Sui v. Price
(2011) 196 Cal.App.4th 933
[Opinion certified for partial publication. fn. * ]
COUNSEL
Yan Sui, in pro. per., for Plaintiff and Appellant.
Bonne, Bridges, Mueller, O'Keefe & Nichols, Margaret M. Holm, Robert
A. Zermeno, Jr., and Anne K. Bagley for Defendants and Respondents. [196 Cal.App.4th 935]
OPINION
IKOLA, J.-
Plaintiff Yan Sui appeals from the judgment dismissing with prejudice
his action against defendants Stephen D. Price and 2176 Pacific
Homeowners Association after the court sustained without leave to amend
defendants' demurrer to plaintiff's complaint. The court ruled the
complaint did not state facts sufficient to constitute a cause of action
and could not be fixed. We affirm.
FACTS
Accepting "as true all material allegations of the complaint" (Bernson v. Browning-Ferris Industries (1994) 7 Cal.4th 926, 929), we draw the following facts from plaintiff's complaint.
The case involves plaintiff's 1987 Mitsubishi van, which was registered
in the name of his wife, Pei-yu Yang. From 1995 to 2003, plaintiff used
the van to drive his family, including three young children, to various
destinations, including to school, local parks, and vacation spots.
Plaintiff also used the van to make deliveries for a printing brokerage
business.
In 2003, the van's engine broke down. From 2003 to February 2007,
plaintiff kept the inoperable, locked van parked in his exclusive
parking space [196 Cal.App.4th 936] between units C and D.
Plaintiff's family, including his children, developed a "strong bond"
with the van. It was part of their "family, just like some people with
their pets." The van served as a memory of the good times the family had
experienced.
From 2005 to 2006, Michelle J. Matteau parked her boat in her parking
space between units B and C. Her tenants at that time parked their car
behind the boat in violation of the homeowners' association's
CC&R's. Matteau's tenants' car blocked plaintiff's car from going in
and out of the garage. Plaintiff complained to the then president of
the association, Sean Wiggins, and asked Wiggins to have Matteau remove
the boat. Matteau removed her boat.
In late 2006, Price, the current president of the homeowners'
association commenced the process to amend the association's parking
rule, assisted by the law firm of Harkins. Price e-mailed the amended
parking rule to all the homeowners. The amendment primarily revised two
provisions. It made parking in front of a garage permissible, and
prohibited disabled, inoperable vehicles. Plaintiff believed Price was
exercising personal retaliation against him, but Price denied the
allegation.
In about December 2006, Price informed the homeowners that the amended
parking rule had been approved by majority vote and was "immediately
effective." Plaintiff voiced his opposition and asked to see the voting
record. Price claimed plaintiff was ineligible to view the record
because he was not a board member.
Defendants' claim that the amended parking rule was "immediately
effective" was false, because the amended parking rule had not yet been
recorded with the county, as required under the Davis-Stirling Act
section 1355, subdivision (b), cited in Villa De Las Palmas Homeowners Assn. (2004) 33 Cal.4th 73, 82-83.
In January 2007, Price walked uninvited onto plaintiff's exclusive
parking space and placed a warning sticker on the back windshield of the
van. Plaintiff walked out and warned Price not to touch plaintiff's
property. Price replied, "I am not touching it," and left plaintiff's
parking space. The warning on the sticker stated in relevant part, "Your
vehicle was in violation of the parking rule and you shall tow it away
in X days. If XXX fail to do so, XXX will tow it away." [196 Cal.App.4th 937]
In February 2007, plaintiff was sick and taking a nap when one of his
children told him a tow truck was there to tow the van. Plaintiff went
to the parking space and saw a tow truck with the logo "South Coast
Towing" parked by his van. The operator said he was towing the van away
at the association's request. Plaintiff noticed Price and Matteau
watching from a distance, smiling, along with other neighbors.
