Jogani v. Jogani CA2/3

CourtCalifornia Court of Appeal
DecidedAugust 26, 2021
DocketB302360
StatusUnpublished

This text of Jogani v. Jogani CA2/3 (Jogani v. Jogani 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
Jogani v. Jogani CA2/3, (Cal. Ct. App. 2021).

Opinion

Filed 8/26/21 Jogani v. Jogani CA2/3 NOT TO BE PUBLISHED IN THE OFFICIAL REPORTS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 This opinion has not been certified for publication or ordered published for purposes of rule 8.1115.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

SHAILESH JOGANI, B302360

Plaintiff and Appellant, Los Angeles County Super. Ct. No. BC564146 v.

HARESH JOGANI et al.,

Defendants and Respondents.

APPEAL from a judgment of the Superior Court of Los Angeles County, Mark V. Mooney, Judge. Affirmed.

Ecoff Campain & Tilles, Lawrence C. Ecoff and Alberto J. Campain for Plaintiff and Appellant.

Horvitz & Levy, Jason R. Litt, Rebecca G. Powell; The Cameron Law Firm and Parry G. Cameron for Defendants and Respondents. _________________________ INTRODUCTION Shailesh Jogani appeals from the judgment entered in favor of his brother Haresh Jogani and the entities1 he formed to amass a billion-dollar California real estate portfolio. Shailesh alleged Haresh and their two younger brothers entered an oral partnership agreement in 1995 to pool their funds from their various businesses to enable Haresh to purchase a portfolio of properties for their collective benefit.2 In 2003, their older brother Shashikant (Shashi) sued them claiming a 50 percent partnership interest in the real estate portfolio that he had helped create for the brothers’ partnership (Shashi action). The brothers allegedly had purchased Shashi’s underwater properties to help him. Allegedly at Haresh’s direction, Shailesh and his brothers filed declarations in the Shashi action denying the existence of any partnership with Shashi or Haresh. Haresh nevertheless allegedly told them he would distribute the proceeds from the partnership’s real estate portfolio after the Shashi action resolved. The Shashi action continued, and Shailesh finally sued Haresh and his companies in November 2014. He claimed he was owed $250,000,000.

1 Shailesh also sued J.K. Properties, Inc., H.K. Realty, Inc., Commonwealth Investments, Inc., Mooreport Holdings Limited, and Gilu Investments Limited (defendant companies or Haresh’s companies). They and Haresh (defendants) are joint respondents on appeal. 2 We have followed the parties’ lead and refer to the five Jogani brothers by their first names for clarity. We intend no disrespect by doing so.

2 Defendants asserted Shailesh’s claims were barred by the statute of limitations. After a jury agreed, the court entered judgment in favor of Haresh and his companies. Shailesh contends the judgment must be reversed on three grounds: (1) the special verdict form was fatally defective because it did not ask the jury to make specific findings on all material facts required to resolve defendants’ statute of limitations defense; (2) the trial court improperly excluded audio recordings of Haresh admitting to the partnership and to pay its proceeds after the Shashi action ended; and (3) the trial court erroneously sustained defendants’ demurrer to Shailesh’s fraud cause of action. Finding no prejudicial error, we affirm. FACTS AND PROCEDURAL BACKGROUND The five Jogani brothers, from oldest to youngest, are: Shashi, Shailesh, Haresh, Rajesh, and Chetan. They were born and raised in India and speak Gujarati. Shailesh does not understand or speak English.3 1. The Jogani brothers’ businesses The Jogani brothers’ father wanted his sons to act as partners throughout their lives, sharing the proceeds of their business ventures with each other. As each brother came of age, he learned the diamond business. In the early 1970s, Shailesh and Haresh, who were in their early twenties at the time, formed the diamond company Dialust. They had a written partnership agreement. Shailesh testified Dialust was part of the brothers’ “ ‘global partnership.’ ” Shashi was neither interested in the diamond business nor in partnering with his brothers in a global business venture.

3 During the trial, Gujarati interpreters interpreted for Shailesh and sometimes for Rajesh and Chetan. Haresh testified in English, but an interpreter was there if needed.

