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Pablo (D) was president of Hawaiian (P). In addition, D and his wife, Rufina (D1), were directors of Pablo Realty (D2). D and D1 were traveling in California at their own expense in connection with their private real estate business. When they returned to Hawaii in early 1964, D notified P of the attractive real estate opportunities in California. A committee was appointed of four persons including D, and they were sent to California to investigate. Agreements were reached by D on behalf of P to purchase two parcels of land. The sellers were represented by different real estate brokers who eventually split their commissions from the sellers with D. P did not know of these commissions until they were disclosed in March of 1965. P sued D to get the commission money ($22,000) and the trial court ruled against P in that D had committed no wrong. P appealed.

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