Phillis v. City of Santa Barbara

264 Cal. App. 2d 781, 70 Cal. Rptr. 573, 1968 Cal. App. LEXIS 2145
CourtCalifornia Court of Appeal
DecidedAugust 7, 1968
DocketCiv. 31560
StatusPublished
Cited by4 cases

This text of 264 Cal. App. 2d 781 (Phillis v. City of Santa Barbara) 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
Phillis v. City of Santa Barbara, 264 Cal. App. 2d 781, 70 Cal. Rptr. 573, 1968 Cal. App. LEXIS 2145 (Cal. Ct. App. 1968).

Opinion

FILES, P. J.

This is an action commenced in 1962 by J. D. Phillis, a former fireman of the City of Santa Barbara, and Justin J. O ’Brien, a former policeman of that city, to recover retirement benefits. In a separate cause of action O’Brien seeks a return of the money deducted from his salary for the pension fund. The defendants will be referred to collectively as the city.

After the trial court sustained a demurrer and dismissed the action, the plaintiffs appealed to the Court of Appeal, which reversed. (Phillis v. City of Santa Barbara (1964) 229 Cal.App.2d 45 [40 Cal.Rptr. 27].) That decision held that the complaint stated a cause of action to establish pensionable status and to recover accrued benefits, but that the fourth cause of action, for the recovery of O’Brien’s salary deductions, was barred by limitations.

*783 Upon remand the case was tried by the court sitting without a jury. The trial court decided that plaintiffs were entitled to receive pensions; that each was entitled to recover installments which had accrued within the three-year period of limitations prescribed in Code of Civil Procedure section 338, subdivision 1; that neither was entitled to recover installments which had accrued earlier; and that O’Brien’s claim for money deducted from his salary was entirely barred by limitations. Both sides have appealed from the judgment. Plaintiffs urge that the city is estopped to assert the statute of limitations at all. The city contends that plaintiffs’ right to pensions is barred in its entirety.

In 1927 the city adopted a charter which provided a pension system for firemen and policemen. (Stats. 1927, pp. 2064, 2088.) Retirement benefits were payable to a person who had served 20 years or more, without regard to age. In 1937 a new charter pension system was adopted, under which a member was not eligible to retire until he had attained the age of 55 years and had served at least 25 years. (Stats. 1937, pp. 3000, 3003.)

Phillis became a fireman in 1918 and served continuously until May 1, 1947, when he resigned. Before resigning he talked to the chief of the fire department about retiring and was told by the chief that he could not retire because he was only 53 years of age. Phillis also spoke to the city attorney, who made a similar statement to him.

O’Brien became a policeman in 1929, and was dismissed from the department effective April 16, 1953. At about the time of the adoption of the 1937 charter amendment O’Brien had a conversation with the city attorney, who told him that he had no vested rights under the 1927 charter provisions. In 1953. at the time of his dismissal, O’Brien’s then attorney engaged in numerous discussions with the mayor and city attorney and other city officials, in which those officials stated that O ’Brien would not be eligible for a pension until he had served an aggregate period of 25 years. These statements were communicated to O ’Brien by his attorney.

In summary, it appears that under the 1927 charter both plaintiffs had become eligible to retire with pensions on the dates their services terminated, unless the 1937 amendment operated to deprive them of those benefits. It is also apparent that there was a delay of approximately 15 years in the case of Phillis, and approximately 9 years in the case of O’Brien, in the enforcement of these rights.

*784 The prior appeal, Phillis v. City of Santa Barbara, 229 Cal.App.2d 45, 62 [40 Cal.Rptr. 27], decided that plaintiffs had vested rights in the pension benefits provided under the 1927 charter, and that the additional age and service limitations imposed by the 1937 charter were, as to plaintiffs, invalid. That opinion also held that the facts alleged in the complaint were sufficient to estop the city from relying upon the statute of limitations. Inasmuch as the facts found by the trial court do not go as far as the allegations of the complaint on this subject, the prior decision on appeal is not determinative of the estoppel issue now.

The trial court found that the defendants did not intend to mislead plaintiffs or to gain any undue advantage over them, that defendants acted in good faith, and that under the circumstances their belief, as stated by them, was reasonable. The trial court found to be untrue plaintiffs’ allegations that the city officials had represented that they were fully informed on the subject, that they possessed a superior knowledge of the law, and that a confidential relationship existed between plaintiffs and those who spoke for the city.

Subsequent to the trial of this action the law upon this subject was reviewed and explained by the Supreme Court in Driscoll v. City of Los Angeles (1967) 67 Cal.2d 297 [61 Cal.Rptr. 661, 431 P.2d 245], Since the principles set forth in Driscoll are determinative of this case, it is only necessary here to outline the rules which apply.

Although a pension is an obligation payable in periodic installments, the Supreme Court has determined that the claimant has a separate cause of action to establish pensionable status; and unless such status is established within the applicable period of limitations all pension rights are barred, including installments falling due in the future. (Dillon v. Board of Pension Comrs. (1941) 18 Cal.2d 427, 430 [116 P.2d 37, 136 A.L.R. 800]; Driscoll v. City of Los Angeles, supra, 67 Cal.2d at p. 304.)

Where representatives of the city have given information or advice which induces the claimant not to press his claim, the city may be estopped to assert the bar of the statute of limitations; but conduct which estops the city with respect to the establishment of pensionable status does not necessarily estop the city from asserting a bar to retroactive benefits. The right to pensionable status is said to be a right “of great magnitude,” whereas the right to recover past due installments is “of lesser magnitude,” Thus, in Driscoll (67 *785 Cal.2d at pp. 304-311) it was held that the simple act of giving advice in good faith that the claimant was not eligible, relied upon by the claimant, was sufficient to support an estoppel upon the issue of pensionable status. But that kind of advice, based upon an honest and reasonable interpretation of the existing charter provisions, was held not to estop the city from relying upon the claims provision of its charter to bar retroactive accruals. Those rules support the decision of the trial court that upon the facts of this case the city was estopped with respect to- the establishment of pensionable status, but not estopped with respect to the retroactive accruals.

In Driscoll, the defendant City of Los Angeles relied upon its six months’ claims statute to bar past installments. The Santa Barbara charter has no such claims procedure. Hence the only bar available to defendants here is the applicable statute of limitations. This difference between the two eases does not affect the application of the rules of estoppel.

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

Related

Espejo v. The Copley Press
California Court of Appeal, 2017
Espejo v. Copley Press, Inc.
221 Cal. Rptr. 3d 1 (California Court of Appeals, 5th District, 2017)
County of San Diego v. Myers
147 Cal. App. 3d 417 (California Court of Appeal, 1983)
Board of Supervisors v. Superior Court
147 Cal. App. 3d 206 (California Court of Appeal, 1983)

Cite This Page — Counsel Stack

Bluebook (online)
264 Cal. App. 2d 781, 70 Cal. Rptr. 573, 1968 Cal. App. LEXIS 2145, Counsel Stack Legal Research, https://law.counselstack.com/opinion/phillis-v-city-of-santa-barbara-calctapp-1968.