Covarrubias

FACTS

Plaintiffs and respondents Mark Covarrubias and Sandra Patricia Cecil allege they

contracted for defendant and appellant Wanhoo, LLC (Wanhoo) to build them a new

home on a vacant lot in San Jacinto, California. The agreement was that Wanhoo would

build the home to certain specifications and by a certain date, and the property would be

conveyed upon completion. Instead, nearly two years after the specified closing date,

Wanhoo “unilaterally terminated” the agreement because plaintiffs “‘failed to deposit into

escrow written verification of lender’s unconditional loan commitment,’” which plaintiffs

dispute. Plaintiffs allege Wanhoo had no intent to perform, but instead intended to

defraud them of their initial deposit.

The complaint is framed as four causes of action: (1) breach of contract;

(2) fraud/deceit; (3) violation of Business and Professions Code section 17200; and (4)

injunctive relief under Business and Professions Code section 17200. The prayer states

plaintiffs seek compensatory, consequential, and special damages for loss of income, but

without stating any amount; punitive damages of $1 million; pre-judgment interest;

attorney fees under Business…