3 He let his brothers know he wanted any money he made to be his alone, and he moved to the United States where he invested in California residential real estate.4 In the meantime, Rajesh and Chetan also learned the diamond business. At some point Rajesh joined Shailesh and Haresh at Dialust. Haresh retired from Dialust in 1978; his name was removed from the written agreement. He then moved to Israel and started the diamond company Jogdiam Israel. Chetan trained with Haresh in Israel between 1982 and 1986 and then moved to Belgium to start Jogdiam Belgium BVBA, and Shailesh and Rajesh stayed in India to run Dialust. Shailesh, Rajesh, and Chetan testified the four brothers ran their separate companies as a global family partnership, sharing the profits among them.5 Haresh testified there was no global partnership—the brothers ran their companies separately and did not share profits. 2. Formation of the alleged real estate partnership In the early 1990s, Shashi began experiencing financial difficulties—his properties were overleveraged and the economy had slowed down. After one of Shashi’s apartment buildings collapsed during the 1994 Northridge earthquake, he was on the verge of financial ruin. Shashi traveled to India to ask his family for help. His brothers agreed to help him. In spring 1995, Haresh and Rajesh met with Shashi in Los Angeles and discussed investing in the California real estate

4 Accordingly, we exclude Shashi when we refer to the brothers or their partnership/businesses. 5 They testified the brothers directed the income from their separate global businesses to Jogdiam Israel through various sub-accounts to take advantage of Israel’s favorable tax laws. Haresh handled those accounts.

4 market. Shailesh (and his brothers) testified Haresh and Rajesh reached an agreement on behalf of the four brothers to invest in the California real estate market with Shashi: Shashi would hold a 50 percent interest in the real estate portfolio and the four brothers would collectively hold the other 50 percent interest.6 Under the four brothers’ alleged oral partnership agreement, Haresh would invest profits from the brothers’ global businesses to purchase apartment buildings through the defendant companies. Haresh was the sole shareholder and/or director of the companies, but they allegedly held “nominal” title to the properties for the collective benefit of, and as agents for, the four brothers. Under their alleged agreement, Haresh managed and controlled the vast real estate portfolio on the brothers’ behalf. Shashi recommended the properties Haresh’s companies should purchase.7 Shailesh’s son Pinkal went to California around 1996 or 1997 to work for the defendant companies and learn the “family” real estate business from his uncle Shashi. Around 1998, they started a property management company that Haresh’s companies hired to manage their real estate portfolio. Pinkal also formed a real estate acquisition company with financial backing from Haresh. Pinkal understood his company to be part of the family business. Beginning around 2003, Haresh’s son Jeet started to work for Haresh’s companies, too; Pinkal and others trained him. Jeet ultimately became the asset manager for the real estate portfolio.

6 Shailesh testified partnerships are “done orally” in India “according to Hindu law.” Chetan testified similarly. 7 Haresh testified he paid Shashi as a consultant; Shashi had no ownership interest in the real estate portfolio.

5 Pinkal’s property management services were terminated in December 2012.

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

Related

Curtis v. Twentieth Century-Fox Film Corp.
295 P.2d 62 (California Court of Appeal, 1956)
People v. Mattson
789 P.2d 983 (California Supreme Court, 1990)
Mary M. v. City of Los Angeles
814 P.2d 1341 (California Supreme Court, 1991)
People v. Patton
63 Cal. App. 3d 211 (California Court of Appeal, 1976)
Babcock v. Omansky
31 Cal. App. 3d 625 (California Court of Appeal, 1973)
Philip Chang & Sons Associates v. La Casa Novato
177 Cal. App. 3d 159 (California Court of Appeal, 1986)
Red Mountain, LLC v. Fallbrook Public Utility District
48 Cal. Rptr. 3d 875 (California Court of Appeal, 2006)
Mardirossian & Associates, Inc. v. Ersoff
62 Cal. Rptr. 3d 665 (California Court of Appeal, 2007)
Piedra v. Dugan
21 Cal. Rptr. 3d 36 (California Court of Appeal, 2004)
Waller v. TJD, INC.
12 Cal. App. 4th 830 (California Court of Appeal, 1993)
Salazar v. Southern Cal. Gas Co.
54 Cal. App. 4th 1370 (California Court of Appeal, 1997)
Zagami, Inc. v. James A. Crone, Inc.
74 Cal. Rptr. 3d 235 (California Court of Appeal, 2008)
Grell v. Laci Le Beau Corp.
87 Cal. Rptr. 2d 358 (California Court of Appeal, 1999)
Thompson Pacific Construction Inc. v. City of Sunnyvale
66 Cal. Rptr. 3d 175 (California Court of Appeal, 2007)
Saxena v. Goffney
71 Cal. Rptr. 3d 469 (California Court of Appeal, 2008)
Century Surety Co. v. Polisso
43 Cal. Rptr. 3d 468 (California Court of Appeal, 2006)
Cassim v. Allstate Insurance
94 P.3d 513 (California Supreme Court, 2004)
People v. Jablonski
126 P.3d 938 (California Supreme Court, 2006)
J.People v. Carlsbad Unified School Dist. CA4/1
232 Cal. App. 4th 323 (California Court of Appeal, 2014)
People v. Johnson
453 P.3d 38 (California Supreme Court, 2019)

Cite This Page — Counsel Stack

Bluebook (online)
Jogani v. Jogani CA2/3, Counsel Stack Legal Research, https://law.counselstack.com/opinion/jogani-v-jogani-ca23-calctapp-2021.