Hultin v. Taylor

Opinion

GUSTAFSON, J. Defendant Charlotte C. Taylor appeals from a judgment in favor of Eskil Hultin for $7,000 with interest at 7 percent from September 21, 1964, to the date of judgment.

We devote our attention to whether there is substantial evidence in support of the judgment on the cause of action on which the judgment is based.

Plaintiff and defendant were married June 19, 1964. After their honeymoon, they resided for a short time in a house which defendant had acquired as her separate property before marriage. The property was subject to a deed of trust securing a note.

In August 1964 the parties went to Sweden where plaintiff had an engagement to teach at the University of Stockholm in the fall of 1964. The parties contemplated that when the teaching assignment was completed in December 1964, they would again live in the Pacific Palisades house. They shopped together in Europe for items for the house.

In September 1964 plaintiff discussed with defendant the use to which he should put over $7,000 which he had in a savings bank. Defendant called plaintiff’s attention to the fact that there was a deed of trust on her house in Pacific Palisades securing a note which carried interest at 6.7 percent per year. Defendant suggested to plaintiff that paying the note was one method of using the money. Plaintiff was also considering the purchase of stock. Without the knowledge of defendant, plaintiff withdrew $7,000 from the bank in Sweden on September 21, 1964, and arranged to have it applied to the payment on the note secured by the deed of trust. Plaintiff testified that he took this course of action for two reasons. First, in the light of the difficulty of getting money from Sweden to the United States if he should die, he wanted to make certain that his wife would have the benefit of the money. Second, “I learned that Charlotte had a mortgage on her house and she was paying [interest] on this mortgage. . . . And to me, it was immediately sensible when I had money available . . . that the family should [not] pay higher interest when I got lower [interest] on the money I had in my savings bank. . . . [T]hat was a good investment.” Although defendant had worked prior to her marriage to plaintiff, plaintiff obviously [805]contemplated that either principally or alone he would be bearing the burden of the expenses of the two of them, including the payments of principal and interest on the note if the note were not paid.