Judge: Lee W. Tsao, Case: 23NWCV02364, Date: 2024-08-15 Tentative Ruling

Case Number: 23NWCV02364    Hearing Date: August 15, 2024    Dept: C

HARRIS v. MOUTON

CASE NO.:  23NWCV02364

HEARING:  08/15/24

 

#4

 

     I.        Plaintiff/Cross-Defendant SHAMIKA HARRIS’ unopposed Demurrer to the Cross-Complaint is SUSTAINED without leave to amend.

 

    II.        Plaintiff/Cross-Defendant SHAMIKA HARRIS’ unopposed Motion to Compel Defendant RABI JAMIL MOUTON to Attend, Testify, and Produce Documents at Deposition is GRANTED. Sanctions are imposed in the amount of $900.00 no later than 30 days from the date of the Court’s issuance of this Order.

 

 

Moving Party to give Notice.

 

No Oppositions filed as of August 13, 2024.  

 

 

Demurrer

 

This action for breach of contract was filed by Plaintiff/Cross-Defendant SHAMIKA HARRIS (“Cross-Defendant”) on December 12, 2023.

 

On February 28, 2024, Defendant/Cross-Complainant RABI JAMIL MOUTON (“Cross-Complainant”) filed the Subject Cross-Complaint (“XC”).

 

The XC alleges, in pertinent part: “Cross-Complainant Mouton and Cross Defendant Harris were the co-owners of real property located at 6202 Ekleson Street, Lakewood, California 90713 (the ‘Subject Property’)…. In or about early August 2021, the Parties located the Subject Property for sale. Once the parties agreed that the Subject Property was suitable for purchase as an investment device, the Parties, utilizing standardized C.A.R. forms and a real estate agent, made an offer to purchase the Subject Property and an agreed-upon purchase price was ultimately achieved for the Parties to jointly purchase the Subject Property from the Seller.” (XC ¶1.) “Cross-Complainant never entered into a written agreement with Cross-Defendant concerning the disposition of the Subject Property and to the contrary, expected to hold the Subject Property for a period of time to realize a significant return on the investment that could only occur with the passage of time given market conditions and the insistence of Ms. Harris…. Mr. Mouton vigorously denies that any such document proffered by Ms. Harris and purporting to function as an ostensible ‘agreement’ to memorialize an exit strategy of the Parties’ real estate investment embodied by the Subject Property actually exists and therefore, is not capable of being authenticated, is inadmissible, legally insufficient, unconscionable and relevant only as corroboration of Cross-Defendant Harris’ lack of credibility and probative of her misrepresentations.” (XC ¶2.)

 

The XC asserts the following causes of action:

(1) Breach of Contract;

(2) Intentional Misrepresentation;

(3) Negligent Misrepresentation;

(4) Declaratory Relief;

(5) Breach of Fiduciary Duty;

(6) Unjust Enrichment

 

Cross-Defendant specially and generally demurs to the first, second, third, and fifth causes of action of the Cross-Complaint. 

 

First Cause of Action – Breach of Contract

 

Whether it is written, oral, or implied, the elements of a cause of action for breach of contract are as follows: (1) the existence of a contract; (2) Plaintiff’s performance or excused non-performance; (3) Defendants’ breach; and (4) resulting damage to Plaintiff. (Reichert v. General Ins. Co. (1968) 68 Cal.2d 822, 830.) “If an action is based on a breach of written contract, the terms must be set forth verbatim in the body of the complaint or a copy of the contract must be attached and incorporated by reference.” (Id. at 459.) Alternatively, if the claim is based on a written contract, then “a plaintiff may plead the legal effect of the contract rather than its precise language.” (Construction Protective Services, Inc. v. TIG Specialty Ins. Co., (2002) 29 Cal.4th 189, 198-199.) Terms of an oral contract may be pleaded generally as to its effect, because it is rarely possible to allege the exact words. (Scolinos v. Kolts (1995) 37 Cal.App.4th 635, 640.)

 

Plaintiff’s allegations are insufficient to plead the existence of an oral contract—either the terms or the legal effect of the contract must be alleged. Here, Plaintiff fails to allege the legal effect and terms of the alleged contract between the parties, including obligations the alleged contract imposed upon the parties. The terms and purported breach are unclear.

 

Cross-Defendant further argues that this claim, if based on an oral agreement, would be barred by the statute of frauds. “An agreement for the sale of real property or an interest in real property comes within the statute of frauds. (Civ. Code §1624, subd. (a)(3).)” (Secrest v. Security National Morg. Loan Trust 2002-2 (2008) 167 Cal.App.4th 544, 552.) However, equitable estoppel may preclude the use of a statute of frauds defense. (Byrne v. Laura (1997) 52 Cal.App.4th 1054, 1068.) Equitable estoppel applies “where an unconscionable injury would result from denying enforcement after one party has been induced to make a serious change of position in reliance on the contract or where unjust enrichment would result of the party who has received the benefits of the other’s performance where allowed to invoke the statute.” (Chavez v. Indymac Mortgage Svcs. (2013) 219 Cal.App.4th 1052, 1058.) Here, this cause of action concerns interests in real property. The facts, as alleged, are insufficient to show that equitable estoppel prohibits Cross-Defendant from asserting the statute of frauds as a defense.

