Facts

Plaintiffs Patrick Fetzer and his daughter, Lauren Fetzer, rented a home from defendant Sadiq Saferzadeh, a local businessman and owner of other real estate properties in Laguna Beach and elsewhere, from June 2006 until August 2008. The plaintiffs filed suit against Saferzadeh.

PLAINTIFF'S CONTENTIONS:
The plaintiffs contended that, during their residence, Lauren Fetzer began to develop severe respiratory conditions including bronchial asthma, chronic allergic sensitivity to dust mites, and sinusitis. The plaintiffs further contended that, shortly after the family moved from the residence, she was diagnosed with pulmonary alveolar proteinosis. Her parents consulted with a myriad of specialists to find the cause and to try and control her disease. The plaintiffs claimed that they and other family members began to notice strong musty odors in the home along with roof and window leaks during the winter of 2006 to 2007.

The plaintiffs contended that defendant had been notified by the previous owner that there was probably mold in the home and that a prior tenant had made such a complaint. Plaintiffs offered evidence that the defendant had been aware of water leaks from the roof, plumbing, windows and other locations in the home for years before leasing the property to the Fetzer family and that he had failed to eliminate the sources of water intrusion or to remediate the mold or other harmful contaminants that resulted from that water damage.

DEFENDANT'S CONTENTIONS:
The defendant denied any knowledge of prior complaints or mold growth within the property before or during the Fetzer's tenancy. Defendant also contended that, just prior to plaintiffs' tenancy, he replaced the roof of the house (which was built in 1927), curing all the problems with leaks. Defendant also contended that plaintiff's major illness, pulmonary alveolar proteinosis (which has no known cause), was unrelated to living in the house.

Settlement Discussions

The plaintiffs made C.C.P. section 998 offers for policy limits of $500,000. The defendant made no offer.

Specials in Evidence

Lauren Fetzer claimed $411,000 in past medical bills. Lauren Fetzer claimed $407,000 in future medical bills.

Damages

Patrick Fetzer sought $52,000 in economic loss plus emotional distress.

Injuries

Lauren Fetzer was hospitalized with aggravation of her asthma and respiratory failure on two separate occasions, once involving a stay of almost three weeks.

Result

In the first phase of the trial, that lasted approximately six weeks and concluded on March 9, 2010, the jury returned a verdict in favor of Patrick Fetzer in the amount of $116,766 in compensatory damages against Saferzadeh. The jury also returned a verdict in favor of Lauren Fetzer in the amount of $1,005,629 in compensatory damages. The jury found that the defendant was not only negligent in his duties as a landlord but that his conduct breached the implied warranty of habitability which runs with every residential lease agreement in California. The second phase of the trial concluded on March 30, 2010, with an award of $10,000 to Patrick Fetzer and $140,000 to Lauren Fetzer in punitive damages against Saferzadeh. The jury found that the defendant engaged in fraud, oppression and/or malice in that he actively concealed pivotal information from plaintiffs and intentionally misrepresented other important facts which directly resulted in the injury and damages sustained by the Fetzer family. The plaintiffs total recovery was $1,272,395. The plaintiffs have filed a cost memorandum, pursuant to the C.C.P. section 998. Saferzadehs' motions for judgment notwithstanding the verdict and for a new trial are set for hearing on June 8, 2010.

Other Information

The defendant's motions for JNOV and new trial are set for hearing on June 6, 2010. FILING DATE: Jan. 27, 2009.

Deliberation

three days

Length

26 days