Tang v. Guo

CourtSupreme Court of The Commonwealth of The Northern Mariana Islands
DecidedNovember 21, 2025
Docket2023-SCC-0013-CIV
StatusPublished

This text of Tang v. Guo (Tang v. Guo) is published on Counsel Stack Legal Research, covering Supreme Court of The Commonwealth of The Northern Mariana Islands primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Tang v. Guo, (N.M. 2025).

Opinion

E-FILED CNMI SUPREME COURT E-filed: Nov 21 2025 10:48AM Clerk Review: Nov 21 2025 10:48AM Filing ID: 77836717 Case No.: 2023-SCC-0013-CIV Judy Aldan

IN THE Supreme Court OF THE

Commonwealth of the Northern Mariana Islands XIAODONG TANG, Plaintiff-Appellant, v. XUAN GUO, XUEMIN MASON, AND JOHN DOES 1–5, Defendants-Appellees. Supreme Court No. 2023-SCC-0013-CIV

SLIP OPINION Cite as: 2025 MP 11 Decided November 21, 2025

CHIEF JUSTICE ALEXANDRO C. CASTRO ASSOCIATE JUSTICE PERRY B. INOS JUSTICE PRO TEMPORE SABRINA S. MCKENNA

Superior Court No. 20-0124-CV Presiding Judge Roberto C. Naraja, Presiding Tang v. Guo, 2025 MP 11

CASTRO, CJ.: ¶1 This case involves a contract dispute arising from a failed business arrangement. The parties disagree on many operative facts. While they agree that at one point a contract existed between them, the trial court concluded that no valid and enforceable contract existed. Following a bench trial, the court attempted to restore the parties to the position they would be in had no transaction occurred. We agree with the court’s conclusion that no enforceable contract was formed, but the unjust enrichment award for the alleged property repairs lacked evidentiary support and needed to be offset by the rental income. Accordingly, we AFFIRM the trial court in part, REVERSE in part, and REMAND for further proceedings consistent with this opinion. I. FACTS AND PROCEDURAL HISTORY ¶2 Appellant Xiaodong Tang (“Tang”) is a Chinese citizen who owns the leaseholds to nine different properties in the Commonwealth. Appellee Xuemin Mason (“Mason”) is a Chinese-born U.S. Citizen with a real estate business license and holds several property leases. Appellee Xuan Guo (“Guo”) is Mason’s daughter. Tang and Mason likely first met in 2018 and were professionally aware of each other as business people. Mason and Guo are collectively referred to as “Appellees.” ¶3 Though Tang and Mason dispute the inception of their professional relationship, they agree that in 2019 Tang held the lease for two properties, one referred to as the “Fina Sisu Property”, and one referred to as the “PIC Property” (collectively, “the properties”), and that documents were executed purporting to assign Tang’s interest in the properties to Guo. ¶4 The lease assignments were executed on June 12, 2019, but neither Tang nor Mason signed the documents. Instead, Tang had his father sign on his behalf as his “attorney in fact,” and Mason directed Guo sign the lease assignments in Guo’s own name. The total purchase price for the two properties was $250,000— $130,000 for one and $120,000 for the other—with initial payments of $15,000 for each. The unpaid balances were due in installments—$115,000 for one property within 3 months of execution (by September 12, 2019) and $105,000 for the other property within 6 months (by December 12, 2019). ¶5 At the same time that the lease assignments were executed, the parties also signed “Confirmation of Rescission of Assignment of Lease” documents (“rescission documents”), stating that Guo had failed to pay Tang under the assignment agreement and that the assignment was automatically rescinded. These rescission documents as well as the executed lease assignment documents were filed with the Commonwealth Recorder on June 12, 2019. The documents purporting to rescind and nullify the lease assignment were recorded one minute prior to the recording of the lease assignment documents. ¶6 Around the time of execution of the documents, though the record does not establish when, Mason transferred $30,000 to Tang—the purpose of which is disputed. Tang asserts it was a down payment for the leases. Mason maintains it Tang v. Guo, 2025 MP 11

