Garcia v. Roberts CA5

CourtCalifornia Court of Appeal
DecidedSeptember 25, 2013
DocketF063386
StatusUnpublished

This text of Garcia v. Roberts CA5 (Garcia v. Roberts CA5) 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
Garcia v. Roberts CA5, (Cal. Ct. App. 2013).

Opinion

Filed 9/25/13 Garcia v. Roberts CA5

NOT TO BE PUBLISHED IN THE OFFICIAL REPORTS California Rules of Court, rule 8.1115(a), prohibits courts and parties from citing or relying on opinions not certified for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 This opinion has not been certified for publication or ordered published for purposes of rule 8.1115.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

FIFTH APPELLATE DISTRICT

JOHNNY GARCIA, F063386 Plaintiff and Respondent, (Super. Ct. No. 04CECG03607) v.

RONALD G. ROBERTS et al., OPINION Defendants and Appellants.

APPEAL from a judgment of the Superior Court of Fresno County. Jeffrey Y. Hamilton, Jr., Judge. Yarra, Kharazi & Clason and H. Ty Kharazi for Defendants and Appellants. McCormick, Barstow, Sheppard, Wayte & Carruth and William H. Littlewood for Plaintiff and Respondent. -ooOoo- In a previous appeal of this same case,1 we affirmed the liability of defendant Ronald G. Roberts to plaintiff Johnny Garcia2 for breach of contract and fraud in connection with a real estate transaction, but we remanded the matter back to the superior court for a new trial on the limited issue of damages. (Garcia v. Roberts (2009) 173 Cal.App.4th 900 (Garcia I).) During the retrial of damages, defendant argued that plaintiff was not entitled to any damages since, allegedly, plaintiff could not have obtained a bank loan to complete the real estate purchase. The trial court rejected defendant’s argument because plaintiff’s ability to perform his part of the transaction was an element of liability, not damages, and liability was established in the original trial and affirmed on appeal. After hearing the expert testimony and other evidence presented in the retrial of damages, the trial court found that plaintiff’s damages were in the amount of $184,798, and a judgment was entered in that amount. Defendant moved for another new trial, which was denied. Defendant appeals once again, claiming the trial court erred because (1) plaintiff’s ability to perform was an aspect of damages, not liability and (2) there was insufficient evidence to support the amount of damages arrived at by the trial court. We disagree with both points and affirm the judgment below.

1 Our partially published opinion in the prior appeal was filed on May 4, 2009, as case No. F054234, and is referred to herein as Garcia I. Since the present appeal involves the same action, it is permissible to refer to nonpublished portions of that opinion (see Cal. Rules of Court, rule 8.1115(b)(2)). When we refer to matters in the published portion of the opinion, we shall provide the applicable page numbers of the Official Reports. When referring to matters appearing in the nonpublished portions, we describe them as such; however, it is not possible to give page number references for the nonpublished portions. 2 Plaintiff died in 2007, several months prior to the original trial in this action. Since then, his rights and interests in the litigation have been represented by his wife and successor in interest, Omega Garcia, and more recently by the personal representative of his estate, Lorena Garcia. In our discussion herein, any reference to plaintiff means Johnny Garcia, unless the context indicates otherwise.

2. FACTS AND PROCEDURAL HISTORY A. The First Trial In Garcia I, we provided a summary of the facts and circumstances leading to plaintiff’s lawsuit, as well as the proceedings that occurred in the first trial. For convenience, we reproduce much of that summary here:3

“Factual Background Prior to Plaintiff's Lawsuit

“The parties’ dispute concerns a parcel of land located on Academy Avenue in Sanger, California (the property). Plaintiff originally rented the property, along with a mobilehome situated there, from an entity known as the Sasashima Family Trust for $500 per month. Plaintiff lived in the mobilehome and also ran a modest business as a backhoe operator from there. In 2001, plaintiff entered into negotiations with Akiko Sasashima, the trustee of the Sasashima Family Trust, to purchase the property. In October or November of 2001, an agreement was reached giving plaintiff an option to purchase the property for $140,000. Pursuant to that agreement, plaintiff paid the sum of $7,500 to the Sasashima Family Trust and was given two years to come up with the remaining balance of the purchase price ($132,500), with the $7,500 counting as a downpayment. In the interim, plaintiff agreed to continue paying $500 in monthly rent.

“Plaintiff found it difficult to obtain financing to pay the $132,500 balance to the Sasashima Family Trust. Eventually, he mentioned this fact to an acquaintance, defendant Ronald Roberts. Plaintiff occasionally performed backhoe work for Mr. Roberts, who was a plumbing contractor. During one such job, plaintiff asked Mr. Roberts if he would be willing to loan the money to plaintiff. According to plaintiff’s deposition testimony introduced at trial, plaintiff and Mr. Roberts entered into an oral agreement regarding the property. Under the terms of the oral agreement, Mr. Roberts agreed to pay the $132,500 balance of the purchase price to the Sasashima Family Trust as a loan to plaintiff, but title to the property would be put in Mr. Roberts’s name and plaintiff would be required to pay interest on the loan of 12 percent or approximately $1,325 per month for a period of two

3 This factual summary referred to defendant by name (i.e., Mr. Roberts). We leave that intact. Although Mrs. Sherry Roberts, defendant’s wife, was mentioned as a codefendant in the excerpt, we note that she is not a party to this appeal.

3. years. By the end of the two-year period, plaintiff was to secure financing to pay off the loan, whereupon title would be conveyed to plaintiff.

“In reliance on this oral agreement, plaintiff facilitated the sale of the property from the Sasashima Family Trust to defendants. The Sasashima Family Trust sold the property to defendants for $132,500, a price that was apparently based on the fact that plaintiff previously paid $7,500 toward the $140,000 purchase price. With additional closing costs, defendants obtained title to the property for a total sum of $133,027. Escrow closed on September 26, 2002.

“On September 26, 2002, shortly after escrow closed, defendants asked plaintiff and his wife to come to their home to sign paperwork regarding the property. Defendant Sherry Roberts presented a form contract entitled ‘LEASE WITH OPTION TO PURCHASE’ (the lease- option agreement). After Mrs. Roberts filled out the lease-option agreement, she read all or most of the terms out loud and provided additional explanation of the terms as she read them. This was apparently done because plaintiff spoke some English, but could not read it, while plaintiff’s wife did not understand English at all. All four parties then signed the lease-option agreement. [¶] … [¶]

“In 2004, plaintiff began the process of seeking to qualify for and obtain financing to purchase the property from defendants. Plaintiff started working closely with a mortgage broker by the name of Gilbert Servin, who was owner of Su Casa Mortgage Company. Mr. Servin helped plaintiff ‘clean up’ his credit history and improve his credit score. With Mr. Servin’s assistance, plaintiff’s credit score improved significantly by August of 2004. At that point, Mr. Servin ‘knew that [he] could get [plaintiff] a loan’ to complete plaintiff's purchase of the property. Accordingly, Mr. Servin opened an escrow regarding the property with Stewart Title Company on August 19, 2004, a preliminary title report was requested from the title company and plaintiff took steps to procure homeowner’s insurance. Additionally, Mr.

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