Wong v. Markarian

CourtCalifornia Court of Appeal
DecidedAugust 26, 2022
DocketJAD22-06
StatusPublished

This text of Wong v. Markarian (Wong v. Markarian) 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
Wong v. Markarian, (Cal. Ct. App. 2022).

Opinion

Filed 7/29/22

CERTIFIED FOR PUBLICATION APPELLATE DIVISION OF THE SUPERIOR COURT STATE OF CALIFORNIA, COUNTY OF LOS ANGELES

KATHY WONG, ) No. BV 033618 ) Plaintiff and Appellant, ) Pasadena Trial Court ) v. ) No. 20PDUD00513 ) NERSES MARKARIAN et al., ) ) Defendants and Respondents. ) OPINION )

APPEAL from a judgment of the Superior Court of Los Angeles County, Margaret L. Oldendorf, Judge. Affirmed. Law Office of Allen R. King, Allen R. King, for Plaintiff and Appellant. Law Office of O’Melveny & Myers LLP, Justine Daniels, Sarah E. Higgins and Pauline A. Nguyen, for Defendants and Respondents.

* * *

1 Plaintiff Kathy Wong appeals from the judgment entered in favor of defendants Nerses Markarian (Markarian), Sedik Tarvirdian (Tarvirdian), and Marita Markarian Acuna (Marita Acuna) following an unlawful detainer court trial. Plaintiff sought possession of the premises on the theory defendants breached the occupancy limit of the lease agreement. Defendants prevailed on their affirmative defenses that the eviction violated certain provisions of the Just Cause and Retaliatory Evictions ordinance codified in Glendale Municipal Code, chapter 9.30 et seq. (“the Ordinance”),1 and proved their affirmative defense of equitable estoppel. Plaintiff contends the trial court misinterpreted the Ordinance and that defendants did not prove all the elements of an equitable estoppel defense. As explained below, we affirm the judgment. BACKGROUND On February 18, 2020, plaintiff filed an unlawful detainer complaint seeking possession of the premises—a three-bedroom apartment, part of a multiunit property located in the City of Glendale. Plaintiff alleged that on or about January 15, 1997, defendants entered into a written lease agreement in which they agreed to pay rent of $950 on the first day of each month, which was later increased to $1,050. On February 4, 2020, plaintiff caused defendants to be served with a three-day notice to perform covenants or quit the premises, and defendants failed to comply with the demands in the notice. A copy of the rental agreement, addendum and the three-day notice were attached to the complaint. Plaintiff sought possession of the premises, forfeiture of the rental agreement, daily damages, and attorney’s fees. As pertinent, the three-day notice alleged that paragraph 4 of the rental agreement limited occupancy of the premises to Markarian, Tarvirdian, Marita Acuna, and a person identified only as “Polet,”2 and that defendants were in violation of the rental agreement by allowing Ronald Acuna and a young girl to occupy the premises since 2017. In their answer,

1 Unspecified section references are to the Glendale Municipal Code. 2 Markarian and Tarvirdian are husband and wife and Marita Acuna and Polet are their daughters.

2 defendants admitted some, and denied other allegations of the complaint, and raised numerous affirmative defenses including equitable estoppel and violation of the Ordinance. A court trial took place on July 26, 2021.3 The trial court testimony relevant to the issues raised on appeal is as follows:4 Markarian and Tarvirdian executed the one-year lease agreement on January 15, 1997. The authorized occupants as stated in the lease agreement were Markarian, Tarvirdian, Polet and Marita Acuna. Polet vacated the unit in approximately 2014. Marita Acuna’s husband, Ronald Acuna, and their minor daughter, Chloe Acuna, have resided in the unit since at least 2017. Plaintiff was aware of Ronald Acuna and Chloe Acuna’s occupancy in the unit since 2017, but did not object until the events in 2019 that led to this eviction proceeding. Effective August 1, 2019, plaintiff increased defendants’ rent in the amount of $100 and without offering a corresponding written lease extension. This increase brought the rent up to $2,400 per month.5 The reason for the increase was in dispute. According to plaintiff, the increase was intended to recover maintenance expenses and to account for market conditions at the time, but the trial court found that the rent increase was intended to account for Ronald Acuna’s status as an additional occupant in the unit. In approximately October 2019, plaintiff prompted Ronald Acuna to submit a rental application in an effort to lead him to acknowledge he lived in the unit. After running the credit check, plaintiff approved Ronald Acuna as an additional tenant but did not inform him or defendants of this decision, and plaintiff did not offer a rental agreement to Ronald Acuna because defendants had not paid the $100 fee set forth in the lease addendum and they did not demand a new lease agreement. The court entered judgment in favor of defendants and against plaintiff, for possession of the premises, costs, and attorney fees. The judgment was accompanied by an eight-page

3 The following persons testified during the trial: plaintiff, Matt Wong, Tardvirdian, Markarina, Marita Acuna, and Ronald Acuna. 4 The record of the oral proceedings at trial consists of a 37-page statement on appeal which was certified by the trial court with corrections made by defendants. 5 The notice was introduced as an exhibit, but it is not included in the record on appeal.

3 statement of decision in which the court found that (1) defendants complied with the applicable limitations on occupancy, (2) plaintiff violated the Ordinance by her failure to offer a written lease agreement with a minimum one-year term following issuance of notice of rent increase, and (3) defendants proved the defense of equitable estoppel. Plaintiff filed a timely notice of appeal from the judgment. DISCUSSION Motion to Dismiss Defendants simultaneously filed a motion to dismiss and a respondents’ brief. They sought dismissal of the appeal on two grounds—plaintiff has forfeited the right to appeal by accepting the benefits of the judgment, and the appeal is moot. The factual basis for the motion is that after filing the notice of appeal, the parties executed a one-year lease agreement for the premises that included Ronald Acuna as a named tenant. Plaintiff opposes the motion. As explained, we deny defendants’ motion. The principle is well settled that “the right to accept the fruits of the judgment and the right to appeal therefrom are wholly inconsistent, and an election to take one is a renunciation of the other. [Citations.] An exception to the general rule exists where the appellant is concededly entitled to the benefits which are accepted and a reversal will not affect the right to those benefits. [Citations.]” (Mathys v. Turner (1956) 46 Cal.2d 364, 365, citing Schubert v. Reich (1950) 36 Cal.2d 298, 299-300.) In this case, plaintiff has not accepted any “benefit” from the judgment given that the judgment was not beneficial to plaintiff. Defendants secured an unequivocal win at trial by way of judgment for possession in addition to their costs as the prevailing party. As explained in more detail post, plaintiff was required under the Ordinance to offer to defendants a written lease extension in conjunction with any rent increase, and she was not obligated to choose between seeking a lawful rent increase and preserving her right to challenge the validity of the judgment. On the issue of mootness, “[g]enerally, courts decide only ‘actual controversies’ which will result in a judgment that offers relief to the parties. [Citations.] Thus, appellate courts as a

4 rule will not render opinions on moot questions: ‘[W]hen, pending an appeal from the judgment of a lower court, and without fault of the [respondent], an event occurs which renders it impossible for [the reviewing court] if it should decide the case in favor of [appellant], to grant [appellant] any effectual relief whatever, the court will not proceed to a formal judgment, but will dismiss the appeal.

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Wong v. Markarian, Counsel Stack Legal Research, https://law.counselstack.com/opinion/wong-v-markarian-calctapp-2022.