Judge: James C. Chalfant, Case: 22STCV28564, Date: 2022-10-04 Tentative Ruling
Case Number: 22STCV28564 Hearing Date: October 4, 2022 Dept: 85
Christina Development
Corp. v. Steven Raymond Short, 22STCV28564
Tentative decision on application for preliminary injunction: granted
Plaintiff
Christina Development Corp. (“Christina”) applies for a preliminary injunction enjoining
Defendant Steven Raymond Short (“Short”) from (1) contacting Christina, its
employees, or tenants by any means; and (2) coming within 100 feet of any
property owned or managed by Christina and its affiliates.
The
court has read and considered the moving papers and supplemental briefing, the opposition,
and reply, and renders the following tentative decision.
A.
Statement of the Case
1.
Complaint
Plaintiff
Christina commenced this proceeding on September 1, 2022, alleging (1) tortious
interference with contractual relations, (2) defamation, (3) civil harassment,
(4) conversion, and (5) breach of contract. The Complaint alleges in pertinent part as
follows.
Christina
is a real estate investment company that owns and manages rental properties in
the West Los Angeles area. In 2017, it
hired Short as its Vice President of Property Operations. Short represented in his application that he
had significant work experience as a property manager, he had worked
continuously in the industry for nearly 15 years, and that his record was clean.
In
truth, Short has at least six felony convictions, multiple violent misdemeanors,
and repeated driving infractions. He is
also a registered sex offender; his convictions include a guilty plea to rape of and lewd acts with a
14-year-old. During the time that he
claimed he was managing properties, he actually was in prison. He used fake references to give an impression
of otherwise. Although Christina
performed a background check, the false information kept Christina from
discovering the truth.
As part of his
employment, Short signed an Employee
Confidentiality Agreement (“Confidentiality Agreement”) that identified all
company documents as confidential information that Short could not use or
disclose without written authorization. The
Confidentiality Agreement also provided that Short must return all company documents
and property upon termination of his employment.
In 2022, one of the
tenants reported that Short had told her that he knew she showered with her
bathroom door open. Short also had
repeatedly entered her unit without notice and made uninvited physical contact
with her. Christina suspended Short,
investigated, and discovered his criminal history. Christina fired Short and told him to return
his work computer, all building keys, and all other company property in his
possession.
Short refused to return his computer
and other property for weeks, and he evaded Christina’s calls and emails. When he returned his computer, he had wiped
the hard drive of all information and documents. Christina also learned that, on the day of
his suspension, Short uploaded hundreds of company documents with confidential
information to an unauthorized Dropbox account in violation of his
Confidentiality Agreement.
Short returned his keys after
several weeks, claiming that he left other keys at Christina’s Playa del Rey
building. This was a lie; there were
never keys at that location.
In
March 2022, Short telephoned Christina’s Chief Financial Officer and demanded
$300,000 to prevent him from going “nuclear.”
Christina refused and reported the threat to the sheriff.
Short then sent letters to tenants
claiming that he has been onsite after his termination and will do so
again. He has disclosed the private and
confidential information of Christina’s executives.
On August 15, 2022, he used his
claim of there being keys in one of the buildings that went missing to send a
mass letter to all tenants claiming that because of the lost keys, a criminal
can get into anyone’s apartment in the near or distant future and that tenants
were in peril. This was intended to
instill fear and panic in the tenants.
On August 24, 2022, Short
mass-mailed another letter with the same allegations but also claimed that
Christina does a ton of work not approved by the city, hides things from city
inspectors when the work is approved, has committed mortgage/loan fraud multiple
times, and uses dirty tricks to scare or evict low-paying and COVID-19 tenants
protected by rent control. He further
alleged that some of its executives were racist and derogatory towards
women. None of these allegations are
true.
Short has indicated via email that
he will continue to contact tenants if he chooses and will not change his
behavior.