 

The unopposed demurrer to the first cause of action is SUSTAINED without leave to amend.

 

Second and Third Causes of Action – Intentional Misrepresentation and Negligent Misrepresentation

 

The elements of a cause of action for intentional misrepresentation are 1) misrepresentation (false representation, concealment, or nondisclosure); 2) knowledge of falsity (scienter); 3) intent to defraud or induce reliance; 4) justifiable reliance; and 5) damages. (See Cal. Civ. Code §1709.)

 

“The elements of negligent misrepresentation are (1) the misrepresentation of a past or existing material fact, (2) without reasonable ground for believing it to be true, (3) with intent to induce another’s reliance on the fact misrepresented, (4) justifiable reliance on the misrepresentation, and (5) resulting damage…. [T]he allegations of reliance, must be specifically pleaded.” (National Union Fire Ins. Cor. Of Pittsburgh, PA v. Cambridge Integrated Services Group, Inc. (2009) 171 Cal.App.4th 35, 50.)

 

Whether intentional or negligent in nature, fraud actions are subject to strict requirements of particularity in pleading. (Committee on Children’s Television, Inc. v. General Foods Corp. (1983) 35 Cal.3d 197, 216.) “Fraud must be pleaded with specificity… [t]o withstand a demurrer, the facts constituting every element of the fraud must be alleged with particularity, and the claim cannot be salvaged by references to the general policy favoring the liberal construction of pleadings. (Goldrich v. Natural Y Surgical Specialties, Inc. (1994) 25 Cal.App.4th 772, 782.) “This particularity requirement necessitates pleading facts which ‘show how, when, where, to whom, and by what means the representations were tendered.’” (Stansfield v. Starkey (1990) 220 Cal.App.3d 59, 73.) “The requirement of specificity in a fraud action against a corporation requires the plaintiff to allege the names of the persons who made the allegedly fraudulent representations, their authority to speak, to whom they spoke, what they said or wrote, and when it was said or written.” (Tarmann v. State Farm Mut. Auto Ins. Co. (1991) 2 Cal.App.4th 153, 157.)

 

As argued in the Demurrer, Cross-Complainant fails to allege how, when, or where any alleged misrepresentations were made. (See XC ¶22.) This cause of action must be pled with specificity. General allegations do not suffice.

 

The unopposed Demurrer to the second and third causes of action is SUSTAINED without leave to amend.

 

Fifth Cause of Action – Breach of Fiduciary Duty

 

“The elements of a claim for breach of fiduciary duty are (1) the existence of a fiduciary relationship, (2) its breach , and (3) damage proximately caused by that breach. [Citations Omitted.]” (Mendoza v. Continental Sales Co. (2006) 140 Cal.App.4th 1395, 1405.)

 

Cross-Complainant does not allege the existence of any legally recognizable fiduciary relationship between the parties. The unopposed demurrer to this claim is SUSTAINED without leave to amend.

 

Motion to Compel Deposition

 

No trial date has been set. Defendant RABI JAMIL MOUTON is ORDERED to appear for a deposition by no later than 30 calendar days from the date of the issuance of this Order. The date may be extended by agreement of the parties.

 

A party may obtain discovery by taking oral depositions. (CCP §2025.010.) CCP §2025.450, which governs motions to compel deposition, provides that “[i]f, after service of a deposition notice, a party to the action…without having served a valid objection under §2025.410, fails to appear for examination…the party giving the notice may move for an order compelling the deponent’s attendance and testimony.” (CCP §2025.450(a).)

 

This Motion is unopposed.

 

The Court finds that Plaintiff adequately complied with the meet and confer requirement.

 

The motion is GRANTED. Plaintiff is entitled to take Defendant’s deposition.

 

If [the] motion is granted, the court shall impose a monetary sanction…in favor of the party who noticed the deposition and against the deponent or the party with whom the deponent is affiliated, unless the court finds that the one subject to the sanction acted with substantial justification or that other circumstances make the imposition of the sanction unjust.” (CCP §2025.450(g)(2).)

 

Reasonable sanctions in favor of Plaintiff are granted as requested as follows: Defendant and Defendant’s counsel are ORDERED to pay Plaintiff and Plaintiff’s counsel reasonable sanctions in the amount of $900.00 no later than 30 days from the date of the Court’s issuance of this Order. This date may be extended by agreement of the parties.