Murray v. Lure

BARNARD, P. J. This is an action for specific performance. The plaintiff was engaged in the business of selling house trailers, in which she was assisted by her husband. On January 17, 1955, the defendants bought a trailer from her. This trailer had been priced for sale at $2,995, and the defendants offered to buy the trailer by deeding a vacant lot in “Rancho Mirage” to the plaintiff as a down payment, and by paying a balance of $1,600 in monthly installments. On that day the parties signed a conditional sales contract in the usual form, and the defendants also, in writing, authorized the procuring of insurance on the trailer. This contract fully described the trailer and recited the cash price as $2,395, sales tax $71.85, D.M.V. fees $24, making a total cash price [177]of $2,490.85. It also listed the down payment as $890.85, and the unpaid balance as $1,600, with insurance $181.50, mating a total unpaid balance of $1,781.50. The time price differential was then stated to be $535.10, and the contract balance $2,316.60. It then provided that the balance should be paid in 36 equal monthly installments beginning on March 1, 1955. On the same day, January 17, an escrow was started at a bank and the defendants signed escrow instructions in which they agreed to put into escrow any papers necessary to vest title to the described lot in the plaintiff within thirty days. The defendants were given a copy of the contract and they took and retained possession of the trailer. They continued to pay the installments on the contract, which the plaintiff had assigned to a bank, but notified the escrow holder not to deliver the deed and refused to convey the real property to the plaintiff. There was also other evidence that the trailer was worth $2,995 at the time of the sale, that the lot was then worth $1,500, and that the value of lots in that area had increased at the time of the trial.

The complaint in this action alleged, among other things, the written agreement to sell and buy this trailer for the total of $2,490.85; that the defendants agreed to transfer this lot to the plaintiff in part payment of said purchase price; the opening of the escrow for that purpose; that the value of the lot was $890.85; that the contract of sale was fair and reasonable to defendants; that the plaintiff has fully performed; and that the defendants have refused to permit the closing of the escrow so that the deed covering this lot might be recorded. The answer of the defendants admitted that they had agreed to purchase this trailer from the plaintiff on January 17, and denied most of the other allegations of the complaint. As affirmative defenses they alleged that this lot is now and at the time of the sale was reasonably worth $2,000, and it would be unjust and inequitable to compel them to convey it to the plaintiff for a consideration of $890.85; that at the time of entering into the contract the plaintiff had falsely represented to the defendants that the trailer was worth $2,995 when in fact its value was not in excess of $1,800; and that the defendants did not realize that plaintiff had inserted the figure $2,395 in the contract as the purchase price, and did not become aware of such fact until they were served with the complaint herein. The court found in all respects in favor of the plaintiff, finding that the material allega