Judge: John J. Kralik, Case: 24NNCV01081, Date: 2024-07-05 Tentative Ruling
Case Number: 24NNCV01081 Hearing Date: July 5, 2024 Dept: NCB
North
Central District
|
330
north brand, inc., Plaintiff, v. johnhart corp., Defendant. |
Case No.: 24NNCV01081 Hearing Date: July 5, 2024 [TENTATIVE]
order RE: motion for summary judgment or, in the
alternative, summary adjudication of issues |
BACKGROUND
A.
Allegations
Plaintiff 330 North Brand, Inc. (“Plaintiff”)
filed an unlawful detainer complaint against Defendant Johnhart Corp. (“Defendant”). The property at issue is located at 330 North
Brand Blvd., Suite 130, Glendale, CA 91203.
Plaintiff is the owner of the premises.
On December 19, 2011, Plaintiff as
landlord and Defendant as tenant entered into a written Office Lease (as
amended by a First Amendment to Office Lease dated January
3, 2017, a Second Amendment to Office Lease dated May 31, 2017, a Third
Amendment to Office Lease dated February 15, 2018, and a Fourth Amendment to
Office Lease dated August 18, 2020; hereinafter, “Lease”) whereby Defendant
leased the premises. Plaintiff alleges
that additional space within the building containing the premises was also
leased by Defendant under the Lease, but possession of such space has been
resolved and is not at issue in this matter. Plaintiff alleges that the Lease
expired on December 31, 2020 and that all times thereafter, Defendant remained
in possession pursuant to Article 15 of the Lease (the holdover provision),
except that the parties agreed that Defendant would not pay 200% of the rent as
(a) the time period was in the midst of Covid and (b) the parties were
attempting to negotiate an extension of the Lease.
Plaintiff
alleges that the Lease expired on December 31, 2020 and the Lease became a
month-to-month holdover tenancy.
Plaintiff alleges that on October 8, 2023, Plaintiff served a 30-Day
Notice To Terminate Tenancy (the “Notice”) on Defendant in accordance with the
provisions of the Lease by forwarding same according to the notice provisions
of the Lease to Defendant at the Premises via FedEx. FedEx confirmed delivery
as of October 11, 2023. Plaintiff alleges that the Notice required Defendant to
quit the premises within 30 days after service of the Notice and also set forth
Plaintiff's election to declare a forfeiture of the Lease. Plaintiff alleges that Defendant is still in
possession of the premises despite more than 30 days passing since service of
the Notice (the expiration of the 30-day period was November 10, 2023).
On May 23, 2024, the default of all
unnamed occupants in possession was entered.
B.
Motion on Calendar
On May 23, 2024, Plaintiff
filed a motion for summary judgment in its favor against Defendant in this case
for possession of the premises and for damages in the amount of $61,090.70 (190
days at $321.53 per day for each day that Defendant remains at the premises
from January 12, 2024 until judgment).
Alternatively, Plaintiff seeks summary adjudication on the following
issue:
·
Issue 1: The undisputed facts demonstrate
that Plaintiff is entitled to an order summarily adjudicating the cause of
action for unlawful detainer and granting possession of the premises because Defendant’s
occupancy of the premises has been month-to-month for years. Plaintiff has served a 30-day notice to
terminate the lease and Defendant failed to vacate the property.
The Court is not in receipt of an
opposition brief.
DISCUSSION
CCP § 1161 defines
“unlawful detainer” in relevant part as follows:
1. When the tenant continues in possession, in
person or by subtenant, of the property, or any part thereof, after the expiration of the term for which it is
let to the tenant; provided the expiration is of a nondefault nature
however brought about without the permission of the
landlord, or the successor in estate of the
landlord, if applicable; including the case where the person to be removed
became the occupant of the premises as a servant, employee, agent, or licensee
and the relation of master and servant, or employer and employee, or principal
and agent, or licensor and licensee, has been lawfully terminated or the time
fixed for occupancy by the agreement between the parties has expired; but
nothing in this subdivision shall be construed as preventing the removal of the
occupant in any other lawful manner; but in case of a tenancy at will, it shall first be terminated by notice, as
prescribed in the Civil Code.
(CCP
§ 1161(1).)
Plaintiff moves
for summary judgment in its favor against Defendant.
