Condor Enterprises, Ltd. v. Valley View State Bank
Opinion
Opinion
Woods, J.
Valley View State Bank (Valley View) appeals an order awarding sanctions to Condor Enterprises, Ltd. (Condor) under Code of Civil Procedure section 128.5.
Valley View and Condor were, respectively, senior and junior lienholders on a property owned by Santiago Valley I (Santiago). Valley View held a $5.2 million first deed of trust on the property, a mobilehome park, and Condor held a $5 million second deed of trust on the same property.
On January 20, 1992, Valley View’s note came due. Santiago failed to make payment and, on February 4, 1992, Valley View issued a notice of default. Condor then attempted to exercise its rights as junior lienholder to redeem the property from Valley View, the senior lienholder. To that end, on February 14, 1992, Condor’s attorney, Scott Richard Lord, wrote Valley View’s attorneys demanding a statement of principal, interest and other costs and charges due on the first deed of trust. He further advised Valley View’s attorneys that Condor had established an escrow at Lincoln Title Company for purposes of paying off Valley View’s loan and receiving Valley View’s reconveyance documents.