Flannery v. Murray CA2/3

CourtCalifornia Court of Appeal
DecidedAugust 24, 2020
DocketB287284
StatusUnpublished

This text of Flannery v. Murray CA2/3 (Flannery v. Murray CA2/3) 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
Flannery v. Murray CA2/3, (Cal. Ct. App. 2020).

Opinion

Filed 8/24/20 Flannery v. Murray CA2/3 NOT TO BE PUBLISHED IN THE OFFICIAL REPORTS

California Rules of Court, rule 8.1115(a), prohibits courts and parties from citing or relying on opinions not certified for publication or ordered published, except as specified by rule 8.1115(b). This opinion has not been certified for publication or ordered published for purposes of rule 8.1115.

IN THE COURT OF APPEAL OF THE STATE OF CALIFORNIA

SECOND APPELLATE DISTRICT

DIVISION THREE

PATRICK FLANNERY, B287284

Plaintiff, Cross-defendant and (Los Angeles County Appellant, Super. Ct. No. PC056142)

v.

ANDREA MURRAY,

Defendant, Cross-complainant and Respondent;

AMERICAN CONTRACTORS INDEMNITY COMPANY,

Defendant and Respondent.

APPEAL from a judgment of the Superior Court of Los Angeles County, Stephen P. Pfahler, Judge. Affirmed. Daneshrad Law Firm and Joseph Daneshrad for Plaintiff, Cross-defendant and Appellant. Andrea Murray, in pro. per., for Defendant, Cross- complainant and Respondent. No appearance for Defendant and Respondent American Contractors Indemnity Company. _________________________

Plaintiff, cross-defendant and appellant Patrick Flannery (Flannery) appeals a judgment in favor of defendant, cross- complainant and respondent Andrea Murray (Murray) and defendant and respondent American Contractors Indemnity Company (the Surety). The essential issues presented are (1) whether the trial court committed instructional error in its response to two jury inquiries during deliberations; (2) whether Flannery’s causes of action for conversion and unjust enrichment were well pled; (3) whether this dispute between Murray and Flannery was the proper subject of an accounting; and (4) whether the award of attorney fees to Murray was excessive. For the reasons discussed below, we perceive no error and affirm the judgment in its entirety. FACTUAL AND PROCEDURAL BACKGROUND I. SUMMARY OF RELATED LITIGATION BETWEEN THE PARTIES 1. The parties acquired a ranch property together. Flannery and Murray had a nonmarital relationship over a period of 20 years. In 1999, they decided to buy an agricultural property together. In January 2003, they closed escrow on a 13- acre horse boarding ranch (the ranch) in Chatsworth that had a small dilapidated house on it. Murray contributed $123,000 from the sale of her family home toward the down payment and improvements, and Flannery contributed $100,000, which he

2 obtained by refinancing his home. They agreed that they would be 50/50 owners. Due to Murray’s low credit score, she was not on the loan and was not on title. Flannery reassured her, however, that “we’re building all this for the family anyway. . . . [Y]ou know, we’re partners.” After acquiring the ranch, they ran a horse boarding business on the premises. 2. The ranch was damaged in a fire, leading to a lawsuit by Flannery and Murray against the Southern California Gas Company (SCGC). In October 2008, the ranch was severely damaged by a fire. In October 2009, Flannery and Murray filed a lawsuit against SCGC for allegedly failing to maintain the power lines that had sparked the fire. They anticipated recovering about $3 million in damages. Flannery and Murray’s relationship ended in February 2010, when Murray obtained a restraining order against Flannery. 3. Murray brought a Marvin1 action against Flannery to determine her half-ownership in the ranch and her right to share in the anticipated fire settlement proceeds; Flannery’s cross- complaint. In May 2010, Murray filed a Marvin action against Flannery. The operative complaint included causes of action for breach of a Marvin agreement, fraud, and declaratory relief. Murray pled the parties had agreed that they “were in fact equal partners together in their mutual endeavors,” and that “all property [they] acquired belonged to her equally, even if it was titled in [Flannery’s] name only.” Further, Flannery had

1 Marvin v. Marvin (1976) 18 Cal.3d 660.

3 promised that her name “would be added to the title of the Chatsworth Ranch at some point after escrow closed,” and he made the promise “with the intent to defraud and induce [her] to rely upon [it] so that she sold her home in Garden Grove and contributed the proceeds of the sale of her home towards the down payment for the purchase price of the Chatsworth Ranch and paid for the mortgage payments for the Chatsworth Ranch.” Murray’s complaint sought damages, as well as a judicial determination that she was a half-owner of the ranch property, and a declaration that she was an owner of the horse boarding business and also entitled to share in any proceeds that might be obtained in the SCGC lawsuit. Flannery filed a cross-complaint, alleging causes of action for conversion of a dog, a horse, and the funds and assets of the horse boarding business. He also pled a cause of action for unjust enrichment, and sought an accounting relating to the horse boarding business and the ranch. 4. During the pendency of the Marvin action, the SCGC lawsuit settled and SCGC filed an interpleader action. In negotiating a settlement of the SCGC lawsuit, Flannery and Murray were unable to agree how the settlement proceeds should be divided between them. The trial court ruled that the “respective ownership interest[s] of [the parties] in the subject property is not directly relevant to their claims of negligence against [SCGC]. Litigating the issue of ownership interests of the [parties] in this case is unnecessary, as BC438538 [the Marvin action] will resolve that dispute.” On February 26, 2013, Flannery, Murray and SCGC settled the SCGC lawsuit, and on March 25, 2013, SCGC deposited

4 settlement funds of $2,450,000 with the court and filed a complaint in interpleader. 5. In the Marvin action, the jury determined that Murray was a half-owner of the ranch, and the trial court determined that Murray was entitled to one-half of the fire settlement proceeds. Some of the Marvin claims were tried to a jury. Cross- claims by Flannery for conversion were eliminated on nonsuit. In November 2013, the jury returned a special verdict and found, inter alia, that Murray and Flannery had orally agreed to purchase the ranch jointly, and that each was a 50 percent owner. The jury awarded Murray $150,000 in noneconomic damages as well as $68,000 in punitive damages. Thereafter, in ruling on Murray’s request for declaratory relief with respect to her share of the SCGC settlement proceeds, the trial court found Murray was entitled to 50 percent of the SCGC settlement proceeds of $2,450,000. The trial court indicated it “considered the evidence heard during the course of the trial and adopts the findings of the jury.” Flannery then appealed the judgment in the Marvin action. 6. During the pendency of Flannery’s appeal in the Marvin action, Murray successfully moved in the interpleader action for disbursement of $1,225,000 from the SCGC settlement proceeds. On August 6, 2015, while Flannery’s appeal in the Marvin action was pending, Murray filed a motion in the interpleader action for disbursement of $1,225,000, or 50 percent of the SCGC settlement proceeds. On September 11, 2015, the trial court granted Murray’s motion and awarded her $1,225,000 of the SCGC settlement proceeds. Flannery appealed the judgment in the interpleader action.

5 7. This court partially reversed the Marvin judgment and remanded for a statement of decision on the declaratory relief claim; proceedings on remand. Four months after the interpleader court awarded Murray one-half of the settlement proceeds, this court issued an opinion partially affirming the Marvin judgment. (Murray v. Flannery (Jan. 27, 2016, B255917) [nonpub.

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