Christina seeks a temporary
restraining order (“TRO”), preliminary injunction, and permanent injunction enjoining
Short and his agents (1) from contacting or communicating any of Christina’s tenants,
(2) from traveling onto or coming within 50 feet of any apartment property that
Christina owns or manages, and (3) compelling Short to return all of
Christina’s property in his possession.
Christina also seeks compensatory damages with interest, punitive
damages, and attorney’s fees and costs.
2.
Course of Proceedings
On
September 8, 2022, the court heard Christina’s ex parte application for
a TRO and order to show cause re: preliminary injunction (“OSC”) to enjoin
Short Short and his agents (1) from
contacting or communicating any of Christina’s tenants, (2) from traveling onto
or coming within 50 feet of any apartment property that Christina owns or
manages, and (3) compelling Short to return all of Christina’s property in his
possession within two days. Also
on September 8, 2022, Christina served Short with the Complaint and Summons and
moving ex parte papers. At the
hearing, the court granted a TRO/OSC for the first two only, concluding that
the property to be returned was not specifically identified.
On September 13, 2022, the court heard and
denied Short’s ex parte application to (a) modify the TRO and (b) seal
the case and prevent Christina from disclosing his sex offender status and
purported criminal record.
On
September 28, 2022, Christina filed an ex parte application to compel
production of Short’s Dropbox account for forensic examination. The I/C court, Department 29 (Hon. Elaine Lu),
will hear the application on September 29, 2022.
B.
Applicable Law
An
injunction is a writ or order requiring a person to refrain from a particular
act; it may be granted by the court in which the action is brought, or by a
judge thereof; and when granted by a judge, it may be enforced as an order of
the court. CCP §525. An injunction may be more completely defined
as a writ or order commanding a person either to perform or to refrain from
performing a particular act. See Comfort
v. Comfort, (1941) 17 Cal.2d 736, 741. McDowell v. Watson, (1997) 59
Cal.App.4th 1155, 1160.[1] It is an equitable remedy available generally
in the protection or to prevent the invasion of a legal right. Meridian, Ltd. v. City and County of San
Francisco, et al., (1939) 13 Cal.2d 424.
The
purpose of a preliminary injunction is to preserve the status quo
pending final resolution upon a trial. See
Scaringe v. J.C.C. Enterprises, Inc., (1988) 205 Cal.App.3d 1536. Grothe
v. Cortlandt Corp., (1992) 11 Cal.App.4th 1313, 1316; Major v. Miraverde
Homeowners Assn., (1992) 7 Cal.App.4th 618, 623. The status quo has been defined to
mean the last actual peaceable, uncontested status which preceded the pending
controversy. Voorhies v. Greene
(1983) 139 Cal.App.3d 989, 995, quoting United Railroads v. Superior Court,
(1916) 172 Cal. 80, 87. 14859 Moorpark Homeowner’s Assn. v. VRT Corp.,
(1998) 63 Cal.App.4th 1396. 1402.
A
preliminary injunction is issued after hearing on a noticed motion. The complaint normally must plead injunctive
relief. CCP §526(a)(1)-(2).[2] Preliminary injunctive relief requires the
use of competent evidence to create a sufficient factual showing on the grounds
for relief. See e.g. Ancora-Citronelle
Corp. v. Green, (1974) 41 Cal.App.3d 146, 150. Injunctive relief may be granted based on a
verified complaint only if it contains sufficient evidentiary, not ultimate,
facts. See CCP §527(a). For this reason, a pleading alone rarely
suffices. Weil & Brown, California
Procedure Before Trial, 9:579, 9(ll)-21 (The Rutter Group 2007). The burden of proof is on the plaintiff as
moving party. O’Connell v. Superior
Court, (2006) 141 Cal.App.4th 1452, 1481.
