Bruce Anderson v. Joan Loftin
Published: Mar. 1, 2005 | Result Date: Sep. 14, 2004 | Filing Date: Jan. 1, 1900 |Case number: 435446 – $0
Facts
According to the plaintiff: In 1972, the plaintiff, then aged 33, began living with the defendant, then aged 22. The parties were both employed full time for most of the years up to 1996, when they separated. During their time together, they placed most of their assets in joint tenancy accounts, including savings, checking, money market and mutual funds. Though the accounts were in joint tenancies, the practice was that each account would be treated like "his" or "hers," with only one party making deposits and withdrawals, and only one party accounting for any income earned on these accounts. The parties agreed that they had an oral agreement that one could withdraw money from the other's joint accounts in the event of an emergency. In 1991, the defendant withdrew approximately $22,000 from one of her accounts to loan to plaintiff so that he could purchase an automobile. After separation, one by one, the parties cooperated in having one name removed from these joint accounts, with the exception of two mutual fund accounts and a USBank account. The plaintiff considered the USBank account as his and continued to add to the account after the parties separated. The defendant made no deposits to this account ever. In April 2003, the defendant withdrew all $50,918 from the USBank account. She had been diagnosed with a recurrence of breast cancer earlier in the year, and she wanted the money to cover possible future medical expenses, though she did have medical insurance at the time. The plaintiff sued for breach of contract, conversion, fraud, constructive trust and injunctive relief to have defendant's name removed from his remaining Fidelity Investment account of $501,800. The defendant had refused plaintiff's pre-litigation demands in this regard. The defendant cross-complained for breach of the agreement to repay the money lent to buy plaintiff's automobile. According to the defendant: The parties were both employed full time as a carpenter and a maintenance worker until their separation in 1996 for a total of 24 years. They placed all of their assets in joint tenancy form, including savings, checking, money markets and mutual funds. After separation, they removed the other party's name from what they considered as their own accounts except for a Fidelity Fund of $501,800 and a bank account of $50,918. The defendant depleted the bank account of $50,918 after having been diagnosed for a second time with breast cancer and the possibility of a 20 percent co-payment for treatment if she lost her health care coverage and employment. The defendant contended that the parties had orally agreed for withdrawal of joint tenancy funds in an emergency.
Specials in Evidence
According to the plaintiff: In 1972, the plaintiff, then aged 33, began living with the defendant, then aged 22. The parties were both employed full time for most of the years up to 1996, when they separated. During their time together, they placed most of their assets in joint tenancy accounts, including savings, checking, money market and mutual funds. Though the accounts were in joint tenancies, the practice was that each account would be treated like "his" or "hers," with only one party making deposits and withdrawals, and only one party accounting for any income earned on these accounts. The parties agreed that they had an oral agreement that one could withdraw money from the other's joint accounts in the event of an emergency. In 1991, the defendant withdrew approximately $22,000 from one of her accounts to loan to plaintiff so that he could purchase an automobile. After separation, one by one, the parties cooperated in having one name removed from these joint accounts, with the exception of two mutual fund accounts and a USBank account. The plaintiff considered the USBank as his and continued to add to the account after the parties separated. The defendant made no deposits to this account ever. In April 2003, the defendant withdrew all $50,918 from the USBank account. She had been diagnosed with a recurrence of breast cancer earlier in the year, and she wanted the money to cover possible future medical expenses, though she did have medical insurance at the time. The plaintiff sued for breach of contract, conversion, fraud, constructive trust and injunctive relief to have defendant's name removed from his remaining Fidelity Investment account of $501,800. The defendant had refused plaintiff's pre-litigation demands in this regard. The defendant cross-complained for breach of the agreement to repay the money lent to buy plaintiff's automobile.
Result
The court determined that there was no Marvin v. Marvin relationship or agreement. The court did find that there was an oral agreement that joint tenancy funds could be used for emergency purposes, but ruled that the plaintiff did not sustain his burden of proof that the emergencies were limited as he claimed. The diagnosis of breast cancer was deemed an emergency which would allow the defendant the right to withdraw the USBank funds. With regard to the request for injunctive relief, the court declined to exercise equitable jurisdiction, noting that plaintiff had available to him self-help measures to remove the defendant's name from his mutual fund account. The court ruled in favor of the plaintiff/cross-defendant on the cross-complaint, based on the defense of the statute of limitations. The Statement of Decision and Judgment ruled against the plaintiff on all five causes of action and designated the defendant as the prevailing party for the purposes of court costs. The court relied on a recent key decision of Lee v. Yang (2003) 111 CA 4th, 48 for guidance as to withdrawals from joint tenancy checking or savings accounts by cohabiting partners.
For reprint rights or to order a copy of your photo:
Email
jeremy@reprintpros.com
for prices.
Direct dial: 949-702-5390