchÏinformation,€if€he€fails€to€exercise€reasonable€care€or€competence€in€obtaining€orÏcommunicating€the€information.ðð€€òòHaynes€v.€Cumberland€œBuilders,€Inc.óó,›€546ÏS.W.2d€228€at€œ232›€(Tenn.€App.€1976);€òòJasper€Aviation,€Inc.€v.€œMcCollum›€Aviation,ÏInc.óó,€497€S.W.2d€240€(Tenn.€1972).ÌÌà àà àœAn›€œessential€element›€of€this€cause€of€action€is€the€supplying€of€falseÏinformation€for€the€guidance€of€others.ÌÌà àà àIn€this€case,€the€cause€of€action€is€grounded€on€the€allegation€thatÏeither€or€both€of€the€agents€supplied€the€Millers€with€the€information€that€theÏeasement€on€Lot€12€would€allow€a€septic€tank€to€be€installed€on€the€property.€€WeÏcan€find€no€proof€to€that€effect.€€Ms.€Vaughn€produced€the€easement€but€made€noÏstatements€as€to€its€sufficiency.€€When€she€left€the€room,€the€Millers€thought€sheÏwas€making€a€telephone€call€trying€to€locate€the€septic€letter.€€She€did€not€return,Ïand€that€is€the€last€we€know€of€œher€in€connection€with€the€closing.›€€Thus,€weÏcannot€find€where€she€supplied€any€erroneous€information€to€the€Millers.ÌÌà àà àThe€same€is€true€with€respect€to€the€Millersðð€own€agent,€Ms.ÏCampbell.€€She€was€present€during€the€entire€time€of€the€closing,€but€she€advisedÏthe€Millers€that€they€did€not€have€to€close€because€the€contract€had€not€beenÏfulfilled.€€There€is€no€proof€from€which€we€could€infer€that€Ms.€Campbell€suppliedÏthe€erroneous€information€that€induced€the€Millers€to€close€the€transaction€withoutÏgetting€the€septic€letter.ÌÌà@ àò òb.€€Breach€of€Dutyó óÌÌà àà àThe€plaintiff€also€alleges€that€the€two€agents€breached€a€duty€of€careÏby€failing€to€confirm€that€œhaving€the›€easement€made€getting€a€septic€letter€a€matterÏof€course.€€A€breach€of€a€duty€owed€to€the€plaintiff€is€œat€the€core€of›€a€negligenceÏœclaim.€€òòHastings€v.€Smithóó,€223€Tenn.€142,€443€S.W.2d€436€(1969).›ÌÌà àà àAs€to€Ms.€Vaughn,€we€do€not€think€she€owed€such€a€duty€to€theÏMillers.€€œHer›€duty€was€to€her€clients.€€She€did€not€have€a€duty€to€the€Millers€toÏassure€them€that€the€contract€had€been€fulfilled.ÌÌà àà àIt€is€a€closer€question€with€respect€to€Ms.€Campbell,€the€Millersðð€ownÏagent.€€Did€she€have€a€duty€to€speak€up€when€her€clients€were€told€that€theÏeasement€satisfied€the€septic€letter€contingency?€€We€are€not€prepared€to€say€thatÏas€a€matter€of€law€she€had€no€duty€in€this€instance.€€Although€she€had€advised€herÍclients€that€they€did€not€have€to€close,€and€we€are€satisfied€that€she€did€not€knowÏthe€lot€could€not€be€built€upon,€would€a€reasonably€prudent€real€estate€agent€fromÏthe€area€stand€by€when€someone€else€œmade›€a€representation€to€her€clients€thatÏnegated€her€advice?€€We€think€the€plaintiff€is€entitled€to€a€trial€on€that€point.ÌÌœÌÌÑ X Ñ›à@ àœò òIV.€€›à@ àThe€Consumer€Protection€Actó óÌÌà àà àThe€Consumer€Protection€Act€makes€deceptive€acts€or€practicesÏunlawful,€Tenn.€Code€Ann.€ðð€47„18„104(a).€€It€also€gives€a€private€cause€of€actionÏto€anyone€harmed€by€an€unfair€or€deceptive€act€or€practice.€€Tenn.€Code€Ann.€ððÏ47„18„109.ÌÌà àà àWe€have€already€noted€that€neither€of€these€defendants€had€anÏintent€to€deceive€the€Millers.€€While,€for€the€purpose€of€the€Consumer€ProtectionÏAct,€the€deceptive€acts€or€practices€do€not€have€to€be€wilful€or€knowing,€òòSmith€v.ÏScott€Lewis€Chevrolet,€Inc.óó,€843€S.W.2d€9€(Tenn.€App.€1992),€we€do€not€think€anyÏtrier€of€fact€could€find€that€these€defendants€engaged€œin›€a€deceptive€act€orÏpractice.€€They€did€not€represent€anything;€they€did€not€act€in€concert€with€anyoneÏmaking€any€representations.€€The€most€that€can€be€said€is€that€Ms.€Campbell€didÏnot€speak€up€when€she€arguably€œhad›€a€duty€to€do€so.à àÌÌà àà àThe€judgment€as€to€Ms.€Campbell€on€the€simple€negligence€claim€isÏreversed.€€As€to€all€other€claims€the€lower€courtððs€judgment€is€affirmed.€€The€causeÏis€remanded€to€the€Chancery€Court€of€Sumner€County€for€further€proceedings€inÏaccordance€with€this€opinion.€€Tax€the€costs€on€appeal€one„fourth€to€Ms.ÏCampbell€and€three„fourths€to€the€appellant.ÌÓӜ̛Ìà àà àà àà àà àà à________________________________Ìà àà àà àà àà àà àBEN€H.€CANTRELL,€JUDGEÌÌÌœCONCUR:›ÌœÌ›ÌÌ_______________________________ÌWILLIAM€C.€KOCH,€JR.,€JUDGEÌœÌÌ›Ì_______________________________ÌWILLIAM€B.€CAIN,€SPECIAL€JUDGEÌÑ  ÑœÑ ° ÑÓ` °‚XÖ ˜XÓ›à@ àœ›