Equity Residential Management, Llc, V. Manuel Sanchez Castro

Court of Appeals of Washington·Decided May 4, 2026·No. 87717-8·Unpublished

Opinion

IN THE COURT OF APPEALS OF THE STATE OF WASHINGTON

EQUITY RESIDENTIAL No. 87717-8-I MANAGEMENT, LLC, d/b/a PEARL, DIVISION ONE Appellant, UNPUBLISHED OPINION v.

MANUEL SANCHEZ CASTRO and GABRIELLA ENRIGUE,

Respondents.

FELDMAN, J. — Equity Residential Management, LLC (ERM) appeals from a final judgment in favor of its former tenant, Manuel Sanchez Castro, on its breach of contract claim against Castro for unpaid rent. At issue here, Castro filed a motion for summary judgment arguing he was not liable to ERM for unpaid rent because he had vacated the leased apartment and his former roommate, Gabriela Enrigue, had forged his signature on a new lease. 1 The trial court granted Castro’s summary judgment motion as well as his subsequent motion for attorney fees and costs. We affirm in part, reverse in part, and remand for further proceedings consistent with this opinion.

1 ERM also asserted a breach of contract claim against Enrigue. A default judgment was entered against her and is not at issue in this appeal.

I

Castro and Enrigue participated in a long-distance relationship over the course of several years during which Castro resided in Mexico and Enrigue lived in Seattle in an apartment rented from ERM. Although Castro cosigned multiple leases on the Seattle apartment, Enrigue paid the rent. On several occasions over the years of this arrangement, the term of the lease expired and the tenancy converted to month-to-month, consistent with the terms of the lease, until Enrigue and Castro executed a new lease with more favorable rental rates.

The last lease Castro signed was for a term commencing February 3, 2019 and expiring May 6, 2019 (the “2019 lease”). The relationship between Castro and Enrigue deteriorated in the spring of 2019. Castro e-mailed ERM in March of 2019 to ask when the lease ended, and ERM informed him the lease expired in May “unless you are extending further.” Castro did not respond to ERM’s e-mail, nor did he respond to ERM’s e-mail several weeks later asking if he wished to extend the lease, believing “I don’t have to give any notification of moving out because I’m not living there” and “if I’m not signing a new contract, then I’m completely out of the situation.”

When the term of the 2019 lease expired on May 6, 2019, the lease converted to month-to-month, again in accordance with the provisions of the lease. Enrigue continued to live in the apartment and paid the rent for approximately one year, making a final payment on May 2, 2020. As of July 6, 2020, the amount of unpaid rent and fees owed to ERM on the apartment under the 2019 lease was $6,833.72.

On July 7, 2020, Enrigue executed a new lease (the “2020 lease”) by virtual signature. Although Enrigue was not authorized to sign a lease on Castro’s behalf, she forged Castro’s virtual signature using a new e-mail address she controlled. ERM concedes Castro’s signature on the 2020 lease was forged by Enrigue. It is likewise undisputed that the e-mail account associated with the forged signature had been created by an employee at Enrigue’s company at her direction and was controlled by her to effectuate the forgery. Enrigue never paid any rent on the 2020 lease, and the amount owed on the apartment continued to increase while she lived there. Unaware of the forgery at the time, ERM pursued payment from both Enrigue and Castro by repeatedly posting a notice to pay or vacate at the front door of the apartment.

In 2023, Castro attempted to rent a different ERM-owned apartment in Boston and learned there was a pending balance on his account. He contacted ERM “to confirm that the attached contract [the 2019 lease] has no balance with [ERM].” ERM responded:

We received your inquiry about your current balance at The Pearl Apartments here in Seattle. You were never removed from the lease and we have been trying to reach you since 2020. Both the email and phone number you had on file were unsuccessful. You are still liable for the lease and no rent has been received since June of 2020.

The apartment is currently in the eviction process and going through court proceedings as well over $100k is due as of today.

Castro and ERM were unable to resolve this disagreement; while Castro claimed “I had no idea about this,” ERM stated “we are equally surprised that you didn’t know about what’s been going on at the Property.”

Following this exchange, Castro filed a police report for identity theft and forgery. ERM, in turn, filed a complaint against both Enrigue and Castro for breach

of contract based on the 2020 lease and ejectment. The trial court subsequently granted ERM’s motion for leave to amend its complaint to include a breach of contract claim based on the 2019 lease. Thereafter, Castro filed a motion for summary judgment arguing he was not liable as a matter of law under both leases. ERM opposed Castro’s motion and filed a cross-motion for summary judgment arguing Castro was liable under both leases.

Following a hearing, the trial court granted Castro’s motion. Regarding the 2020 lease, the court determined “no reasonable trier-of-fact could find that Castro signed the 2020 lease agreement” and Castro “cannot be bound by the 2020 lease because he did not sign it.” Regarding the 2019 lease, the court ruled “the lease does not specify that a co-tenant, who moves out, will continue to be responsible for rent on a month-to-month basis following the expiration of the lease if another tenant remains in the apartment.” ERM filed a motion for reconsideration, which the trial court denied. Castro filed a motion for attorney fees and costs, which the trial court also denied.

Meanwhile, the trial court entered an order of default judgment against Enrigue. ERM then filed a motion for reconsideration regarding the amount Enrigue owed, arguing it should have been calculated at a higher monthly rental rate than was used in the order of default. The court granted the motion for reconsideration and corrected the amount Enrigue owed to ERM. In that same order, the court sua sponte reconsidered its prior ruling denying Castro’s motion for attorney fees, concluding, “Castro is the prevailing party” and “is entitled to an award of attorney fees and costs.” ERM then filed a motion for reconsideration regarding that ruling, which the court denied.

Finally, the trial court entered an amended order of default judgment against Enrigue pursuant to its order modifying the amount she owed to ERM and it included in that final order findings of fact and conclusions of law regarding both tenants’ liability. ERM appeals.

II

A. Summary Judgment ERM argues the trial court erred when it granted Castro’s motion for summary judgment. We agree the trial court erred in granting Castro’s motion with regard to the 2019 lease, but otherwise affirm the trial court’s summary judgment ruling.

We review an order granting summary judgment de novo. Aucoin v.

C4Digs, Inc., 32 Wn. App. 2d 103, 108, 555 P.3d 884 (2024). Our inquiry is “whether there is a genuine issue as to any material fact and whether the moving party is entitled to judgment as a matter of law” considering “the evidence and the reasonable inferences therefrom in a light most favorable to the nonmoving party,” here ERM. Marquis v. City of Spokane, 130 Wn.2d 97, 105, 922 P.2d 43 (1996).

We first address the relatively straightforward issue of whether Castro is liable to ERM for unpaid rent under the 2020 lease. The controlling legal principle is well-settled: “[a] forged signature . . . cannot create a valid, enforceable obligation against the purported maker.” Fid. & Deposit Co. of Maryland v. Ticor Title Ins. Co., 88 Wn. App. 64, 69, 943 P.2d 710 (1997). Consistent with this well- settled law, the trial court concluded “Castro cannot be bound by the 2020 lease because he did not sign it.” The trial court did not err in so holding, and we

therefore affirm the court’s summary judgment ruling regarding Castro’s liability to ERM under the 2020 lease.

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