Facts

Richard Green purchased two trust deeds for two separate properties, a single-family home in Nevada City and a 13-unit apartment complex in Oxnard. Chris Boulter was the mortgage broker on the deeds. Green loaned money to each of the borrowers in exchange for a deed of trust in the second position. Both borrowers eventually went into default and filed for bankruptcy.

Green sued Boulter, alleging negligence, fraud, negligent misrepresentation, breach of contract, breach of fiduciary duty and rescission. Green claimed that Boulter failed to verify material information about the borrower's ability to repay the loans. As a result, he lost his investment on both properties.

Boulter argued that Green's claims were barred by the applicable statute of limitations.

Damages

Green lost $718,000 in rescission damages and his lost investments.

Result

The Court granted the defendant's motion for non-suit based on the statute of limitations.