Bank of America National Trust & Savings Ass'n

71 P.2d 291, 22 Cal. App. 2d 411, 1937 Cal. App. LEXIS 137
CourtCalifornia Court of Appeal
DecidedAugust 25, 1937
DocketCiv. No. 10370
StatusPublished
Cited by8 cases

This text of 71 P.2d 291 (Bank of America National Trust & Savings Ass'n) is published on Counsel Stack Legal Research, covering California Court of Appeal primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Bank of America National Trust & Savings Ass'n, 71 P.2d 291, 22 Cal. App. 2d 411, 1937 Cal. App. LEXIS 137 (Cal. Ct. App. 1937).

Opinion

THE COURT.

This is an appeal by defendants from a judgment in favor of the plaintiff, adjudging to it restitution of certain real property in the possession of certain of the defendants, the action being one in unlawful detainer. The plaintiff was also awarded damages for its detention.

The defendants make several contentions in support of their appeal; but in view of the conclusion we have reached upon one of them, namely, that the present action is barred by a previous adjudication between the parties, it will be unnecessary to consider the others.

The plaintiff averred in its complaint that it "was the owner of the premises and entitled to their immediate possession; that the tenancy of the defendants had expired; that a 30-day notice to quit had been served upon them without result, followed by one of three days, which proved equally fruitless.

By their answer, supplemental answer and amended and supplemental answer the defendants denied that the plaintiff was the owner or entitled to the possession of the premises; and averred that their possession and occupancy was and had been under a 7-year oral lease entered into between plaintiff and defendants on December 1, 1931. In a separate defense they proceeded to amplify this averment and show that they were formerly the owners of the real property, and had borrowed from the plaintiff a sum of money secured by a deed of trust thereon; that they being in default in the payment of their indebtedness, the plaintiff proceeded under the provisions of the deed to sell the premises; that it bought them in at the sale and in due course received a deed therefor from the trustee; that during the pendency of the proceeding for said sale the plaintiff, for a valuable consideration, entered into an oral agreement with said defendants, by which it leased to them the premises for a period of seven years, with the understanding that the terms thereof would in due course be reduced to writing; that under and by virtue thereof said defendants remained in possession and proceeded to farm the land and carry out in all respects the terms of the lease; that the plaintiff subsequently failed and refused to execute the promised written lease, but that it is estopped to set up [414]*414that provision of the statute of frauds making a lease of land for a longer period than one year invalid in the absence of a memorandum thereof signed by the party to be charged; that the plaintiff had prior to the commencement of the present suit brought a similar action in unlawful detainer against the defendants, in which it set up the same title and right to possession which are here pleaded; that the defendants in their answer thereto made precisely the same defense as they here advance; that a trial thereon was duly had before a jury, which rendered a verdict in their favor, and that judgment thereon was entered, which judgment, it is averred, “has become final and that it constitutes a bar to and estops plaintiff, from prosecuting this action”.

The present suit was tried before the court, which filed written findings of fact; and it is therein found that the defendants pleaded in the former action that they were tenants of the plaintiff under the alleged lease in practically, if not precisely, the same language as in the present one.

We are not here concerned with the question whether the verdict of the jury in the former action was correct. If the same evidence, or evidence substantially the same, was presented therein as in the trial of the present suit we are inclined to doubt it if thereby they intended to determine that the lease was valid for more than one year; but that question is foreclosed by the judgment therein entered.

The principle invoked by the defendants that the former judgment is a bar to the present action is thus stated in the article on Judgments in volume 34, Corpus Juris, section 1154, page 743: 1 ‘ The judgment or decree of a court of competent jurisdiction upon the merits concludes the parties and their privies to the litigation, and constitutes a bar to a new action or suit involving the same cause of action, either before the same or any other tribunal;” and among the many decisions cited in support of the doctrine thus formulated are the following from the Supreme Court of this state: Krzepicki v. Krzepicki, 167 Cal. 449 [140 Pac. 13] ; South San Bernardino Land & Imp. Co. v. San Bernardino Nat. Bank, 127 Cal. 245 [59 Pac. 699]; Keech v. Beatty, 127 Cal. 177 [59 Pac. 837]; Chase v. Swain, 9 Cal. 130, followed by decisions of this court in Leaver v. Smith, 47 Cal. App. 474 [190 Pac. 1050]; O’Brien v. Reardon, 29 Cal. App. 703 [155 Pac. 534].

[415]*415The principle goes even farther. ‘ ‘ The rule is often stated in general terms that a judgment is conclusive not only upon the questions actually decided and determined, but upon all matters which might have been litigated and decided in that suit.” (34 Cor. Jur., Judgments, sec. 1322, p. 909, citing the following cases from this jurisdiction: Reynolds v. Churchill Co., 187 Cal. 543 [202 Pac. 865]; Connor v. Bakersfield Bank, 183 Cal. 199 [190 Pac. 801]; Erving v. Jas. H. Goodman & Co. Bank, 171 Cal. 559 [153 Pac. 945]; Allen v. Allen, 159 Cal. 197 [113 Pac. 160]; In re Bell’s Estate, 153 Cal. 331 [95 Pac. 372]; Crew v. Pratt, 119 Cal. 139 [51 Pac. 38], and others.)

It is said that the rule is founded upon two considerations: One, public policy and necessity, which makes it to the interest of the state that there should be an end to litigation; the other, the hardship on the individual that he should be vexed twice for the same cause. “The doctrine treats the final determination of the action as speaking the infallible truth as to the rights of the parties as to the entire subject of the controversy, and such controversy and every part of it must stand irrevocably closed by such determination. The sum and substance of the whole doctrine is that a matter once judically decided is finally decided.” (Id., sec. 1154, p. 743; Giuffre v. Lauricella, 25 Cal. App. 422 [143 Pac. 1061].)

The record in the present case establishes that the plaintiff’s cause of action against the defendants is precisely the same in each suit, namely, the right to immediate possession of the land involved by virtue of its ownership thereof; and that the same defenses are set up by the defendants in their answer in each suit, namely, first, denial of' such ownership, and second, the right on their part to possession by virtue of a 7-year oral lease the invalidity of which the plaintiff is estopped to assert, the facts and circumstances creating such estoppel being set forth.

The respondent calls attention to a limitation of this rule of res judicata, namely, that it extends only to the facts and conditions as they existed at the time the judgment was rendered, or more correctly speaking, at the time the issues in the first action were made, and to the legal rights and relations of the parties as fixed by the facts determined by that judgment; and when new facts or conditions intervene before the second suit, furnishing a new basis for the claims [416]*416and defenses of the parties respectively, the issues are no longer the same, and hence the former judgment cannot be pleaded in bar of the second action. (34 Cor. Jur., Judgments, sec. 1228, p.

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71 P.2d 291, 22 Cal. App. 2d 411, 1937 Cal. App. LEXIS 137, Counsel Stack Legal Research, https://law.counselstack.com/opinion/bank-of-america-national-trust-savings-assn-calctapp-1937.