Chahon v. Schneider

256 P.2d 54, 117 Cal. App. 2d 334, 1953 Cal. App. LEXIS 1816
CourtCalifornia Court of Appeal
DecidedApril 17, 1953
DocketCiv. 15416
StatusPublished
Cited by18 cases

This text of 256 P.2d 54 (Chahon v. Schneider) 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
Chahon v. Schneider, 256 P.2d 54, 117 Cal. App. 2d 334, 1953 Cal. App. LEXIS 1816 (Cal. Ct. App. 1953).

Opinions

WOOD (Fred B.), J.

In this action for quasi-specific performance of an oral contract to transfer certain property by will, in consideration of services rendered during the lifetime of the promisor, judgment was rendered against the plaintiff upon the sustaining of a demurrer to the amended complaint without leave further to amend.

The demurrer presented the asserted bar of that clause of the statute of frauds which declares invalid “An agreement which by its terms is not to be performed during the lifetime of the promisor, or an agreement to devise or bequeath any property, or to make any provision for any person by will, ’ ’ unless the same or some note or memorandum thereof be in writing and subscribed by the party to be charged or by his agent. (Civ. Code, § 1624, subd. 6, and Code Civ. Proc., § 1973, subd. 6.)

The statute clearly applies. In such a case the person who renders services to another in reliance upon the latter’s promise to give him property by will is not without remedy. He has an action against the deceased promisor’s estate for the reasonable value of the services rendered. The statute of limitations does not commence to run against such [336]*336an action until termination of the services, which usually occurs upon the death of the person sought to be charged. (Leoni v. Delany, 83 Cal.App.2d 303, 307 [188 P.2d 765, 189 P.2d 517], and cases cited.) But plaintiff herein did not choose to bring such an action.

She brought, instead, this action for quasi-specific performance of the oral contract, to impress a trust in her favor upon the property in the hands of the legatee of the decedent and the administratrix of his estate. The theory is that “One who gains a thing by fraud, accident, mistake, undue influence, the violation of a trust, or other wrongful act, is, unless hé has some other and better right thereto-, an involuntary trustee of the thing gained, for the benefit of the person who would otherwise have had it.” (Civ. Code, § 2224.) Plaintiff claims to be “the person who would otherwise have had it.” But the oral agreement, by which she might have had this property, is “invalid” under the statute of frauds.

Yet, there are circumstances in which the law allows quasi-specific enforcement of such a contract despite the statute; i.e., when the principle of estoppel comes into play. “The doctrine of estoppel to assert the statute of frauds has been consistently applied by the courts of this state to prevent fraud that would result from refusal to enforce oral contracts in certain circumstances. Such fraud may inhere in the unconscionable injury that would result from denying enforcement of the contract after one party has been induced by the other seriously to change his position in reliance on the contract [citations], or in the unjust enrichment that would result if a party who has received the benefits of the other’s performance were allowed to rely upon the statute. [Citations.] In many cases, both elements are present. Thus not only may one party have so seriously changed his position in reliance upon, or in performance of, the contract that he would suffer an unconscionable injury if it were not enforced, but the other may have reaped the benefits of the contract so that he would be unjustly enriched if he could escape its obligations. [Citations.]” (Monarco v. Lo Greco, 35 Cal.2d 621, 623-624 [220 P.2d 737].) There it appeared that Natale Castiglia and his wife Carmela, when Christie, her son by a former marriage, became 18 and decided to leave home, wanted Christie to stay home and participate in the family venture. .“They made an oral proposal to Christie that if he stayed home and worked they would keep their property in joint tenancy so that it would pass to the survivor who would [337]*337leave it to Christie by will except for small devises to John and Rosie. In performance of this agreement Christie remained home and worked diligently in the family venture. He gave up any opportunity for further education or any chance to accumulate property of his own. He received only his room and board and spending money. When he married and suggested the possibility of securing some present interest to support his wife, Natale told him that his wife should move in with the family and that Christie need not worry, for he would receive all the property when Natale and Carmela died. Natale and Carmela placed all of their property in joint tenancy and in 1941 both executed wills leaving all their property to Christie with the exception of small devises to Rosie and John and $500 to plaintiff. Although these wills did not refer to the agreement, their terms were agreed upon by Christie, Natale and Carmela. The venture was successful, so that at the time of Natale’s death his and Carmela’s interest was worth approximately $100,000. Shortly before his death Natale became dissatisfied with the agreement and determined to leave his half of the joint property to his grandson, the plaintiff. Without informing Christie or Carmela he arranged the necessary conveyance to terminate the joint tenancies and executed a will leaving all of his property to plaintiff.” (Pp. 622 and 623.) In such a case, it is clear, Christie would suffer unconscionable injury and Natale and his estate would be unjustly enriched if Natale’s devisee were allowed to invoke the statute of frauds. The trial court refused to permit him to do so and the Supreme Court approved that refusal.

The eases in which the principle of estoppel did not apply, said the reviewing court, “have been eases where the court found either that no unconscionable injury would result from refusing to enforce the oral contract [citations], or that the remedy of quantum, meruit for services rendered was adequate. [Citations.] ” (P. 625 of 35 Cal.2d.) “It is settled that neither the remedy of an action at law for damages for breach of contract nor the quasi-contractual remedy for the value of services rendered is adequate for the breach of a contract to leave property by will in exchange for services of a peculiar nature involving the assumption or continuation of a close family relationship. [Citations.]” (P. 626.)

Did plaintiff herein allege facts which bring into play the principle of estoppel as expounded in the Monarco case? She did not, as a brief summary of those facts will demonstrate.

[338]*338Plaintiff alleged: (1) in 1943, she made an agreement with Marcelin Berge, then 60 years of age, to take him into her home and furnish him with board, room, and laundry, for $40 per month. In addition to earing for her nine-room home, taking care of Berge’s personal needs and acting as housekeeper in his personal room, plaintiff worked in a laundry and returned from work each noon to prepare Berge’s lunch. Berge continued payment of $40 per month and remained in plaintiff’s home until July, 1947, when her husband died. Shortly after moving into her home, Berge became demanding, attempted to dictate the menu for guests of plaintiff and her husband, and resented intrusions in plaintiff’s home which he came to consider his own.

(2) In 1946 Berge fractured his leg, was hospitalized for about six months, and submitted to extended bone grafts and surgery. He returned to plaintiff’s home and went through an additional six months’ period of convalescence. During this period plaintiff was required to furnish him with extensive nursing care in addition to room, board, and laundry.

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Chahon v. Schneider
256 P.2d 54 (California Court of Appeal, 1953)

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Bluebook (online)
256 P.2d 54, 117 Cal. App. 2d 334, 1953 Cal. App. LEXIS 1816, Counsel Stack Legal Research, https://law.counselstack.com/opinion/chahon-v-schneider-calctapp-1953.