Borba

We review the propriety of a judgment notwithstanding the verdict in favor of respondents in appellants’ action for fraud arising out of a 1968 sale of “excess lands” situated in the Westlands Water District. A jury returned a verdict of $75,000 in favor of appellants based on a finding that respondents misrepresented a material fact in connection with the sale: that there would be “no problem” in getting Bureau of Reclamation approval of the sales price so that “bureau water” would be available to appellants for use on the land.

The trial court, concluded as a matter of law that respondents had made no misrepresentation of fact; however, if a misrepresentation of fact were made, appellants were not justified in relying thereon. For the reasons stated below, we agree with the trial court and affirm the judgment.

The facts giving rise to this controversy are as follows: in 1952 the Westlands Water District (hereinafter District) was formed to obtain a water supply for agricultural land situated in the western part of the San Joaquin Valley. In 1960 Congress authorized the San Luis Dam Project in northern California to be administered by the federal Bureau of Reclamation…