KTDA III Associates v. Just Mortgage CA2/2

Filed 5/9/13 KTDA III Associates v. Just Mortgage CA2/2 NOT TO BE PUBLISHED IN THE OFFICIAL REPORTS California Rules of Court, rule 8.1115(a), prohibits courts and parties from citing or relying on opinions not certified for publication or ordered published, except as specified by rule 8.1115(b). This opinion has not been certified for publication or ordered published for purposes of rule 8.1115.

IN THE COURT OF APPEAL OF THE STATE OF CALIFORNIA

SECOND APPELLATE DISTRICT

DIVISION TWO

KTDA III ASSOCIATES, B240153

Plaintiff and Appellant, (Los Angeles County Super. Ct. No. BC410821) v.

JUST MORTGAGE, INC.,

Defendant and Respondent.

APPEAL from a judgment of the Superior Court of Los Angeles County. Amy D. Hogue, Judge. Affirmed.

Arthur D. Hodge for Plaintiff and Appellant.

Cho, Sheasby, Chung & Ignacio and Eric N. Chung for Defendant and Respondent.

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Appellant KTDA III Associates, LLC (KTDA) contends the trial court erred in denying its application for leave to file a third amended complaint. It further contends the trial court abused its discretion in awarding expert fees as costs pursuant to Code of Civil Procedure section 998 since no expert witnesses testified at trial. For the reasons discussed, we disagree. Accordingly, we affirm the judgment.

FACTUAL AND PROCEDURAL HISTORY KTDA owned properties located at 10514 Kalmia Street (the 10514 property) and 10516 Kalmia Street (the 10516 property) in Los Angeles. The 10514 property was a rental property occupied by a tenant. In January 2007, KTDA sold the 10516 property to Gladys Flores (Flores) who is not a party to this appeal. To obtain funds to purchase the 10516 property, Flores executed a promissory note payable to respondent Just Mortgage, Inc. (JMI). JMI recorded a first and second deed of trust against the property to secure the loan. However, the deed to the 10516 property listed the legal description of the 10514 property. Flores took possession of the 10516 property. In August 2007, KTDA discovered that although it had sold the 10516 property to Flores, the recorded deed had the legal description of the 10514 property. To correct the error, on August 30, 2007, KTDA recorded a corrective deed whereby the legal description of the 10516 property was substituted in place of the legal description of the 10514 property. Flores defaulted on the loan. On April 15, 2008, JMI initiated foreclosure proceedings and recorded a notice of default listing the 10514 property and not the 10516 property. On July 25, 2008, KTDA demanded that notice of default be corrected to reflect the 10516 property. On February 23, 2009, the foreclosure sale took place and J.P. Morgan purchased the property. On March 10, 2009, J.P. Morgan evicted the tenant occupying the 10514 property. A complaint was filed on March 30, 2009. The operative second amended complaint was filed by KTDA on October 13, 2009. The second amended complaint