In support of
its motion, Plaintiff provides the declaration of Spencer Wilson, the Vice
President of Transwestern, the agent and property manager for Plaintiff. (Wilson Decl., ¶1.) Mr. Wilson states that on December 19, 2011,
Plaintiff and Defendant entered into a written Office Lease for the premises,
which was subsequently amended 4 times (“Lease”). (Id., ¶3, Ex. A [Lease].) He states that all relevant times, Plaintiff
has owned the premises. (Id.,
¶4.) He states that Defendant has been
month-to-month since the Lease term expired on December 31, 2020 as shown in
paragraph 4 of the last amendment to the Lease.
(Id., ¶5.) He states that
because the parties were unable to agree upon the terms of a new lease or for
an extension of the Lease, Plaintiff sought to take back the space after entering
into a new lease for the premises with a new tenant and that new lease provides
for a rental amount of $9,796.00 per month. (Id., ¶6.) Mr. Wilson states that after letters were
sent back and forth with Defendant concerning the need for the return of the premises,
it became clear that Defendant was not going to vacate as requested. (Id., ¶7.) He states that on December 8, 2023, he served
a 30-Day Notice to Terminate Tenancy (“Notice”) on Defendant in accordance with
the provisions of the Lease by forwarding the same according to the notice
provision of the Lease to Defendant at the premises via FedEx (delivery
confirmed as of December 11, 2023). (Id.) He states that the Notice required Defendant
to quit the premises within 30 days after
service of the Notice. (Id., Ex.
B [Notice with FedEx confirmation].) Mr.
Wilson states that the action was not filed sooner than April 2024 was because
Plaintiff was trying to find a different space for the new tenant so that
Defendant could possibly remain in the premises if the parties could reach an
agreement on the terms; however, that did not happen. (Id., ¶8.) He states that while the parties have been
negotiating an extension, they never reached an agreement on terms, there is no
writing signed by the parties extending the Lease and no new lease between the
parties for the premises. (Id.,
¶10.) He states that “Defendant has
simply claimed to have some sort of agreement without any approval from Plaintiff.” (Id.)
Mr. Wilson
states that Defendant is still in possession of the premises despite more than
30 days passing since service of the Notice and Plaintiff has not accepted any
rent for the premises since the Notice was served. (Id., ¶9.) Mr. Wilson states that the rent called for in the
new lease ($9,796.00 per month) is the reasonable rental value of the premises,
as that is the most recent arms-length transaction for this exact space and
based upon that monthly rent, the daily value of the premises is $322.06
(calculated by taking the monthly rent of $9,796.00 and multiplying it by 12
months and then dividing that by 365 days).
(Id.) Mr. Wilson states,
however, because Plaintiff asked for $321.53 in the complaint, Plaintiff will
use that lower amount. (Id.)
Here, Plaintiff has established its burden
establishing that Defendant has continued in possession of the premises after
the Lease expired. Paragraph 4 of the
Fourth Amendment of the Lease states that the term respecting Suite 130 shall
expire on December 31, 2020. After the
tenancy became a holdover month-to-month tenancy, Plaintiff served the Notice
on December 8, 2023 (confirmed delivery by FedEx on December 11, 2023), such
that Defendant’s tenancy expired on November 10, 2023. However, as stated by Mr. Wilson in his
declaration, Defendant did not vacate the premises by that date and the parties
were unable to agree upon a Lease extension or a new lease. Thus, Plaintiff has established the elements
of an unlawful detainer claim for the real property at issue.
As such, the burden shifts to Defendant to
raise a triable issue of material fact. Pursuant
to CRC Rule 3.1351, Defendant may present an oral opposition at the time of the
hearing or file a written opposition one day before the hearing. At this time, the Court is not in receipt of
a written opposition brief, such that Defendant has not raised triable issues
of material fact. Accordingly, the
motion for summary judgment is granted. If
a written opposition is filed the day before the hearing or oral opposition
arguments are made at the time the hearing, the Court will consider Defendant’s
arguments at that time.
CONCLUSION
AND ORDER
Plaintiff
330 North Brand, Inc.’s motion for summary judgment is granted. Plaintiff is ordered to lodge with the Court
and serve on Defendant a proposed judgment within ten (10) days and to provide
notice of this order. Based upon this
ruling, the Final Status Conference and Trial are advanced to this date and vacated.
Plaintiff
shall provide notice of this order.
DATED: July 5, 2024 ___________________________
John
Kralik
Judge
of the Superior Court