Mesquite Country Club Condominium Homeowners etc. v. Save Oswit Canyon CA4/1

CourtCalifornia Court of Appeal
DecidedFebruary 26, 2024
DocketD082762
StatusUnpublished

This text of Mesquite Country Club Condominium Homeowners etc. v. Save Oswit Canyon CA4/1 (Mesquite Country Club Condominium Homeowners etc. v. Save Oswit Canyon CA4/1) 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
Mesquite Country Club Condominium Homeowners etc. v. Save Oswit Canyon CA4/1, (Cal. Ct. App. 2024).

Opinion

Filed 2/26/24 Mesquite Country Club Condominium Homeowners etc. v. Save Oswit Canyon CA4/1 NOT TO BE PUBLISHED IN OFFICIAL REPORTS California Rules of Court, rule 8.1115(a), prohibits courts and parties from citing or relying on opinions not certified for publication or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 This opinion has not been certified for publication or ordered published for purposes of rule 8.1115.

COURT OF APPEAL, FOURTH APPELLATE DISTRICT

DIVISION ONE

STATE OF CALIFORNIA

MESQUITE COUNTRY CLUB D082762 CONDOMINIUM HOMEOWNERS ASSOCIATION,

Plaintiff and Respondent, (Super. Ct. No. CVPS2203251)

v.

SAVE OSWIT CANYON, INC.,

Defendant and Appellant.

APPEAL from an order of the Superior Court of Riverside County, Carol A. Greene, Judge. Affirmed. Burke, Williams & Sorensen, Mark J. Mulkerin, Richard J. Reynolds, and John R. Horstmann for Defendant and Appellant. Capobianco Law Offices, Nino Capobianco, Derek Wallen; Slovak Baron Empey Murphy & Pinkney, Shaun Murphy; Murphy, Pearson, Bradley & Feeney, Jeff C. Hsu and Marlin Y. Gillespie for Plaintiff and Respondent. INTRODUCTION In August 2022, Respondent Mesquite Country Club Condominium Homeowners Association (the HOA) sued Appellant Save Oswit Canyon, Inc., which is doing business as the Oswit Land Trust, a non-profit corporation (Oswit). The complaint alleged causes of action for: (1) breach of the Declaration of Covenants, Conditions and Restrictions for Mesquite Country Club Condominiums recorded on June 14, 1984 (the CC&Rs) and the 1984 Lease Agreement between the HOA and the Mesquite Golf & Country Club (as amended by a 1988 settlement agreement and a 2004 judgment) (the

lease); (2) nuisance; (3) nuisance per se; and (4) declaratory relief.1

Oswit filed a special motion to strike under Code of Civil Procedure2

section 425.16.3 The trial court denied the motion, and Oswit appealed. Oswit contends its protected statements and conduct are the gravamen of the HOA’s causes of action and that the HOA cannot meet its burden of showing a likelihood of success on the merits. We disagree and affirm the order.

1 The complaint also contained a cause of action for trespass, which the HOA subsequently dismissed, and two additional causes of action against another defendant, Ramin Saghian.

