Laurel Crest, Inc. v. Superior Court

235 Cal. App. 2d 69, 44 Cal. Rptr. 867, 1965 Cal. App. LEXIS 905
CourtCalifornia Court of Appeal
DecidedJune 14, 1965
DocketCiv. 29407
StatusPublished
Cited by7 cases

This text of 235 Cal. App. 2d 69 (Laurel Crest, Inc. v. Superior Court) 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
Laurel Crest, Inc. v. Superior Court, 235 Cal. App. 2d 69, 44 Cal. Rptr. 867, 1965 Cal. App. LEXIS 905 (Cal. Ct. App. 1965).

Opinion

FRAMPTON, J.

pro tern. * — Petitioners seek a writ of mandate to compel the respondent court to set aside its order transferring a cause of action, for trial, from the County of Los Angeles to the County of Kern, State of California.

Mandate is the appropriate remedy if petitioners are entitled to relief (Code Civ. Proc., § 400), and the right to *70 the relief prayed for must be measured in the light of the allegations contained in the complaint on file in the respondent court. (Miller & Lux v. Kern County Land Co., 140 Cal. 132, 133-134 [73 P. 836] ; Cohen v. Hellman Commercial T. & S. Bank, 133 Cal.App. 758, 765 [24 P.2d 960] ; San Fernando Valley C. of C. v. Thomas, 123 Cal.App.2d 348, 350 [266 P.2d 891].)

The complaint below shows that petitioners are plaintiffs in a cause of action filed February 17, 1965, in the respondent court entitled “Laurel Crest, Inc., a corporation, and Can Am Hangar Corp., a corporation, joint venturers, doing business under the fictitious firm name of Wiley Land Co., a joint venture, Plaintiffs, vs. Wayne Vaughn and Evelyn G. Vaughn, individually and as husband and wife, James E. Smith and Violet M. Smith, individually and as husband and wife, Joe Fambrough and Marie H. Fambrough, individually and as husband and wife, Jo Ann Investment Co., a corporation, Javico, Inc., a corporation, AGV Co., Inc., a corporation, Edmaco, Inc., a corporation, Evaco, Inc., a corporation, as co-partners doing business under the firm name and style of Golden State Homes, a general partnership, Does I through X, inclusive, Defendants, Number NW C 6260.”

The complaint in the first cause of action alleges in substance that petitioners Laurel Crest, Inc., and Can Am Hangar Corp., are California corporations each having its principal place of business in the County of Los Angeles, State of California; that these corporations are engaged in a joint venture under the fictitious name and style of Wiley Land Company, one of the petitioners herein; that the individually named defendants each are residents of the County of Kern, State of California. The complaint further alleges that the defendants Jo Ann Investment Co., Javico, Inc., AGV Co., Edmaco, Inc. and Evaco, Inc., each are California corporations doing business within the state, under the fictitious firm name and style of Golden State Homes, a named defendant, and that such corporation defendants are the corporate alter egos of the individually named defendants.

It is further alleged that plaintiffs had purchased certain real property situated in the County of Los Angeles which is the subject of this litigation. That in connection with such purchase, plaintiffs had executed a promissory note in favor of the seller, the LaSalle Estate, in the sum of $2,201,500 secured by a deed of trust on a portion of the real property and upon which plaintiffs became obligated to pay to the *71 seller an annual payment of $444,300 plus interest in the sum of $132,000 on or before December 12, 1964. That, in addition to the foregoing, and in connection with such purchase, plaintiffs executed a promissory note in the sum of $260,000 secured by a deed of trust on a portion of the real property here involved, in favor of Home Savings and Loan Association, all of which was due and payable on or before December 12, 1964. It further appears from the complaint that on June 25, 1964, in the City of Los Angeles, plaintiffs as sellers and defendants as buyers entered into an escrow designated as Number 16003 with the Occidental Escrow Company wherein plaintiffs agreed to sell and defendants agreed to buy the real property here involved. That defendants were aware at the time of the opening of this escrow of plaintiffs’ obligation to LaSalle and Home Savings and of plaintiffs’ financial inability to meet such obligations unless the defendants met their obligations as buyer under the terms of the escrow and that defendants promised to fulfill such obligations so that the escrow would close not later than August 25, 1964. It is then alleged that plaintiffs in reliance upon such promise executed a promissory note in the sum of $18,254.58 in favor of C-S-T Engineering Company, due and payable on or before August 25, 1964, and did nothing further with respect to obtaining a buyer for the real property, or obtaining finances with which to pay the obligations to LaSalle and Home Savings. It is then alleged that on August 25, 1964, plaintiffs appeared at the escrow office for the purpose of closing the escrow, but the defendants failed to appear. It is further alleged that on August 26, 1964, both plaintiffs and defendants met at the escrow office at which time defendants stated that they would be unable to close the escrow because “their financing was not available.” At this juncture the complaint is not clear as to the details of what followed. It does appear, however, from the general allegations, that on August 26, 1964, the parties agreed to extend the closing date of escrow 16003 to and including September 10, 1964, and on August 27, 1964, a new escrow numbered 16059 was opened. Between these two escrows it appears that defendants, being aware of the precarious financial situation of plaintiffs, and having failed to fulfill their obligation under escrow 16003, agreed to make available to the plaintiffs the sum of $600,000 in order that plaintiffs could meet their obligations to LaSalle and Home Savings which would become due and payable on December 12, *72 1964. Defendants were to receive $50,000 for this service. It further appears from general allegations in the complaint that in the amendment to escrow 16003 and in escrow 16059, plaintiffs agreed to transfer title to the land to defendants upon the understanding that defendants would reconvey the same to plaintiffs upon plaintiffs finding buyers for the property. It is then alleged that plaintiffs, in reliance on defendants’ promise to reconvey, found two buyers, one who agreed to purchase a portion of the property for $775,000 and another who agreed to purchase a portion described as “the commercial acreage" for $350,000. The complaint contains the allegations that the defendants’ promises to close escrow 16003 and to abide by the amendment thereto as well as their promise to reconvey under escrow 16059 were false, and were made without intention to perform them, and that plaintiffs believed the promises to be true and relied thereon. It further appears from the complaint that, subsequent to August 27, 1964, certain events occurred with respect to the real property the details of which are not pleaded, which caused an enhancement in the value of the property to the extent of at least $375,000.

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Cite This Page — Counsel Stack

Bluebook (online)
235 Cal. App. 2d 69, 44 Cal. Rptr. 867, 1965 Cal. App. LEXIS 905, Counsel Stack Legal Research, https://law.counselstack.com/opinion/laurel-crest-inc-v-superior-court-calctapp-1965.