A
plaintiff seeking injunctive relief must show the absence of an adequate
damages remedy at law. CCP §526(4); Thayer
Plymouth Center, Inc. v. Chrysler Motors, (1967) 255 Cal.App.2d 300, 307; Department
of Fish & Game v. Anderson-Cottonwood Irrigation Dist., (1992) 8
Cal.App.4th 1554, 1565. The concept of
“inadequacy of the legal remedy” or “inadequacy of damages” dates from the time
of the early courts of chancery, the idea being that an injunction is an
unusual or extraordinary equitable remedy which will not be granted if the
remedy at law (usually damages) will adequately compensate the injured
plaintiff. Department of Fish &
Game v. Anderson-Cottonwood Irrigation Dist., (1992) 8 Cal.App.4th 1554,
1565.
In
determining whether to issue a preliminary injunction, the trial court
considers two factors: (1) the reasonable probability that the plaintiff will
prevail on the merits at trial (CCP §526(a)(1)), and (2) a balancing of the
“irreparable harm” that the plaintiff is likely to sustain if the injunction is
denied as compared to the harm that the defendant is likely to suffer if the
court grants a preliminary injunction.
CCP §526(a)(2); 14859 Moorpark Homeowner’s Assn. v. VRT Corp.,
(1998) 63 Cal.App.4th 1396. 1402; Pillsbury, Madison & Sutro v.
Schectman, (1997) 55 Cal.App.4th 1279, 1283; Davenport v. Blue Cross of
California, (1997) 52 Cal.App.4th 435, 446; Abrams v. St. Johns Hospital,
(1994) 25 Cal.App.4th 628, 636. Thus, a
preliminary injunction may not issue without some showing of potential
entitlement to such relief. Doe v.
Wilson, (1997) 57 Cal.App.4th 296, 304.
The decision to grant a preliminary injunction generally lies within the
sound discretion of the trial court and will not be disturbed on appeal absent
an abuse of discretion. Thornton v.
Carlson, (1992) 4 Cal.App.4th 1249, 1255.
A
preliminary injunction ordinarily cannot take effect unless and until the
plaintiff provides an undertaking for damages which the enjoined defendant may
sustain by reason of the injunction if the court finally decides that the
plaintiff was not entitled to the injunction.
See CCP §529(a); City of South San Francisco v. Cypress Lawn
Cemetery Assn., (1992) 11 Cal.App.4th 916, 920.
C.
Statement of Facts[3]
1.
Christina’s Evidence
Christina is a
real estate investment company that specializes in multi-family properties in
ultra-prime locations. Whitehead Decl.,
¶2. The tenants are a mix of families
and individuals, all of whom signs leases with Christina. Whitehead Decl., ¶3. Christina’s business has a reputation for
premium locations, professionalism, and safety.
Whitehead Decl., ¶3.
On
July 20, 2017, Short applied to be Christina’s Vice President of Property
Operations, or Property Management Director.
Whitehead Decl., ¶¶ 5, 7, Ex. A.
This employee must interface with tenants, handle their personal
information, work with them to address issues in their units, and visit tenants
at home to ensure problems are addressed.
Whitehead Decl., ¶6. Short
claimed that he had 16 years of similar experience in two past jobs, that he
never was discharged or asked to resign from employment, that he had not been disciplined
in the last 12 months with his former employer, and that his colleagues rated him
a nine out of ten. Whitehead Decl., ¶7,
Ex. A. The signature page of the
application required Short to swear to the truth of all claims therein. Whitehead Decl., ¶7, Ex. A.
The
application did not ask if Short had a criminal record or was a sex offender;
it only asked if he had any driving tickets to which he replied in the negative. Whitehead Decl., ¶7, Ex. A. Christina had CreditLink Corporation
(“CreditLink”) run a background check on Short that did not reveal any criminal
history or other discrepancies in his application. Whitehead Decl., ¶8. Christina therefore hired Short. Whitehead Decl., ¶8.
In
April 2020, Short signed the Confidentiality Agreement, whereby he agreed to
safeguard Christina’s confidential information.
