Barton v. El Encanto Apartments, Inc.

PRESTON, J.

In this cause two of the defendants answered and were given judgment, from which plaintiff appealed. Later the appeal as to respondent, Mrs. Garfield R. Jones, was dismissed and defendant Porter is now the only respondent.

The complaint alleged that defendant corporation proposed to construct an apartment house in Hollywood at a

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cost of $4,600,000, later raised to $6,000,000, and on October 14, 1924, entered into an agreement to employ plaintiff, as its architect and engineer, to perform various services, for which he was to receive as compensation three per cent “of the actual final total cost of said apartment building”, portions of one per cent thereof being payable from time to time, the remainder of said one per cent to be paid upon completion of the working plans and specifications for the building and the other two per cent to be applied upon the subscription by plaintiff to $162,700 worth of capital stock of the corporation, carrying with it ninety-nine year leases upon eight specified apartments, which stock had a par value of $100 per share and, it is alleged, would be worth that sum, had the building plans been carried out.

The pleading further alleges that on November 1, 1924, plaintiff was ready to perform under said contract and did for nine months thereafter perform all things required of him but that defendant corporation kept none of its promises, aside from giving preliminary instructions and depositing $1450 to plaintiff’s credit; that plaintiff expended $713.60 in performing said contract; that his total, expenses in performing it to completion would have been $29,800; that there was due, owing and unpaid to plaintiff from said defendant $150,200. The complaint further alleges, upon information and belief, that all subscribed and outstanding stock of the corporation, totaling 8,251 shares, is owned by the various stockholder defendants,' in the respective proportions alleged, respondent being the holder of 166 shares thereof. The prayer is for judgment against the corporation in the sum of $150,200 as well as for judgment against each of the other defendants for “the portion of said ,$150,200 which the number of shares of said corporation set opposite the names of said defendants, respectively, in said schedule, bears to the total number of shares . . . subscribed, issued or outstanding” and for costs or other or further relief.