Hilaly v. Allen

248 Cal. Rptr. 3d 874, 36 Cal. App. Supp. 5th 12
CourtCalifornia Superior Court
DecidedMay 21, 2019
DocketAppeal No. CUD-17-658964
StatusPublished

This text of 248 Cal. Rptr. 3d 874 (Hilaly v. Allen) is published on Counsel Stack Legal Research, covering California Superior Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Hilaly v. Allen, 248 Cal. Rptr. 3d 874, 36 Cal. App. Supp. 5th 12 (Cal. Super. Ct. 2019).

Opinion

QUINN, J., Appellate Division *17INTRODUCTION

This unlawful detainer appeal presents three issues. First, under the Ellis Act may an eligible elderly or disabled tenant defeat an owner's demand for possession of a residential rental unit by showing that the owner changed a term of the tenancy during the notice period? Second, is a completed residential rental questionnaire of the type used in this case an "instrument" under Evidence Code section 622 such that the tenant is necessarily barred from asserting or proving facts arguably inconsistent with her questionnaire answers? Third, is the jury's verdict supported by substantial evidence?

We conclude that an eligible elderly or disabled tenant may defeat an owner's claim of possession under the Ellis Act by showing that the owner changed a tenancy term during the Act's notice period. Government Code section 7060.4 provides that an owner may gain possession of a residential rental unit only if: (1) she notifies the tenant of her intent to withdraw the unit; (2) she allows the tenant sufficient move out time, which is one year for an eligible elderly or disabled tenant; and (3) during the notice period, "the tenancy [is] continued on the same terms and conditions." A tenant "may assert by way of defense that the owner has not complied with the applicable provisions of this chapter." ( Gov. Code, § 7060.6.) Thus, a tenant may defend against an Ellis Act eviction by showing that the owner unlawfully changed the terms of the tenancy. The Hilalys' arguments to the contrary, which are discussed in detail below, are unavailing. We, therefore, find that the trial court did not err in construing the Act to allow a "change-in-terms defense."

We also reject the claim that the trial court erred in allowing tenant's change-in-terms defense to proceed in light of her questionnaire answers. "The facts recited in a written instrument are conclusively presumed to be true as between the parties thereto, or their successors in interest; but this rule *18does not apply to the recital of a consideration." ( Evid. Code, § 622.) A writing that is a contract or "a binding confirmation of a lease agreement" is an instrument under section 622. Here, the questionnaire was not a contract. Tenant was not bound by contract to complete the questionnaire. And the questionnaire did not state that tenant's answers would be a binding confirmation of her leasehold. *878Thus, while tenant's answer of "no" to the question, "Parking included? Yes ___ No ___ If yes, space # ___" was relevant to the garage and driveway rights at issue, the trial court did not err in finding that tenant's answer did not bar her assertion that her leasehold included garage and driveway rights.

Finally, we have no trouble concluding that substantial evidence supports the jury's finding that tenant proved her change-in-terms defense. The evidence shows that tenant acquired and never transferred rights to use the garage and the right-side driveway. During the notice period, owners changed the terms of tenant's tenancy when they told her she could no longer park in or across the driveway. The jury's finding that owners unlawfully changed a term of tenant's tenancy is amply supported.

STATEMENT OF FACTS

This appeal arises out of a residential eviction proceeding. Respondent Betty Rose Allen and her family moved into the apartment at 1642 Church Street in San Francisco in 1977. By way of an oral lease, they rented the apartment and a garage accessed by the right-side of a double driveway. The Allens parked their sedan in the garage. In the 1980s, the family was in a car accident and their sedan was totaled. They stored the inoperable sedan in the garage. Larry Gutierrez and his wife, Pamela, lived at 1644 Church Street almost as long as the Allens lived at 1642. "1642" and "1644" make up two of the three residential units on the subject parcel. Mr. Gutierrez had a very good relationship with his upstairs neighbors, the Allens. At some point after the Allens' car accident, Mr. Gutierrez asked if he could use their garage; in return, he would have their vehicle removed and clean up the garage space. Allen's mother agreed, telling Mr. Gutierrez that he could use the garage. (RT 1332:1-5.) Allen's family gave Mr. Gutierrez a key to the garage. Mr. Gutierrez removed the Allens' vehicle and cleaned the garage. Thereafter, Mr. Gutierrez stored his 1946 Chevrolet Stylemaster Business Coupe in the Allens' garage.

