Howe

Appellant is the executor for Mrs. Virginia W. Howe, deceased, and seeks reversal of a trial court’s judgment which awarded respondent nursing home (hereinafter Home) an “accommodation fee,” and all other fees, paid to respondent by Mrs. Howe pursuant to a lifetime care contract.

The case went to trial on stipulated facts which can be fairly summarized as follows: On November 30, 1977, Mrs. Howe, then. age 71, signed a printed-form lifetime care contract provided by respondent Home. Pursuant to the terms of the contract, Mrs. Howe paid to respondent a nonrefundable processing fee of $150 and an accommodation fee of $7,400, specifically made refundable upon termination of the agreement by the Home or during a probation period.

The 90-day probationary period was specified in the contract, during which either party could elect to cancel the agreement. The contract further stated that “in the event of such termination” the accommodation fee could be refunded in accordance with the laws of the State of California, with the Home retaining an amount representing the pro rata cost for the period of occupancy. According to a separate provision of the agreement, the Home would…