Whitehead Decl., ¶9, Ex. B. The Confidentiality
Agreement broadly defined “confidential information” as “all information
belonging to the Company that is not a Protected Disclosure and has actual or
potential economic value to the Company from not being generally known to the
public or to other persons who can obtain economic value from its disclosure or
use.” Whitehead Decl., ¶9, Ex. B. Short also agreed to not disclose any confidential
or proprietary information obtained from third parties for which the Company has
a duty to maintain confidentiality and use only for limited purposes. Whitehead Decl., ¶9, Ex. B. Upon termination of employment, Short agreed
to deliver to Christina, and not retain, all confidential information and other
materials belonging to Christina, including any information or property Short
developed as part of his employment.
Whitehead Decl., ¶9, Ex. B.
On January 5, 2022, a
female tenant at one of Christina’s buildings alleged that Short sexually harassed,
stalked, and intimidated her and other female tenants. Whitehead Decl., ¶¶ 10-11, Ex. C. She alleged that Short told her he knows she
doesn’t close the shower door when she showers.
Ex. C. She had seen him look in
her window, which made his comments more disturbing. Ex. C.
He has also flailed his arms and claimed she was harassing him when she
did nothing to provoke this response. Ex.
C. Short employed overt flirtatious body
language and tone while visiting the woman’s unit. Ex. C.
Short has entered her unit under the pretense of needing to do
maintenance but without either doing maintenance or brining someone else to do
it. Ex. C. Short also entered her unit with his key and without
24-hour notice or prior discussion about his visit. Ex. C.
Other
tenants have warned new tenants about him.
Ex. C. His behavior and history
also made the cameras around the premises unnerving, as another tenant has
claimed Short watches the footage for amusement. Ex. C.
Short had told the complainant that he was following management’s
instructions. She requested that
Christina replace Short with a property manager who is not a threat to
tenants. Ex. C.
This
was the first indication Christina had that Short had lied about his
background. Whitehead Decl., ¶12. On February 3, 2022, it launched an
investigation and placed Short on probation.
Whitehead Decl., ¶12; Rosenkranz Decl., ¶5. From then on, Christina monitored Short’s
email address to ensure someone else handled his responsibilities. Rosenkranz Decl., ¶4.
The
investigation revealed that Short has a plethora of criminal convictions,
misdemeanors, and traffic violations across California, Alabama, Utah, and
Oregon. Whitehead Decl., ¶¶ 13-27, Exs.
D-Q. This included a nolo contendre
conviction in Los Angeles County on February 2, 2005 for the rape of and lewd
acts with a 14-year-old girl, for which Short served three years in prison. Whitehead Decl., ¶14, Ex. D. It also included a guilty plea for forgery,
identity theft, theft by false pretenses, and burglary on July 5, 2005. Whitehead Decl., ¶15, Ex. E. Christina also discovered that Short is a
registered sex offender. Whitehead
Decl., ¶28, Ex. R.
Christina
determined that Short lied on his job application about prior employment. Whitehead Decl., ¶29. Neither of the listed employers existed at
the addresses provided. Whitehead Decl.,
¶29. Christina therefore terminated his
employment on February 15, 2022.
Whitehead Decl., ¶30, Ex. S.
Pursuant to the Confidentiality Agreement, Christina
informed Short that another employee would arrange for pickup of all company
property and that he needed to disconnect his devices from any applications
that may enable access to company data or property. Whitehead Decl., ¶¶ 30-31, Ex. S.
When
Chief Financial Officer Vincent
Chan (“Chan”) called Short to arrange for pickup of the property, Short
demanded that Christina pay him $300,000 and threatened to “go nuclear” if it
did not. Chan Decl., ¶¶ 4-5. He threatened to take down a tenant who had
reported him for misconduct and ruin Christina’s reputation with renters and
business partners. Chan Decl., ¶5. Short also threatened to contact the attorney
general. Chan Decl., ¶5. Christina refused to give in to
extortion. Chan Decl., ¶6.