The Allens continued to use the garage to store personal belongings, such as a refrigerator and bicycles. The Allens occasionally used the right driveway for guest parking. In 2005 and after Allen's mother suffered a debilitating stroke, the Allens used the driveway for parking on a near-daily basis. They would notify Mr. Gutierrez when they would be using the driveway. When Mr. Gutierrez moved out, he returned the garage key to the Allens.

*19In the fall of 2014, the Allens' landlord put the three-unit property on the market. Apparently with a contract pending, a realtor for appellants Naseem and Naser1 Hilaly provided a "Residential Rental Questionnaire" to the Allens and instructed them to complete it by 8:30 a.m. the next morning, when the realtor would return to collect the completed form. There's no evidence the realtor explained anything about the questionnaire. Allen started filling out the form, but she was confused by the form's wording: "Parking included? Yes __ No __ If yes, space # ___." Allen was unaware of any space numbers associated with the property. She telephoned a tenants' organization and was told to check the "no" box, as the "space #" query did not apply. The document did not inquire as to whether Allen's leasehold included garage or driveway rights. "When I read it out loud the expectation was," Allen explained, *879"did we have a space, did we have a number, and we had neither of that." Allen answered "no."

After handing the completed questionnaire to the realtor the next day, Allen heard nothing more about it. She was ready and willing to answer questions or provide clarifications. But neither the Hilalys nor any representative ever contacted her.

On November 25, 2014, the Hilalys closed on the purchase of the three-unit property. Upon purchase, Ms. Hilaly reviewed Allen's questionnaire answers. She believed the completed questionnaire to be an "estoppel certificate" detailing the terms of the lease for tenants living in 1642 Church Street. Ms. Hilaly's son, Tariq Hilaly, also reviewed these disclosures and understood them to be attestations of what each tenant's lease had and did not have. Tariq Hilaly relied on Allen's attestation that she had no parking, as well as Mr. Gutierrez's attestation that he had parking rights to the right garage. Tariq Hilaly found that these attestations matched his observation that Mr. Gutierrez had kept an antique car in the right garage. There is no evidence that Ms. Hilaly, her son Tariq or any one else in the Hilaly family ever talked to Allen or anyone in the Allen family regarding the questionnaire or their understanding of it.

After purchasing the property, Ms. Hilaly would park in the left-side garage when visiting her son, who moved into the third unit at the property-208 Valley Street.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Green v. Superior Court
517 P.2d 1168 (California Supreme Court, 1974)
Schulman v. Vera
108 Cal. App. 3d 552 (California Court of Appeal, 1980)
Hudec v. Robertson
210 Cal. App. 3d 1156 (California Court of Appeal, 1989)
Plaza Freeway Ltd. Partnership v. First Mountain Bank
96 Cal. Rptr. 2d 865 (California Court of Appeal, 2000)
Johnson v. City and County of San Francisco
40 Cal. Rptr. 3d 8 (California Court of Appeal, 2006)
De Anza Enterrprises v. Johnson
128 Cal. Rptr. 2d 749 (California Court of Appeal, 2002)
Drouet v. Superior Court
73 P.3d 1185 (California Supreme Court, 2003)
Public Employees' Retirement System v. Moody's Investors Service, Inc.
226 Cal. App. 4th 643 (California Court of Appeal, 2014)
Verizon California Inc. v. Board of Equalization
230 Cal. App. 4th 666 (California Court of Appeal, 2014)
Boston LLC v. Juarez
245 Cal. App. 4th 75 (California Court of Appeal, 2016)
Scher v. Burke
395 P.3d 680 (California Supreme Court, 2017)
Cal. Building Industry Assn. v. State Water Resources Control Bd.
416 P.3d 53 (California Supreme Court, 2018)
United Riggers & Erectors, Inc. v. Coast Iron & Steel Co.
416 P.3d 792 (California Supreme Court, 2018)
Saks v. Charity Mission Baptist Church
90 Cal. App. 4th 1116 (California Court of Appeal, 2001)
Mikkelsen v. Hansen
242 Cal. Rptr. 3d 304 (California Court of Appeals, 5th District, 2019)

Cite This Page — Counsel Stack

Bluebook (online)
248 Cal. Rptr. 3d 874, 36 Cal. App. Supp. 5th 12, Counsel Stack Legal Research, https://law.counselstack.com/opinion/hilaly-v-allen-calsuperct-2019.