Plaintiff's children waved protest signs, which said "get a life," at
Price and Matteau. His wife asked them to use their energy to make some
babies. A police officer came to the scene apparently at Price and
Matteau's behest. Plaintiff controlled his anger rather than escalate
the confrontation. Price and Matteau used their position with the
homeowners' association to humiliate plaintiff in front of his children
for his inability to protect his personal property.
About two months later, plaintiff's wife received a bill from a
collection agency for about $1,700.00. This charge impacted the credit
standing of plaintiff and his wife. Their application to refinance the
house was denied and the wife's application for a credit card was
denied. Their credit report showed the wife had an "open collection
account" from May of 2007 of about $2,000.
Recently, plaintiff insisted on seeing the voting records on the parking
rule amendment. Price claimed the parking rule was not amended and that
no amendment was necessary in order to tow away plaintiff's van.
Defendants intentionally engaged in wrongful and despicable conduct with
conscious disregard of plaintiff's rights and with the intention to
injure him. Defendants caused injury to plaintiff and his family.
Defendants' willful misconduct was intended to retaliate against and to
humiliate plaintiff. Defendants' wrongful acts constitute oppression,
fraud, or malice under Civil Code section 1572, entitling plaintiff and
his family to punitive damages.
Based on these asserted facts, plaintiff filed his complaint on March
15, 2010 against Price, the homeowners' association, and Doe defendants,
alleging causes of action for fraud, breach of contract, conspiracy to
defraud, trespassing, intentional infliction of emotional distress,
violation of due process, conversion, libel of character, and
declaratory relief. Plaintiff sought compensatory, incidental, and
consequential damages of $2,000 and punitive damages of $58,000. [196 Cal.App.4th 938]
Defendants demurred on April 28, 2010 on grounds the causes of action
were factually insufficient, vague, and as to some of plaintiff's
claims, barred by the statute of limitations.
The court issued a written order sustaining the demurrer without leave
to amend on grounds the complaint "has not stated facts sufficient to
constitute a cause of action, and there is no way to fix the
[c]omplaint." Judgment was entered against plaintiff and his action was
dismissed.
DISCUSSIONStandard of Review
"'Because a demurrer both tests the legal sufficiency of the complaint
and involves the trial court's discretion, an appellate court employs
two separate standards of review on appeal. [Citation.] . . . Appellate
courts first review the complaint de novo to determine whether or not
the . . . complaint alleges facts sufficient to state a cause of action
under any legal theory, [citation], or in other words, to determine
whether or not the trial court erroneously sustained the demurrer as a
matter of law.'" (Filet Menu, Inc. v. Cheng (1999) 71 Cal.App.4th 1276, 1279-1280 (Filet).)
"'A demurrer tests the pleading alone, and not the evidence or the
facts alleged.' [Citation.] For that reason, we 'assume the truth of the
complaint's properly pleaded or implied factual allegations.'
[Citation.] We also 'consider judicially noticed matters.'" (E-Fab, Inc. v. Accountants, Inc. Services (2007) 153 Cal.App.4th 1308, 1315 (E-Fab).) "Further, we give the complaint a reasonable interpretation, reading it as a whole and its parts in their context." (Blank v. Kirwan (1985) 39 Cal.3d 311, 318 (Blank).) We do not assume the truth of pleaded "'contentions, deductions or conclusions of fact or law.'" (Ibid.)
"Because [defendant] was denied leave to amend we construe [the
complaint's] allegations liberally 'with a view to substantial justice
between the parties.'" (CAMSI IV v. Hunter Technology Corp. (1991) 230 Cal.App.3d 1525,
1530).) "[I]t is error for a trial court to sustain a demurrer when the
plaintiff has stated a cause of action under any possible legal
theory." (Aubry v. Tri-City Hospital Dist. (1992) 2 Cal.4th 962,
967.) The plaintiff "bears the burden of demonstrating that the trial
court erroneously sustained the demurrer as a matter of law" and "must
show the complaint alleges facts sufficient to establish every element
of [the] cause of action." (Rakestraw v. California Physicians' Service (2000) 81 Cal.App.4th 39, 43.)