For
weeks after termination, Short evaded calls and emails and did not return
company property; he occasionally scheduled a drop-off time but then
cancelled. Whitehead Decl., ¶32. When he did return the company laptop in
March 2022 after the sheriff contacted him, Christina discovered that Short had
deleted all files and documents on it without explanation. Whitehead Decl., ¶33. To date, he has not returned the data that
was on the laptop. Whitehead Decl.,
¶33.
Short also waited weeks before he
returned a set of keys to Christina properties.
Whitehead Decl., ¶34. He then
claimed that he left some of his other keys at Christina’s Playa del Rey
building. Whitehead Decl., ¶34. When Christina checked the building, it found
no keys there. Whitehead Decl., ¶34. Christina now believes that Short lied about
leaving the keys there. Whitehead Decl.,
¶34.
On March 2, 2022,
Christina filed a report
with the Los Angeles County Sheriff’s Department; the investigation is
ongoing. Chan Decl., ¶6; Whitehead
Decl., ¶35. Since then, Short contacted
Christina’s tenants on multiple occasions claiming it only fired him because he
had reported shady dealings at some properties.
Whitehead Decl., ¶36, Ex. T.
On March 3, 2022, in
response to Christina’s requests that he not contact Christina tenants, Short
sent an email (“March 3 email”) to its counsel Ira Steinberg, Esq.
(“Steinberg”) contending that development owner Larry Taylor (“Taylor”) is an
idiot posing as a genius just because he made money in real estate and ridiculing
another employee and Steinberg for their loyalty to Taylor. Whitehead Decl., ¶39, Ex. W.
The March 3 email
said that Short would not stop telling “the truth” about Christina to anyone,
including residents. Whitehead Decl., ¶39,
Ex. W. He would contact residents whenever
he wanted, whether because he found it necessary and advantageous, wanted to
say hello, help them out, or just offer advice, and Christina could not do
anything to stop him. Ex. W. Short asserted that the $300,000 he asked for
in response to Taylor’s offer of severance pay was fair. Ex. W.
Short was willing to honor any document that he signed without
fraudulent inducement, whereas everyone at Christina was a liar and cheater. Ex. W.
His behavior was not going to change, so if Christina was going to do
something about it, it should just do it.
Ex. W.
On August 15, 2022, Short mass-mailed a
letter (“August 15 Letter”) to tenants at each of Christina’s
approximately 80 apartment units. Whitehead Decl., ¶37, Ex. U. Entitled “MASTER KEYS TO YOUR APARTMENT
STOLEN,” the letter claimed that master keys at Christina’s
Playa del Rey building were
either lost or stolen. Ex. U. Short stated that Christina has not changed
the locks or even informed tenants of the breach. Ex. U.
Short then explained the ramifications, saying that a criminal could use
the master keys to get into apartments whenever they wanted, especially since
the keys are labeled with the address of the apartments. Ex. U.
Changing the locks would be a smart and cheap option for Christina, yet
it had not done so despite how much money Short claimed the company has wasted. Ex. U.
This was a critical breach in the lease.
Ex. U. Short alleged that
Christina’s owner Taylor had changed the lock for his corporate office. Ex. U.
On
August 22, 2022, Short
sent another letter (“August
22 Letter”) with the same title and with additional
accusations. Whitehead Decl., ¶38, Ex. V. The letter pointed out that Christina’s responses
to his last letter never said that there were no master keys, that Short never
had any, or that said keys were not lost; it just said they were not
stolen. Ex. V. Whatever the explanation was, even if Short
in fact had the keys, the only point that mattered was that the keys are
unaccounted for. Ex. V.
The
August 22 Letter then goes on to disparage Christina, contending that it does a
lot of work not approved by the city and hides things from building inspectors
when working on city-approved projects. Ex.
V. Short also alleged that Christina had
committed mortgage and loan fraud, and that it used dirty tricks to scare and
evict low-paying or COVID-19 tenants protected by rent control. Ex. V.