2 Statutory references are to the Code of Civil Procedure unless otherwise indicated.

3 Section 425.16 is commonly referred to as the anti-SLAPP statute because a special motion thereunder seeks to strike a “ ‘[s]trategic lawsuit against public participation,’ ” or SLAPP. (Wilson v. Cable News Network, Inc. (2019) 7 Cal.5th 871, 882, fn. 2 (Wilson).) 2 FACTUAL AND PROCEDURAL BACKGROUND A. The Complaint In its complaint filed on August 12, 2022, the HOA explains that it was designed as an integrated residential golf course community and that about a third of its 600 condominium units are situated adjacent to an 18-hole golf course. Palms Partners Capital, LLC (Palms Partners), owned by Saghian, acquired the Mesquite Golf & Country Club (the Club) and the golf course in 2014. Thereafter, Palms Partners allegedly failed to maintain the golf course and the Club despite several notices from the HOA regarding deficiencies and dangerous conditions, which the HOA contends are lease violations and public nuisances. As a result of Palms Partners’ lack of action, the HOA describes both the Club and golf course as “not useable.” Oswit purchased the golf course from Palms Partners on July 26, 2022. Palms Partners retained ownership of the Club. According to the HOA’s complaint, Oswit confirmed in written materials disseminated to homeowners that it would convert the golf course to a public nature preserve and botanical garden. The HOA further submits that an attorney for a principal of Oswit and one of its significant donors, The Prescott Foundation, stated that the new preserve, to be known as Prescott Preserve, will never operate as a golf course. The complaint alleges that “[s]ince its purchase of the Golf Course, it appears that Oswit has completely abandoned the Golf Course and has stopped all maintenance, landscaping and irrigation, contributing to its further deterioration.” B. The Anti-SLAPP Motion Oswit argued in its anti-SLAPP motion that the HOA’s complaint was intended to stifle Oswit’s protected activity in order to promote a competing residential development proposal for the property. It maintained that the

3 HOA’s demand that the property be used as a golf course was “absurd.” In support, it pointed to a declaration from Saghian in which he stated that the golf course was unprofitable during the entire term of Palms Partners’ ownership and that he shut down golf course operations on July 15, 2022 (before Oswit purchased the property). According to Oswit, the HOA based its claim for anticipatory breach of the CC&Rs and the lease on Oswit’s public statements regarding its intention to dedicate to public use the former golf course property. It pointed to allegations in the complaint that Oswit disseminated written materials to HOA members and stated its intentions to violate the CC&Rs and lease. Further, Oswit filed the Declaration of Jane Garrison, its founder and president, in support of its motion and, based thereon, explained that it had “for years made loud and clear its intention to protect land in the Coachella Valley, and specifically communicated to [the HOA] Board its vision

regarding the failed Mesquite Golf Course.”4 Oswit argued the HOA board repeatedly stifled Garrison’s efforts to speak with homeowners regarding Prescott Preserve. It did not specifically contend that the nuisance or declaratory judgment causes of action arose from protected activity. Turning to the second step of the analysis, Oswit maintained the HOA would not succeed on the merits of any of its claims. On the first cause of action, Oswit pointed out that neither the CC&Rs nor the lease requires the property to be operated as a golf course. As to the nuisance claims, Oswit argued the HOA lacked standing because the homeowners were the real parties in interest. It otherwise submitted the HOA could not establish causation because Palms Partners was responsible for the nuisance conditions and, if anything, Oswit had begun remediation efforts since

4 The admissibility of this evidence will be addressed post. 4 purchasing the property. Because the seventh cause of action sought a declaration consistent with the other claims, Oswit argued it too failed. C. The Anti-SLAPP Order Following a hearing, the trial court issued a minute order denying the anti-SLAPP motion. The court concluded that the anti-SLAPP statute did not apply because Oswit was “not being sued for talking about converting the golf course into a nature preserve, but for taking steps to actually make that conversion occur, and is therefore being sued for conduct rather than speech.” It cited the holding from Park v. Board of Trustees of California State University (2017) 2 Cal.5th 1057, 1067 (Park) that, “[a]s many Courts of Appeal have correctly understood, to read the ‘arising from’ requirement differently, as applying to speech leading to an action or evidencing an illicit motive, would, for a range of publicly beneficial claims, have significant impacts the Legislature likely never intended.” DISCUSSION A. Evidentiary Objections Oswit filed numerous declarations in conjunction with its anti-SLAPP motion, including the ones referenced ante. The HOA filed written objections to all of them. The trial court overruled the objections, indicating they all went to “evidence not considered.” The HOA did not renew its objections on appeal. On the first step of the anti-SLAPP analysis, we are not required to accept the complaint’s allegations as true if the defendant submits contrary evidence. (Wilson, supra, 7 Cal.5th at p.

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Mesquite Country Club Condominium Homeowners etc. v. Save Oswit Canyon CA4/1, Counsel Stack Legal Research, https://law.counselstack.com/opinion/mesquite-country-club-condominium-homeowners-etc-v-save-oswit-canyon-calctapp-2024.