"'Second, if a trial court sustains a demurrer without leave to amend,
appellate courts determine whether or not the plaintiff could amend the [196 Cal.App.4th 939] complaint to state a cause of action.'" (Filet, supra,
71 Cal.App.4th at p. 1280.) "[W]e decide whether there is a reasonable
possibility that the defect can be cured by amendment: if it can be, the
trial court has abused its discretion and we reverse; if not, there has
been no abuse of discretion and we affirm. [Citations.] The burden of
proving such reasonable possibility is squarely on the plaintiff." (Blank, supra, 39 Cal.3d at p. 318.) fn. *
...............................................................................
Plaintiff Failed to State Facts Constituting a Cause of Action for Fraud fn. *
...............................................................................
Plaintiff Failed to State Facts Constituting a Cause of Action for Breach of Contract
As to the breach of contract cause of action, the complaint alleged that
defendants violated the association's CC&Rs (a contract between him
and the association) fn. 2
by: discriminating against him in violation of article VI, section 3
(Association Rules) of the CC&R's (since he was the only homeowner
with a disabled vehicle at that time); enforcing the CC&R's by
inappropriate means in violation of article VI, section 1 (General
Duties and Powers) of the CC&R's; and permitting parking in front of
garage doors through the purported amendment in violation of article
XI, section 5 of the CC&R's.
[1] First, as to the discrimination claim, plaintiff alleges that
article VI, section 3 of the CC&Rs provides "[t]hat the Association
Rules may not discriminate among Owners, and shall not be inconsistent
with this Declaration, the Articles or Bylaws." Plaintiff alleges he is
the only homeowner with a disabled vehicle, and, because "other owners
did not have a disabled vehicle at that time[ the rule] amendment was
taylor-made [sic] for Plaintiff's van." But the alleged parking
rule does not single out plaintiff. It is equally applicable to all
homeowners. True, an operating rule of a homeowner's association must be
tethered to reasonableness, just like the CC&Rs. (See Civ. Code, §
1357.110, subd. (e) [operating rule must be reasonable]; § 1354
[CC&Rs are enforceable unless unreasonable].) Whether a rule is
reasonable "is to be determined not by reference to facts that
are specific to the objecting homeowner, but by reference to the common
interest development as a whole." (Nahrstedt v. Lakeside Village Condominium Assn. (1994) 8 Cal.4th 361, [196 Cal.App.4th 940]
386 [pet restriction prohibiting cats or dogs but allowing other pets
was reasonable].) Use restrictions in CC&Rs "should be enforced
unless they are wholly arbitrary, violate a fundamental public policy,
or impose a burden on the use of affected land that far outweighs any
benefit." (Id. at p. 382.) We see no reason to apply a different
test for reasonableness of an association's operating rules, especially
since a rule adopted by the association's board may be reversed by
majority vote of the homeowners at a meeting called on petition of only 5
percent of the separate interests in the association. (Civ. Code, §
1357.140.) [2] Simply put, there is nothing unreasonable about
prohibiting the open, long-term parking of disabled vehicles. The
association was perfectly reasonable in prohibiting this unsightly
intrusion upon the aesthetics of their common interest development.
[3] Second, as to the alleged breach of contract by inappropriate
enforcement of the rules, plaintiff alleges that article VI of the
CC&Rs provides in part that the board's duties include the
enforcement of the "Association Rules . . . by appropriate means."Although plaintiff does not explicitly say what inappropriate
means were employed, presumably he means the towing of his disabled
vehicle. One wonders -- how else would the prohibition on parking
disabled vehicles be enforced against a recalcitrant homeowner?Moreover, Vehicle Code section 22658, subdivision (a), permits an
association of a common interest development to remove a vehicle parked
on the property under a variety of circumstances, including the giving
of notice of the parking violation, and the lapse of 96 hours after such
notice. (Id., subd. (a)(2).) Plaintiff does not allege, nor does
he offer to allege, that the provisions of Vehicle Code section 22658
were violated. Thus, it is not inappropriate to enforce a parking rule
in the manner authorized by law.
