Gonzalez v. Gonzalez

887 P.2d 562, 181 Ariz. 32, 164 Ariz. Adv. Rep. 43, 1994 Ariz. App. LEXIS 81
CourtCourt of Appeals of Arizona
DecidedApril 29, 1994
Docket2 CA-CV 94-0061
StatusPublished
Cited by9 cases

This text of 887 P.2d 562 (Gonzalez v. Gonzalez) is published on Counsel Stack Legal Research, covering Court of Appeals of Arizona primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Gonzalez v. Gonzalez, 887 P.2d 562, 181 Ariz. 32, 164 Ariz. Adv. Rep. 43, 1994 Ariz. App. LEXIS 81 (Ark. Ct. App. 1994).

Opinion

OPINION

DRUKE, Chief Judge.

Victoria Gonzalez, a widow, brought an action for fraud and wrongful eviction against Ramon and Carol Gonzalez, her son and daughter-in-law. After the trial court directed a verdict on the wrongful eviction claim, the jury returned verdicts against the Gonza-lezes for actual and constructive fraud, awarding compensatory and punitive damages on both verdicts but in inconsistent amounts. On appeal, the Gonzalezes raise the following issues for our review: (1) whether the fraud claims were barred by the statute of limitations, (2) whether punitive damages were properly awarded, and (3) whether the inconsistent verdicts required a new trial. Viewing the facts and inferences in the light most favorable to sustaining the verdicts, Bradshaw v. State Farm Mut. Auto. Ins. Co., 157 Ariz. 411, 758 P.2d 1313 (1988), we affirm.

Victoria owned a home in Mesa, Arizona. Her daughter Aurora Carpió and her family lived with Victoria. On March 11, 1985, Ramon stopped by to visit and said that he was looking for houses to buy. Victoria testified that she told Ramon that she would sell her house to him for “the value of the property.”

A day or two later, Victoria signed a contract to sell her house to the Gonzalezes for $61,000. The contract required them to assume the existing $5,000 mortgage, 1 pay $5,000 down, and pay the remaining $51,000 balance in annual installments of $5,000 at zero percent interest. This contract was never signed by the Gonzalezes, however.

On March 13, 1985, the parties went to a title company where a title officer prepared a joint tenancy deed to the Gonzalezes that all the parties signed, a $20,000 promissory note payable to Victoria in $5,000 annual installments at zero percent interest that the Gon-zalezes signed, and a $30,850 affidavit of value that Ramon signed. He later testified that the affidavit’s value represented the total purchase price of the house, payable $5,000 at closing, assumption of the $5,850 mortgage, and payment of the $20,000 note. *34 The title officer caused the deed and affidavit to be recorded and gave the note to Ramon.

Over the next few months, Victoria told other family members that she had sold her house to the Gonzalezes, but that Ramon had said that she could live there the rest of her life. The Carpios, however, were required to pay rent to the Gonzalezes of $250 per month, later increased to $300 per month.

In January 1991, while Victoria and her son Miguel were reviewing what she needed to have her will prepared, he asked her for information about the sale of her house. She told him that the Gonzalezes had paid her $5,000 when they bought the house and $1,000 to $1,500 each year thereafter. When Victoria showed Miguel the $61,000 contract bearing only her signature and indicated that it was the only document she had regarding the sale, he became concerned and told his mother to get copies of the transaction from Ramon. When Ramon failed to provide the copies after four requests, Victoria asked Miguel and two of his brothers, Robert and Frank, to contact Ramon.

Miguel testified that when they met with Ramon in early March 1991, he stated that he did not know what his mother “was worried about because he had given her a notarized document indicating that he was going to pay her $56,000 for the house.” When Miguel pointed out that the county records showed “that the house had been sold for $30,800 and something,” Ramon said, “I don’t know anything about those numbers.” After further discussion, Ramon promised to give copies of the transaction to his mother the following day. When he failed to do so, Victoria, Miguel, and Frank hand delivered a letter to Ramon requesting that the Gonza-lezes reconvey the house to Victoria the following week. The Gonzalezes refused and subsequently instituted forcible entry and de-tainer proceedings against Victoria and the Carpios and had them evicted.

STATUTE OF LIMITATIONS

The Gonzalezes first contend that the three-year statute of limitations of A.R.S. § 12-543(3) barred Victoria’s action for fraud because she could have, by the exercise of reasonable care, discovered the fraud in 1985. Victoria testified that until 1991, when Ramon failed to provide her with copies of the transaction, she had no concerns about the sale because she trusted Ramon and “had faith in him.” The Gonzalezes assert that her trust is insufficient to excuse Victoria from exercising reasonable care to protect herself, absent a confidential relationship. We agree. See Condos v. Felder, 92 Ariz. 366, 377 P.2d 305 (1963). In this case, however, it is apparent that the jury found that such a relationship existed between Victoria and Ramon because it returned a verdict for constructive fraud in her favor. The jury was instructed that to return such a verdict, it had to find that a confidential relationship existed between the parties. Because this finding was based on disputed facts, it will not be disturbed on appeal unless it is clearly erroneous. Parrish v. Camphuysen, 107 Ariz. 343, 488 P.2d 657 (1971). “A finding is ‘clearly erroneous’ when although there is evidence to support it, the reviewing court on the entire evidence is left with the definite and firm conviction that a mistake has been committed.” State v. Burr, 126 Ariz. 338, 339, 615 P.2d 635, 636 (1980) (quoting Palermo v. Warden, Green Haven State Prison, 545 F.2d 286, 293 (2d Cir.1976)). From our review of the evidence and the instructions, we conclude that the jury’s finding is not clearly erroneous.

The jury was told that

[t]he simple existence of a [parent and child relationship] is not by itself enough to establish a confidential relationship---There also must be some other circumstances, such as actual dominance over plaintiff by defendants, an established course of management of plaintiffs affairs by defendants, a disability, or similar facts coupled with the family relationship, which together make the transaction involved unfair.

Thus, the jury was properly instructed on the requirements for a confidential relationship between a parent and child. See Murillo v. Hernandez, 79 Ariz. 1, 281 P.2d 786 (1955); Amado v. Aguirre, 63 Ariz. 213, 161 P.2d 117 (1945).

*35 Second, the jury’s finding of a confidential relationship is supported by the evidence. Victoria was an elderly widow who never attended school and understood little English.

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Cite This Page — Counsel Stack

Bluebook (online)
887 P.2d 562, 181 Ariz. 32, 164 Ariz. Adv. Rep. 43, 1994 Ariz. App. LEXIS 81, Counsel Stack Legal Research, https://law.counselstack.com/opinion/gonzalez-v-gonzalez-arizctapp-1994.