Evans
Evans v. California Trailer Court, Inc.
Opinion
Opinion
Thaxter, J.
We decide here that the antideflciency statutes do not bar an action under the following circumstances:
Facts and Procedural History
Plaintiffs William and Peggy Evans (plaintiffs or Evans) sold their trailer park business and property to defendant California Trailer Court, Inc. (CTCI), taking back two promissory notes. Each note was secured by a separate deed of trust on the real property. CTCI made payments on the notes until it transferred the property to a third party. The third party defaulted on both notes.
Plaintiffs filed this action against CTCI, its president and sole shareholder Gary Trimble (collectively defendants), and others seeking contract and tort damages. They also exercised their power of sale conferred by the first deed of trust and purchased the property for $314,901, an amount equal to the balance due on the first note plus foreclosure costs.
According to the allegations of plaintiffs’ first amended complaint, in May 1987 the plaintiffs agreed to sell to CTCI certain real property, together with their mobilehome park business and related personal property, and to give a covenant not to compete, all for $600,000. The agreement allocated $300,000…