O'NEILL v. Dennis

240 P.2d 376, 109 Cal. App. 2d 210, 1952 Cal. App. LEXIS 1823
California Court of Appeal·Decided February 13, 1952·No. Civ. 14857·Published·Cited by 10 cases

Opinion

JONES, J. pro tem.

The appeal in this case is from a judgment quieting respondent’s title to an improved lot on Rayburn Street in San Francisco.

On April 1, 1949 appellant executed to him a deed of this lot reserving a life estate in herself. The deed was delivered on April 1, and on April 8, respondent had it recorded and has retained it ever since. No consideration was given, making the deed a gift of the remainder interest in the property to the respondent.

The complaint is in two counts. The first count alleges • fraud and seeks to have the deed set aside on that ground. The second count alleges title in appellant and is to quiet title. The trial court found against the claim of fraud and entered a judgment quieting title in the respondent subject to a life estate in appellant. It is from this judgment that she has appealed.

The appellant was in her 80th year when the deed was given. She made her home on the property as she had since 1906. Her health was poor and she was unable to hear except through the medium of a hearing aid. She had no near relatives except a sister, Mrs. Brickdale, who lived in another part of the *212 city, and by whom, the respondent, Dennis, was employed. The old age pension was the only income which Mrs. O’Neill, the appellant, enjoyed. The respondent was a frequent visitor at her house, did numerous small things for her, and looked after the payment of her taxes. He testified that he had the deed in question prepared by a scrivener whom he selected and that he procured the notary who took the acknowledgment. He also testified that he secured the description of the lot set out in the deed from a title company.

When a grantee in á deed occupies a relation of trust and confidence toward the grantor, as the respondent did here (Bank of America v. Crawford, 69 Cal.App.2d 697 [160 P.2d 169]), and is active in the preparation of the deed and stands to profit unduly by the transaction the burden is cast upon him to show that the grantor acted with a full and complete knowledge of the facts and with complete understanding of the transaction and not upon any reliance or confidence placed in the grantee.

In Webb v. Saunders, 89 Cal.App.2d 732, 735 [201 P.2d 816], it is said that “Gifts or benefits from a principal to one occupying a fiduciary or confidential relation to him, while not absolutely void, are presumptively void” and “Such transactions will be set aside upon the discovery of the least fraud and the hurden is upon the party benefited to show that the confidence was not abused, by proving that the other party acted, not upon any reliance or confidence placed in the former, but with full knowledge of the facts, and entire understanding of the effect of the transaction.” (Italics added.)

Where the burden shifts to the defendant to show fairness and good faith in the transaction as it does under the facts in this case, it is nevertheless incumbent upon the appellant in order to prevail upon the appeal to show that no credible evidence was produced from which the reasonable inference might be drawn that the grantor acted voluntarily and with full knowledge of the facts and a complete understanding of the effect of the transaction. In Nichols v. Mitchell, 32 Cal.2d 598, 600 [197 P.2d 550], the court said: “As ground for reversal defendants urge the insufficiency of the evidence to sustain the findings that the realty involved was their community property, and not the separate property of Mrs. Mitchell. Such contention requires defendants to demonstrate that there is no substantial evidence to support the challenged findings. As was stated in the oft-cited ease of Crawford v. Southern Pac. Co., 3 Cal.2d 427, at page 429 [45 P.2d 183] ‘. . . the *213 power of the appellate court begins and ends with a determination as to whether there is any substantial evidence, cony tradicted or uncontradicted,’ which will support the findings, and when ‘two or more inferences can be reasonably deduced from the facts, the reviewing court is without power to/substitute its deductions for those of the trial court. ’ ” /

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O'NEILL v. Dennis, 240 P.2d 376, 109 Cal. App. 2d 210, 1952 Cal. App. LEXIS 1823 (Cal. Ct. App. 1952).

240 P.2d 376 (O'NEILL v. Dennis) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

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