Schiavon
Schiavon v. Arnaudo Brothers
Opinion
Opinion
Bamattre-Manoukian, J.
Defendant Arnaudo Brothers, a partnership, was a bona fide purchaser of real property. Plaintiffs Louis Schiavon et al. held a security interest in the property, evidenced by a deed of trust. Prior to the purchase by defendant, however, the trustee under the deed of trust reconveyed plaintiffs’ security interest upon a forged request for reconveyance. Plaintiffs claim that the reconveyance was void as it was based on a forged instrument, and therefore that defendant took the property subject to their deed of trust. Judgment was entered in favor of defendant after the trial court sustained a demurrer without leave to amend. Plaintiffs repeat their argument in this court.
Under California law, a bona fide purchaser for value takes title free and clear of an improperly reconveyed deed of trust, so long as the reconveyance is voidable and not void. (Firato v. Tuttle (1957) 48 Cal.2d 136 [ 308 P.2d 333 ]; Erickson v. Bohne (1955) 130 Cal.App.2d 553, 555-6 [ 279 P.2d 619 ].) That is the case here. We therefore affirm judgment for defendant.
Facts
Since this is an appeal from a judgment following the sustaining of a demurrer without leave to amend, we take the facts as…