[4] Finally, plaintiff alleges a breach of article XI, section 5 of the
CC&Rs. Plaintiff failed to allege what article XI, section 5
provides. That alone would be sufficient to sustain the demurrer. It is
impossible to rule on an alleged breach without knowing what promise was
not kept. Plaintiff's complaint does go on to allege that the parking
rules were void because they were not recorded with the county. There is
no requirement that operating rules of an association be recorded. (See
Civ. Code, § 1357.110 [listing requirements for the validity and
enforceability of operating rules].) Plaintiff does not allege anywhere
in his complaint that the CC&Rs were amended, which, of course,
would require recordation. fn. 3 (See Civ. Code, § 1355, subd. (a).) [196 Cal.App.4th 941]
The demurrer to the breach of contract cause of action was properly sustained without leave to amend.
There is no Cause of Action for Conspiracy to Defraud fn. *
...............................................................................
Plaintiff's Trespass Cause of Action is Time Barred fn. *
...............................................................................
Plaintiff's Intentional Infliction of Emotional Distress Cause of Action is Time Barred fn. *
...............................................................................
Plaintiff Failed to State Facts Constituting a Cause of Action for Violation of Due Process fn. *
...............................................................................
Plaintiff's Conversion Cause of Action is Time Barred fn. *
...............................................................................
Plaintiff's Cause of Action for Libel of Character is Time Barred fn. *
...............................................................................
Plaintiff Failed to State Facts Constituting a Cause of Action for Declaratory Relief fn. *
................................................................................
[196 Cal.App.4th 942]
DISPOSITION
The judgment is affirmed. Defendants shall recover their costs on appeal.
Bedsworth, Acting P. J., and Fybel, J., concurred.
FN *.
This opinion is certified for publication with the exception of the
following: The third paragraph, fourth paragraph, fifth paragraph, and
footnote 1, in the Discussion section under the subheading titled Standard of Review; the entire sections under the following subheadings titled; Plaintiff Failed to State Facts Constituting a Cause of Action for Fraud; There is no Cause of Action for Conspiracy to Defraud; Plaintiff's Trespass Cause of Action is Time Barred; Plaintiff's Intentional Infliction of Emotional Distress Cause of Action is Time Barred; Plaintiff Failed to State Facts Constituting a Cause of Action for Violation of Due Process; Plaintiff's Conversion Cause of Action is Time Barred; Plaintiff's Cause of Action for Libel of Character is Time Barred; Plaintiff Failed to State Facts Constituting a Cause of Action for Declaratory Relief.
FN *. See footnote, ante, page 933.
FN *. See footnote, ante, page 933.
FN 2. Plaintiff does not allege Price is a party to the contract.
FN 3.
It does not appear the complaint can be amended on this point.
Plaintiff attached to his opening brief on appeal a copy of Price's
e-mail dated September 8, 2009, which stated: "The CC&R's were not
amended, an amendment is not required in order to adopt rules to address
the parking problem. All the procedures laid out in section 1357.130 of
the Civil Code were adhered to in adopting the rules in regards to
parking. . . . You were notified of the change, given a copy of the new
rules, asked to move the van numerous times and finally, notice was
placed on your van prior to towing. All legal requirements were met
prior to towing your van." Plaintiff does not offer to allege that the
CC&Rs were invalidly amended.
FN *. See footnote, ante, page 933.
FN *. See footnote, ante, page 933.
FN *. See footnote, ante, page 933.
FN *. See footnote, ante, page 933.
FN *. See footnote, ante, page 933.
FN *. See footnote, ante, page 933.
FN *. See footnote, ante, page 933.