Judge: Michael Shultz, Case: 23CMCV00160, Date: 2023-05-02 Tentative Ruling

Case Number: 23CMCV00160    Hearing Date: May 2, 2023    Dept: A

23CMCV00160 Eliseo Villa Mendoza v. Octaviana Sanchez, et al.

Tuesday, May 2, 2023, at 8:30 a.m.

 

[TENTATIVE] ORDER DENYING PLAINTIFF’S MOTION FOR A PRELIMINARY INJUNCTION

 

I.        BACKGROUND

              The complaint alleges that Plaintiff and his wife (Angelina Villa, now deceased (hereafter “Angelina”) purportedly signed grant deeds purporting to transfer title to separate parcels of commercial and residential real property to Defendants (his children) through a series of grant deeds. The property has since been placed into a living trust bearing Plaintiff’s and Angelina’s name, although Plaintiff contends he did not create it and has no knowledge of it. Plaintiff alleges he is not aware if the grant deeds that he and Angelina signed were either forged or obtained by fraud. Plaintiff alleges claims to quiet title, cancel instruments, and for financial elder abuse.

 

II.      ARGUMENTS

              Plaintiff requests an order enjoining Defendants from collecting rent from Plaintiff’s real property consisting of three residential units and one commercial real property. Plaintiff alleges Defendants took control of their father’s property and have now begun collecting rents on which Plaintiff depends for his livelihood. 

              Defendants contend that Plaintiff knowingly transferred the real property to Defendants in order to qualify for Medicaid at a time when Angelina was undergoing cancer treatment. Plaintiff instructed Defendants to meet with the notary, Maria Louisa Marin-Field, a Spanish speaking, family friend to complete the transactions. Since then, Plaintiff suffered a stroke which caused behavioral changes that concerned Defendants. Defendants tried to present their plan to administer the property and pay the rental profits to Plaintiff, however, Plaintiff ceased communicating with Defendants and filed six restraining orders against them.

              In reply, Plaintiff contends the opposition does not specifically identify the real property at issue. The deed transferring the commercial real property (2635 E. 125th St) was notarized by Ms. Marin-Field. Defendants do not make any argument as to the residential real property. Defendants speculate that Plaintiff is collecting rents from other real property owned by Plaintiff.

 

III.    LEGAL STANDARDS

              The purpose of a preliminary injunction is to preserve the status quo pending a decision on the merits. (MaJor v. Miraverde Homeowners Assn. (1992) 7 Cal.App.4th 618, 623.) A cause of action must exist before injunctive relief may be granted. Id. If a complaint fails to state a cause of action, an order granting a preliminary injunction must be reversed. (Id.)  

              In determining whether or not to grant a preliminary injunction, the court looks to two factors, including “(1) the likelihood that the plaintiff will prevail on the merits, and (2) the relative balance of harms that is likely to result from the granting or denial of interim injunctive relief.” (White v. Davis (2003) 30 Cal.4th 528, 554.) The factors are interrelated; “the greater the … showing on one, the less must be shown on the other to support an injunction.” consider
(Dodge, Warren & Peters Ins. Services, Inc. v. Riley (2003) 105 Cal.App.4th 1414, 1420.)

              As the moving party, Plaintiff must demonstrate at least a reasonable probability of success on the merits. (IT Corp. v. County of Imperial (1983) 35 Cal.3d 63, 72.] The second factor to be established is the occurrence of irreparable harm before a final judgment could be entered. (Savage v. Trammell Crow Co. (1990) 223 Cal.App.3d 1562, 1571.) Irreparable harm may exist if the plaintiff can show that “pecuniary compensation would not afford adequate relief.” (Code Civ. Proc., § 526.)

 

IV.    DISCUSSION

              A claim for quiet title is an equitable remedy akin to an action for declaratory relief in that the plaintiff seeks judgment declaring his rights in relation to a piece of property. (Caira v. Offner (2005) 126 Cal.App.4th 12, 25.)

              A written instrument may be cancelled if there is a reasonable apprehension that if left outstanding, it may cause serious injury to a person against whom it is void or voidable.  (Civ. Code, § 3412.) Cancellation is essentially a request for rescission that places the parties where they were before the instrument was made. (Deutsche Bank National Trust Co. v. Pyle (2017) 13 Cal.App.5th 513, 523 [220 Cal.Rptr.3d 691].)

              Plaintiff seeks both remedies based on the claim that he was removed from title by way of “fraud and misrepresentation of various family members.” (Complaint, ¶ 45.). The claim appears speculative in that Plaintiff alleges that he is unaware if the original transfers were forged or if he and his wife signed the transfers based on misrepresentations since he contends he never intended to transfer ownership. (Complaint, ¶ 15-16.)

               Specifically, the residential real property with three units was transferred from Plaintiff and Angelina to Angelina’s revocable trust. Upon her death, Defendant Eliseo Jr. as trustee, transferred the property to himself and a sibling Reyna, and then transferred the property to the Angelina and Eliseo Family Trust in September 2022. (Complaint ¶ 27-29).

              With respect to the commercial real property, Plaintiff alleges he purportedly signed the transfer deed in June of 2012 gifting the property to Defendants, Maria Angelina and Octaviana. Complaint ¶ 15. That property was ultimately transferred to other siblings, and then to the Angelina and Eliseo Family Trust in September 2022. (Complaint ¶ 18-19.)

              Plaintiff has not met his burden of showing that he is likely to prevail on the merits, or that the relative balance of harm weighs in favor of granting relief. A claim for fraud or misrepresentation requires that Plaintiff show: (1) a misrepresentation, (2) made with knowledge of its falsity, (3) that Defendants intended to defraud Plaintiff, i.e., induce Plaintiff’s reliance, (4) and that Plaintiff justifiably relied on the misrepresentations resulting in damage. (Nagy v. Nagy (1989) 210 Cal.App.3d 1262, 1268).

              Plaintiff’s declaration reiterates the allegations of the complaint without identifying who made representations, what the misrepresentations consisted of, or any Defendant’s intent to defraud. Plaintiff does not appear certain what actually occurred and suggests alternative hypothetical situations of what might have occurred. (Plaintiff’s decl., ¶ 17, 22.) Whatever occurred, the children, as individuals, do not currently hold title to the property as both parcels of property are currently held in the name of Plaintiff’s trust. Plaintiff disavows knowledge of the trust although he also avers that with respect to the residential real property, he agreed to establish a family trust and hired AMJ Probate and Fiduciary Services for that purpose. (Plaintiff’s decl., ¶ 21).

              There is no evidence to support Plaintiff’s claim that irreparable harm will occur if he is denied the rental earnings from the property. Plaintiff asserts that he is unable to pay his monthly expenses, that he is “barely getting by,” and that his credit is being adversely affected. There is no documentary evidence to support it. (Plaintiff’s decl., ¶ 24.)

V.      CONCLUSION

Based on the foregoing, Plaintiff’s motion for a preliminary injunction is DENIED.