Short accused David Whitehead (“Whitehead”) of making disgusting
comments about female rental applicants and making their lives hell through
petty arguments. Ex. V. He also accused Taylor of making multiple
racist comments. Ex. V.
Since
Short’s letters, at least 14 tenants have requested that Christina change its
locks; Christina complied despite knowing that Short’s claims were false. Frid Sept. 13 Decl., ¶7, Ex. 7 (Whitehead
Supp. Decl., ¶4).
Christina
has obtained declarations from seven tenants – Connor Wilks, Lauren Ryker, Mark
Leventen, Paul Weinberger, Mikol Biljanic, Barbara Tfank, and Peter Markham -- expressing
their concerns with Short, either in general or as to the letters he sent. Frid Decl., ¶¶ 2-4, Exs. 2-7; Frid Sept. 13
Decl., ¶4, Ex. 9. Other have refused to sign
declarations for fear of Short retaliating.
Frid Sept. 13 Decl., ¶6, Ex. 7 (Whitehead Supp. Decl., ¶3).
2. Short’s Evidence
After the August 15
Letter, Christina mass-mailed a response that denied the keys were stolen and
alleged that Short’s letter was baseless retaliation for his termination. Opp. Ex. 3.
The response warned tenants not to trust Short of allow him onto the
property. Opp. Ex. 3. When Short sent the August 22 Letter in
response, he attached emails from March 2022 between himself and Christina in
which the company told Short that the keys were not where he said they
were. Opp. Ex. 5.
On February 17, 2022,
Christina asked Short via email if he would be interested in some form of
termination pay. In response, he later
asked for $300,000 over the phone. Opp.
Ex. 7. The email also reaffirmed
Christina’s position that it fired him because he lied on his application about
his criminal background, not because a tenant complained about him. Opp. Ex. 7.
On November 25, 2018,
another employee DJ Chomyk (“Chomyk”) accused Taylor of only hiring him to find
a way to (1) circumvent rent control laws by re-instituting a two-tier lease structure,
and (2) get employees to rent vacant apartments under construction. Opp. Ex. 9.
When Taylor realized that Chomyk would not do so, he minimized Chomyk’s
role and created a hostile work environment.
Opp. Ex. 9.
Rent Stabilization
Information Coordinator Anwar Zraikat (“Zraikat”) has sent two letters to
Christina asking to meet to resolve tenant issues, including the improper
service of 3-day notices, confusion with leases, and alleged threats from the
landlords. Opp. Exs. 10-11.
3. Reply Evidence
Short sent one of the
August Letters to a tenant that he called a “Certified Unhinged Unemployed
Nasty Tenant.” Rosenkranz Reply Decl.,
¶2, Ex. 1. The beginning letters were
all capitalized as if to spell “CUUNT.”
Rosenkranz Reply Decl., ¶2, Ex. 1.
Short objected to the
TRO because he had friends at Christina’s property and needed to visit them
when a serious matter like the missing keys arose. Frid Reply Decl., ¶2, Ex. 1. An injunction that prevented him from warning
tenants that they should switch their locks would infringe on his First
Amendment freedom of speech. Ex. 1. The court replied that while Short’s desire
to protect his friends could be grounds to exempt them from any injunction, but
he no longer had a business reason for contacting anyone else after being
fired. Ex. 1. If the keys are missing, Christina is
responsible; Short is not. Ex. 1. The court stated that the restraint did not
limit what Short said – just to whom he could say it. Ex. 1.
At the same time, the court ordered Christina to obtain declarations
from tenants that Short’s presence and communication made them
uncomfortable. Ex. 1.
D.
Analysis
Plaintiff
Christina seeks a preliminary injunction against Defendant Short to enjoin him
from (1) contacting Christina, its employees, or its tenants by any means; and
(2) coming within 100 feet of any property owned or managed by Christina and
affiliates.