was a personal loan, and that the lease assignment deal was a cover for a scheme to enable Tang to sell the properties and pay back the loan with the proceeds. ¶7 Tang alleges that he intended to sell the leases to Mason, who wanted to flip the properties for a profit. Mason, on the other hand, argues that the lease assignments and recission documents were never intended to reflect the true nature of their agreement. Mason claims that Tang approached her in 2019, urgently requesting a loan of $30,000 and claiming he had a buyer for the leases of the properties. According to Mason, Tang proposed transferring the leases temporarily, for just three days, to Mason’s name to aid the sale of the properties, due to there being a warrant for Tang’s arrest in China that prevented him from selling the properties under his name. Mason alleges that Tang promised to repay the loan from the proceeds of the sale of the properties. Mason claims she never read the terms of the lease assignment or recission documents, trusting Tang’s words that their only purpose was aid in selling the properties. To Mason, Tang sought a temporary transfer to Mason’s name to facilitate a sale to a third-party buyer, who ultimately never materialized, so they agreed to each search for a buyer for the properties. ¶8 Mason took possession of the properties, allegedly spending $70,000 on repairs to make them more marketable. No buyer emerged and Tang claimed to not have the money to repay Mason. Tang told Mason to rent out the property until he could locate a buyer. Mason was able to do so, renting out both properties for a combined $1,500 a month ($500 for the PIC Property and $1,000 for the Fina Sisu Property). ¶9 In December 2019, Tang demanded possession of the properties. Mason agreed to return them on the condition that he pay her the alleged owed amounts. Tang then filed a lawsuit against Appellees, suing for trespass, breach of contract, promissory fraud, and unjust enrichment. Appellees counterclaimed for breach of contract based on the oral contract, and in the alternative, that Tang was unjustly enriched. ¶ 10 In a post-trial motion, Tang moved to strike all testimonies regarding the verbal agreements and negotiations prior to the lease assignments, citing the parol evidence rule prohibited the court from considering facts outside the four corners of the fully integrated lease assignments. The court issued findings of fact and conclusions of law (“FFCL”) on September 20, 2023. ¶ 11 The court denied the motion to strike parol evidence concluding the evidence was admissible under the fraud exception. The court found no enforceable contract existed due to lack of mutual assent to be bound. This finding of a lack of mutual assent was based on Mason’s testimony that asserted a verbal agreement around the $30,000 loan and that the lease assignment was merely temporary to facilitate the sale to a third party. ¶ 12 The court also found Appellees’ counterclaim for breach of contract unenforceable because the terms describing the benefits Mason would receive Tang v. Guo, 2025 MP 11

from the sale of the properties to a third-party were too vague. The court further denied Tang’s request for trespass and ejectment on the basis of unclean hands. ¶ 13 The court awarded Mason $100,000 in unjust enrichment damages, consisting of the alleged $30,000 “loan” and the $70,000 property repair costs. These damages include post-judgment interest running from the date of the FFCL. Finally, the court informed Tang that it would entertain a motion for possession of the properties upon his showing that he could satisfy the judgment. II. JURISDICTION ¶ 14 We have appellate jurisdiction over final judgments and orders of the Commonwealth Superior Court. NMI CONST. art. IV, § 3. III. ISSUES ON APPEAL AND STANDARD OF REVIEW ¶ 15 The primary issue on appeal is whether the court erred in finding the lease assignment documents did not constitute a valid and enforceable contract. Whether a contract is valid and enforceable is a mixed question of law and fact, which we review de novo. Pangelinan v. Itaman, 4 NMI 114, 117 (1994).

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Bluebook (online)
Tang v. Guo, Counsel Stack Legal Research, https://law.counselstack.com/opinion/tang-v-guo-nmariana-2025.