McClain v. Rush

216 Cal. App. 3d 18, 264 Cal. Rptr. 563, 1989 Cal. App. LEXIS 1216
CourtCalifornia Court of Appeal
DecidedNovember 29, 1989
DocketB033648
StatusPublished
Cited by19 cases

This text of 216 Cal. App. 3d 18 (McClain v. Rush) 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
McClain v. Rush, 216 Cal. App. 3d 18, 264 Cal. Rptr. 563, 1989 Cal. App. LEXIS 1216 (Cal. Ct. App. 1989).

Opinion

*22 Opinion

SUTTON, J. *

No flippancy is intended, but all are familiar with the old adage of “going to the well too often.” This is a case where plaintiff and appellant, Richard S. McClain (McClain or vendee) did not “go to the well often enough” before purchasing the real property here involved. Had he done so he may have timely discovered the well on the property produced water too “hard” to be potable or to use otherwise, since the well water from the property seemed to stunt or kill vegetation when it was used for irrigation.

Judgment for defendants and respondents is affirmed.

The record before the court consists of a reporter’s transcript of the hearing on a motion for judgment on the pleadings formally noticed and conducted on the eve of trial.

Appellant has submitted, per California Rules of Court, rule 5.1, an appendix in lieu of a clerk’s transcript. For convenience that appendix will be referred to as the clerk’s transcript. Respondents have submitted an appendix, also, which will be referred to as the respondents’ appendix in order to provide a distinction.

Suit was initiated by McClain in 1983 by the filing of a six-count complaint. Defendants Richard W. Rush and Patricia Rush (the Rushes or vendors) were the owners and sellers of a parcel of real property at 28206 San Martinez Grande Canyon in Saugus (the property). Vendee’s causes of action against vendors are set forth in the first two counts of the complaint, and suit was brought against vendors for rescission based upon a breach of contract and for fraud, misrepresentation, and failure of consideration.

Security Pacific National Bank (Bank) was the lender who financed vendee’s purchase of the property, and the Bank was sued in the third cause of action for failure of consideration, the fourth cause of action for breach of contract, and in the fifth cause of action for negligence.

Defendant Seely is alleged to have been the vendee’s real estate agent; defendant Griffin was alleged to be vendor McClains’ real estate sales agent; both sales agents are alleged to have been in the hire of Century 21 New-hall-Valencia Realty (broker), an alleged California corporation which is presumed to be a licensed real estate brokerage corporation, although that *23 fact is nowhere alleged in the complaint. Collectively, these parties will be referred to as “the realtors.”

The significant issue in this appeal centers around the applicability of a statute of limitations so that in a recital of the facts of the case it is important to note the specific dates of certain events. The formal deposit receipt agreement which initiated the real estate transaction appears to be undated, but was alleged to have resulted in the formation of a contract for the purchase and sale of the property on September 15, 1979. The deed from vendors for the property to vendee was recorded January 11, 1980, a date customarily concurrent with close of the parties’ sales escrow. Formal notice of rescission of the purchase of the property from vendee to vendors and to the Bank is dated March 17, 1983, three years two months and some six days subsequent to the close of escrow.

Vendee filed the complaint herein March 28, 1983. On May 23, 1983, vendors answered the complaint with a general denial and several affirmative defenses, the third of which alleged that McClain’s action against the vendors was barred by Code of Civil Procedure section 338, subdivision (d), the statute of limitations for fraud or mistake.

No copy of the answer of the realtors has been included in the clerk’s transcript, but the summary judgment motion of realtors which is included in the clerk’s transcript states that an answer was filed by them in June of 1983, asserting, among other things, that McClain’s action against the realtors was barred by Code of Civil Procedure section 338, subdivision (d), as well as Code of Civil Procedure section 339, subdivision 1—the two-year statute of limitations based on an oral contract.

The bulk of the clerk’s transcript in this case consists of the realtors’ summary judgment motion and supporting documents and the opposition of McClain. Because the summary judgment obtained by realtors looms large in the subsequent grant of vendors’ motion for judgment on the pleadings, certain of the facts established in that summary judgment motion merit comment. McClain unquestionably knew on March 6, 1980, from a report solicited and received from Sears that his water was “too hard” for any water softening system sold by Sears to accommodate, and Sears advised him of its inability to recommend use of any of Sears’s systems to treat the well water on the property. As far as the problem of “fraud or misrepresentation” relating to the reduced flow of water from the well, the summary judgment motion established that vendee admitted voicing his complaint in that regard to vendors as early as January 25, 1980—a matter of a few days following close of escrow.

*24 In response to the two facts cited, as well as other salient facts, the summary judgment motion persuasively established an almost immediate dissatisfaction with and knowledge of the “defects” in the well water on the part of McClain immediately following the conclusion of his purchase of the property on or about January 11, 1980. However, McClain’s response to the summary judgment motion was that he was unaware the well water was not fit for human consumption “because of chemical contamination” until he had received, in response to his own solicitation, a water analysis on September 22, 1982, from Fruit Growers Laboratory which demonstrated that both before and after water softener application the chemical content of the well water made it generally unfit.

The realtors’ summary judgment motion was granted against McClain on July 27, 1984. In the minute order granting the summary judgment motion before execution of the formal judgment, the court observed: “Summary judgment is granted as there are sufficient facts that are uncontradicted which indicate that knowledge of the defects [in the water] were known by the plaintiff in 1979 or February of 1980 and the statute of limitations applies.”

Judgment for the realtors by the same minute order was stated to have been read into the record on July 27th and the word “proposed” stricken from a judgment submitted by the moving party with the motion; however, no such document appears in the record. Instead, a judgment dated August 10, 1984, appears to have been signed (or “re-signed”) by the trial court and entered. In any event, an appeal was taken therefrom. In July of 1986 vendee filed with the superior court a dismissal with prejudice as to the realtors and in a separate document filed here, set forth in the appendix to vendors’ respondents’ brief a notice to this court from McClain’s attorneys was filed contemporaneously with the dismissal indicating McClain would not proceed further with the appeal against the realtors. The notice indicated, however, the appeal against the Bank would still be pursued. No documents relating to a summary judgment by the Bank against McClain are included in the clerk’s transcript but reference is made in vendors’ brief that the summary judgment in favor of the Bank was affirmed on appeal.

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Cite This Page — Counsel Stack

Bluebook (online)
216 Cal. App. 3d 18, 264 Cal. Rptr. 563, 1989 Cal. App. LEXIS 1216, Counsel Stack Legal Research, https://law.counselstack.com/opinion/mcclain-v-rush-calctapp-1989.