1.
Probability of Success
Christina
alleges it can prevail on its claims for tortious interference with contractual
relations, defamation, civil harassment, breach of contract, and
conversion. App. at 15-18. The court has already held that it cannot
grant a preliminary injunction based on defamation. Frid
Reply Decl., ¶2, Ex. 1. In any case, the court need only
address the claim for tortious interference with contractual relations.
To prevail on a cause of
action for intentional interference with contractual relations, a plaintiff
must plead and prove (1) the existence of a valid contract between the
plaintiff and a third party; (2) the defendant’s knowledge of that contract;
(3) the defendant’s intentional acts designed to induce a breach or disruption
of the contractual relationship; (4) actual breach or disruption of the
contractual relationship; and (5) resulting damage. Reeves v. Hanlon (2004), 33 Cal. 4th
1140, 1148.
The contracts at issue
are the leases Christina has with each tenant. Whitehead Decl., ¶3. Short knew about them because he was
Christina’s Vice President of Property Operations, in which role he handled
tenants’ personal information. Whitehead
Decl., ¶6. He sent two August Letters to
tenants alleging that the master keys were stolen and could be used to break
into any apartment. Whitehead Decl., ¶¶
37-38, Exs. U-V. The letters categorized
this as a breach by Christina. Whitehead
Decl., ¶37, Ex. U. As a result of
Short’s letters and at its own expense, Christina has had to change the locks
for 14 tenants. Frid Sept. 13
Decl., ¶6, Ex. 7 (Whitehead Supp. Decl., ¶4). To the extent that Christina’s business
stems from its reputation for safety, Short has compromised that image for
current and prospective tenants. Whitehead Decl., ¶3.
At issue is whether those
letters disrupt Christina’s contractual relationships with its tenants. App. at 16.
Short contends that the letters merely informed tenants of legitimate
concerns to their safety. Opp. at 5.
The parties do not
dispute that Christina does not have the master keys Short claims to have lost,
but their explanations differ. Short
alleges that he left the keys at a building owned by Christina. Opp. Ex. 5; Whitehead Decl., ¶34. Because Christina failed to retrieve the keys
on time, a malicious third party might have them, so he decided to warn
tenants. Whitehead Decl., ¶¶ 37-38, Exs.
U-V. Christina responds that Short never
left the keys at that location but kept them to give credence to his letters. Whitehead Decl., ¶34. Short’s letters claim that a criminal can
enter at any time, which Christina views as a threat that the person entering
would be Short. Whitehead Decl., ¶¶
37-38, Exs. U-V. In opposition, Short
asks why he would wait five months between telling Christina that the keys were
lost and sending those letters. Opp. Ex.
5. Since neither party provides evidence
where the keys are, neither party has proved that Short has the keys or plans
to use them himself to fulfill his threat.
Although it has not
shown that Short has the keys, Christina has shown that Short’s communications
with its tenants are disruptive. Short’s
opposition suggests that the keys are missing, he has a legitimate cause for
concern for the tenants, and Christina had not taken any action to protect its
tenants. Whitehead Decl., ¶¶ 37-38, Exs.
U-V; Opp. Ex. 5. Although he claimed in
his March 3 email that Christina cannot stop him from seeing the tenants, he
never intended this to be a threat to hurt them. Opp. at 7; Whitehead Decl., ¶39, Ex. W.
Short’s position is
untenable. As the court informed him, he
no longer works for Christina and has no legitimate reason to contact
Christina’s tenants as tenants. Any
further contact with tenants by him is deliberately disruptive. The court asked Short to provide evidence of
any tenants who want to remain in contact with him in pursuit of a friendship
or personal relationship and he has provided none. Frid Reply Decl., ¶2, Ex. 1. Christina
also shows that Short addressed one such letter to “Certified Unhinged
Unemployed Nasty Tenant,” which may be inferred to use an offensive acronym. Rosenkranz Reply Decl., ¶2, Ex. 1. This fact supports a conclusion that Short motives
are vindictive, and this conclusion is supported by fact that the August 22 Letter
contains allegations unrelated to the master keys that are prejudicial to Christina’s
business relationship with its tenants. Whitehead
Decl., ¶38, Ex. V.
