Memorial Hills Ass'n v. Sequoia Investment Corp.

Plaintiff appeals from a judg ment in its action to set aside a deed to the State of California in 1953 of certain property sold for unpaid taxes assessed in 1947, and to set aside the resulting sale of the property to defendant by the state in 1955. Plaintiff’s only charge of illegality in the deed and the sale is the allegation that the property was and is being held and maintained for cemetery purposes and therefore is exempt from taxation by virtue of the provisions of section 1(b) of article XIII of the California Constitution.

Plaintiff, a nonprofit corporation, was organized in 1932 under the name of Rainbow Division Properties Association. In 1935 its name was changed to Memorial Hills Association l?y charter amendment. Its purposes, as expressed in its charter, comply with the provisions of section 8252, Health and Safety Code, setting forth the requirements for the transaction of cemetery business.

In 1932 plaintiff acquired certain property located in an unincorporated part of Los Angeles County, of which a parcel of approximately five acres is the subject property. As consideration the seller Maddox received 37 memberships in the association which he then transferred…