La Cumbre Golf & Country Club v. Santa Barbara Hotel Co.

LANGDON, J.

This is an appeal by the plaintiff from a judgment against it in an action to recover seven thousand two hundred dollars, the sum of installment payments alleged to be due under a contract entered into between the parties. In 1920, the contract, which forms the subject of this action, was entered into. It recited that the defendant was engaged in the general hotel business in the county of Santa Barbara, state of California, and desired to furnish to its guests the privileges of golfing and all of the privileges appurtenant to a country club; that the defendant was operating a hotel called The Ambassador in the city of Santa Barbara and had previously entered into a contract with the plaintiff Golf and Country Club for the extension of golfing

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privileges to the guests of the Hotel Company and now desired to further promote the interests of its guests by increasing their means of transportation to and from the grounds of said golf club by purchasing and operating a bus between said hotel and clubhouse, but was unwilling to engage in such undertaking unless the privileges accorded its guests under the previous contract be extended to cover an additional period of time. Following the foregoing recital of conditions and purposes, it was agreed between the parties that for a period ending December 31, 1923, the Golf and Country Club should extend all the privileges of a membership in said club, except the privilege of voting or holding office, to any guest of the Hotel Company in said Ambassador Hotel. The contract continues: “Such privileges shall include the right on the part of said guest or guests of signing the usual cards of said club for green fees, supplies and all other purposes for which such cards of said club may be signed by a member of said club, and shall also include all of the other privileges of a member of said second party. . . . Said cards when so signed shall be a valid charge in favor of second party, against first party which in turn shall look to the guest of first party so signing said card or cards for reimbursement from those to whom it shall have issued cards of request for the privileges of said club.”

The Hotel Company agreed to pay to the Golf and County Club three hundred dollars for each and every month of the term of the contract. It was further provided that in the event that the Golf and Country Club be compelled to discontinue its service to the guests of the first party by reason of lack of water or for any other cause, for a period of six months, the contract should terminate at the option of either party and in the event the discontinuance of service be for a shorter period than six months, the monthly compensation should abate for the period of discontinuance.