Judge: Lee W. Tsao, Case: 22NWCV00344, Date: 2023-11-08 Tentative Ruling
Case Number: 22NWCV00344 Hearing Date: January 18, 2024 Dept: C
Naranjo v. Sanchez,
et al.
CASE NO.: 22NWCV00344
HEARING: 1/3/24 @ 10:30 AM
#7
Costs are apportioned as detailed below.
Moving Party to give NOTICE.
Plaintiff Martin Naranjo (Plaintiff) moves for
an order apportioning costs in connection with a partition sale.
This
is a partition action filed by Plaintiff against Defendant Daniel Sanchez (Defendant)
for partition of real property commonly known as 9258 Nichols Street,
Bellflower, CA 90706. The property sold on March 21, 2023 for $832,000.00.
Legal
Standard
Under
CCP § 873.820, the proceeds of sale for any property sold shall be applied in
the following order:
(a) Payment
of the expenses of sale.
(b) Payment
of the other costs of partition in whole or in part or to secure any cost of
partition later allowed.
(c) Payment
of any liens on the property in their order of priority except liens which
under the terms of sale are to remain on the property.
(d) Distribution
of the residue among the parties in proportion to their shares as determined by
the court.
CCP
§ 874.010 provides that the costs of partition include:
(a)
Reasonable attorney’s fees incurred or paid by a party for the common benefit.
(b)
The fee and expenses of the referee.
(c)
The compensation provided by contract for services of a surveyor or other
person employed by the referee in the action.
(d)
The reasonable costs of a title report procured pursuant to Section 872.220
with interest thereon at the legal rate from the time of payment or, if paid
before commencement of the action, from the time of commencement of the action.
(e)
Other disbursements or expenses determined by the court to have been incurred
or paid for the common benefit.
“Except as otherwise provided in this article, the
court shall apportion the costs of partition among the parties in proportion to
their interests or make such other apportionment as may be equitable.” (CCP §
874.040.)
Discussion
Here, Luis Gallegos submitted a declaration in
support of his claim for $16,640.00 as his remaining 2 percent commission for
acting as the receiver. The Court allowed Gallegos to collect 6 percent of the
gross sale for his role as receiver. (Gallegos Decl., Ex. 3, ¶ 7.) Gallegos
received 4 percent of the commission from Keller Williams Pacific
Estates-Cerritos. (Gallegos Decl., ¶ 13.) Thus, Gallegos is entitled to the
remaining 2 percent commission from the net proceeds from the sale. The
property sold for $832,000.00 and $16,640.00 is 2 percent of that sale price.
Thus, Gallegos is entitled to $16,640.00 of the net proceeds.
Plaintiff requests that he receive a portion for
the two deposits he made for the closing costs when purchasing the property in
2017; a $53,375.39 wire transfer payment made in 2019 while refinancing the
property toward the mortgage; $9,924.44 in attorney’s fees; and the $2,000
mortgage payments made from November 2021 to March 2022 after he was locked out
of the property. Plaintiff attaches a copy of the $9,500.00 check dated June
14, 2017 made toward the deposit on the property. (Naranjo Decl., ¶ 10, Ex. 2.)
Plaintiff attaches a bank statement from July 8, 2017 which details a
$27,644.37 transfer for a deposit on the property. (Naranjo Decl., ¶ 11, Ex.
5.) Plaintiff attaches a bank statement from June 6, 2019 which details a
$53,375.29 transfer to First Haven Escrow. (Naranjo Decl., ¶ 12, Ex. 6.) This
Court has previously ordered Plaintiff receive $9,924.44 in attorney’s fees.
Plaintiff is to recover $9,500.00 and $27,644.37 in deposits for purchase of
the property, the $53,375.29 for the payment made toward the mortgage while
refinancing, and the $9,924.44 in attorney’s fees prior to the Court
apportioning the remaining net proceeds. Thus, Plaintiff is entitled to $100,444.20
of the net proceeds.
Plaintiff has not attached any evidence to
support his claim that he is owed one-half of the “roughly $4,000” monthly
mortgage payments from November 2021 to March 2022. Therefore, Plaintiff shall
not receive costs for these payments.
Plaintiff requests that the following costs be
apportioned to Defendant Daniel Sanchez: $19,538.71 in past due interest;
$340.07 for repairs; $16.81 to transfer the utilities, and $160.00 for
gardening charged by Luis Gallegos; and $4,112.23 in unpaid property taxes. The
$19,538.71 in interest on the balance of the mortgage is apportioned to Daniel
Sanchez only as well as the $453.25 credit adjustment to the interest. The
costs of repairs by Gallegos are apportioned to Daniel Sanchez only, however,
the fees for transferring the utilities and gardening to maintain the property
prior to its sale are apportioned to both parties equally. The $4,112.23 in
unpaid taxes are apportioned to Daniel Sanchez only as well as the $2,284.57
credit adjustment to the taxes. Thus, $21,253.19 of the costs of the partition
are apportioned to Daniel Sanchez only.
The net proceeds from the sale of the property
were $164,552.32. The Receiver Luis Gallegos is entitled to $16,640.00 of the
net proceeds, leaving a balance of $147,912.32. Plaintiff is entitled to reimbursement
of $21,253.19 for the costs of the partition attributable to Daniel Sanchez
only, leaving a balance of $126,659.13. Plaintiff is entitled to reimbursement
of $100,444.20 for the amounts he contributed to the property, leaving a
balance of $26,214.93. The remaining balance is to be divided between the joint
tenants equally. Thus, Plaintiff and Daniel Sanchez receive $13,107.46 from the
remaining net proceeds.