Teresi v. Cavala

220 P. 686, 64 Cal. App. 148, 1923 Cal. App. LEXIS 157
CourtCalifornia Court of Appeal
DecidedOctober 17, 1923
DocketCiv. No. 4676.
StatusPublished
Cited by1 cases

This text of 220 P. 686 (Teresi v. Cavala) 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
Teresi v. Cavala, 220 P. 686, 64 Cal. App. 148, 1923 Cal. App. LEXIS 157 (Cal. Ct. App. 1923).

Opinion

LANGDON, P. J.

This appeal is by the plaintiff from a judgment against him in an action in which he sought to recover $5,000 from the defendants. It was alleged that the money became due to the plaintiff because of the following facts: On December 19, 1919, the plaintiff, on behalf of defendant, Antonio Wm. Eusso, entered into a written agreement with the defendant Paul L. Cavala, as agent for the defendants S. J. Maseovich and B. L. Maseovich, his wife, subject to the approval of- said defendant Antonio Wm. Eusso, for the purchase by said defendant Antonio Wm. Eusso from said defendants S. J. Maseovich and B. L. Mascovich of a certain tract of land situated in the county of Santa Clara, state of California, consisting of 126 acres of land, for the sum of $135,000. By the terms of this contract $5,000 was to be paid upon the execution and delivery of the agreement and the balance in installments provided for in said agreement. Upon the execution and delivery of the agreement plaintiff paid to defendant Cavala $5,000 upon the alleged express understanding that Cavala would hold said sum pending the receipt of the approval or disapproval of said agreement by said Eusso, who was then residing in New York state, and that in case said Eusso disapproved of said agreement Cavala would return to plaintiff said $5,000 with interest thereon. It was alleged that Eusso disapproved of the contract and plaintiff demanded the return of the $5,000, which was refused. Eusso was made a defendant upon the theory that as the written agreement between plaintiff and defendants Maseovich recited that said payment of $5,000 was received from Eusso, an apparent interest in said sum was created in favor of Eusso. Eusso answered, admitting that he had no right or title to the money in question.

There appears to be no dispute about the facts surrounding the making of the contract between the parties and the payment of the money by plaintiff as alleged. The contract involved was introduced in evidence and provides that the sale “is subject to the approval of Mr. A. Wm. Eusso of New York.” The controversy narrows down, as conceded by both appellant and respondents, to a question of whether or not Eusso did in fact approve of the contract made on his *150 behalf, thereby entitling the defendant Cavala to- apply the $5,000 as the initial payment under the contract. Upon this decisive question of fact the trial court found that Busso approved the said sale and the execution of the said agreement of sale and the payment of the said sum of $5,000' so made by plaintiff. This finding is the point of attack by appellant, and a review of the same requires a consideration of all the evidence.

It appears that plaintiff, defendant Busso, one Horace B. Lanza, and the sons of plaintiff, designated in the record as the 1 ‘ Teresi boys ’ ’ entered into an agreement among themselves to purchase the Mascovich ranch. Plaintiff was to own a one-fourth interest, Busso one-fourth, Lanza one-fourth, and the remaining one-fourth was to be held by the “Teresi boys.” The property was visited and examined and negotiations entered into for its purchase. Mascovich asked $135,000 for the property and Busso offered $132,500. At this point a sharp conflict occurs in the testimony, Busso claiming that his offer of $132,500 was conditioned upon an oral promise of Cavala to him that Cavala, who was a real estate dealer, would give $2,500 of his commission to the purchasers which would make the price $130,000 net to them—while Cavala testified that Busso offered $132,500, which Mascovich refused, and that, thereupon, he, Cavala, offered to give up $2,500 of his commission which would make the price $132,500 net to the purchasers and would meet the offer of Busso. In our review of a finding made upon conflicting evidence, we must accept as true the testimony which will support the finding, and so, for the purposes of this appeal, it must be considered that Busso offered $132,500 net, with the understanding that Cavala would surrender $2,500 of his commission, thus meeting the price demanded by Mascovich. These negotiations took place on December 17, 1919, and on the same evening Busso and Lanza left for New York and the matter of purchasing the ranch was entrusted to the plaintiff. Two days later the agreement involved here was signed by plaintiff as agent for Busso, the agreement on its face being between Busso and the owners of the land. This agreement recited a purchase price of $135,000. Between Mascovich, Cavala and plaintiff there was no dispute about the price of the land—the buyers were to pay $132,500 net; they were to pay Mascovich *151 $135,000, but Cavala was to return to them $2,500 of his commission for making the sale.

Before leaving for the east, Russo had approved of all terms of the contract except the price for the land and that matter required his approval after he arrived at his home in New York. Accordingly, Cavala sent a telegram to Russo, signing the same with the name of Teresi. That telegram was dated December 20, 1919, and read:

“Have deposited five thousand dollars and contract duly signed for S. J. Mascovieh ranch which you seen, price and terms as per your offer any further instructions send night letter.
“S. Teresi.”
Bearing in mind that this court must accept as true the testimony to the effect that Russo had offered $132,500 net for the ranch in addition to which Cavala was to rebate $2,500 from his commission to satisfy the seller, Russo must be held to have been informed by this telegram that the contract would insure the purchase of the ranch by him and his associates at $132,500 net to them. Mr. Russo arrived at his home on December 24, 1919, and telegraphed Teresi as follows:
“Just arrived telegram received will write instructions tomorrow.
“A. William Russo.”
However, Mr. Russo was suddenly called to Philadelphia by the illness of a business associate and remained there for several days. In the meantime Mr. Teresi had written to Russo fully, explaining that the contract had been signed and that it provided for a payment of $135,000 because the seller could not be induced to take less for the property, but that Cavala had agreed to return to the purchasers $2,500 of his commission, thus making the ranch $132,500 net to the purchasers, as per Russo’s previous offer. In Mr. Russo’s absence this letter was read by Lanza, a brother-in-law and business associate of Russo, and also an associate in the particular venture of the purchase of this ranch. In response to this letter, Mr. Lanza telegraphed to plaintiff, on December 29th, as follows:
“Letter received. What you did is satisfactory. Happy New Year.
“H. O. Lanza.”

*152 It is true that Lanza testified he sent this telegram on his own initiative and that it was only intended to apply to his interest in the transaction and that he had no authority to approve the contract for Eusso, and Eusso maintains the same position. We shall not consider this telegram, therefore, as supporting the finding regarding Eusso’s approval of the contract.

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Bluebook (online)
220 P. 686, 64 Cal. App. 148, 1923 Cal. App. LEXIS 157, Counsel Stack Legal Research, https://law.counselstack.com/opinion/teresi-v-cavala-calctapp-1923.