Christina has
demonstrated a probability of success on the claim for tortious interference
with contractual relations.
2.
Balance of Hardships
In
determining whether to issue a preliminary injunction, the second factor which
a trial court examines is the interim harm that plaintiff is likely to sustain
if the injunction is denied as compared to the harm that the defendant is
likely to suffer if the court grants a preliminary injunction. Donahue Schriber Realty Group, Inc. v. Nu
Creation Outreach, (2014) 232 Cal.App.4th 1171, 1177. This factor involves consideration of the
inadequacy of other remedies, the degree of irreparable harm, and the necessity
of preserving the status quo. Id.
The
opposition fails to show that Short would any harm suffer if a preliminary
injunction is granted. He claims that a
restraint would allow Christina to keep him from disclosing harmful information
to tenants. Opp. at 5. That harm is not a harm to Short. In any event, the court has determined that tenant
welfare is no longer his concern. As
stated, the court gave Short the
opportunity to identify tenants with whom he has a personal relationship and he
failed to do so. Frid Reply Decl., ¶2,
Ex. 1; Reply at 4.
Christina has shown harm
to its business reputation if injunctive relief is not granted. Christina has provided declarations from
seven tenants who do not want any further contact from Short. Short points out that the declarations are identical
in wording and tone, thereby showing that Christina’s counsel drafted
them. Opp. at 4. True, but the tenants signed the declarations
as their own words. Short also claims that
two of the tenants (Connor Wilks and Paul Weinberger) are Christina’s employees,
but he provides no evidence of that fact.
Opp. at 4. Short further asserts
that the other five tenants live in the property where the complaining tenant
told everyone else that he is a sex offender.
Opp. at 4. Again, there is no
evidence. But even if this is true, it
does not affect the fact that numerous tenants do not want to hear from
him. Christina also presents evidence
that other tenants do not want any further contact from Short but are too
afraid of retaliation to sign a declaration.
Frid Sept. 13
Decl., ¶6, Ex. 7 (Whitehead Supp. Decl., ¶3).
Christina also has shown
monetary harm. The company has had to
change the locks for 14 tenants because of Short’s claim. Frid Sept. 13 Decl., ¶6, Ex. 7 (Whitehead
Supp. Decl., ¶4). While Short frames
this as an admission that the master keys are lost, the company’s decision to
put those tenants at ease is understandable.
Opp. at 5. Without an injunction,
Short can continue to spread his rumor and increase the cost to Christina from lock
changes. The balance of harms favors
granting the preliminary injunction.
E.
Conclusion
The
application for a preliminary injunction is granted. The court must
require a bond supporting the preliminary injunction.¿ The purpose of a bond is
to cover the defendant’s damages from an improvidently issued injunction.¿ CCP
§529(a).¿ In setting the bond, the court must assume that the preliminary
injunction was wrongly issued.¿ Abba Rubber Co. v. Seaquist, (1991) 235
Cal.App.3d 1, 15.¿ As noted above, Short has not alleged harm to himself beyond
his capacity as a former Christina employee.
The bond will be set at $1000.
[1] The
courts look to the substance of an injunction to determine whether it is
prohibitory or mandatory. Agricultural
Labor Relations Bd. v. Superior Court, (1983) 149 Cal.App.3d 709, 713. A mandatory injunction — one that mandates a
party to affirmatively act, carries a heavy burden: “[t]he granting of a
mandatory injunction pending trial is not permitted except in extreme cases
where the right thereto is clearly established.” Teachers Ins. & Annuity Assoc. v.
Furlotti, (1999) 70 Cal.App.4th 187, 1493.