330 South Fair Oaks Ave., LLC v. de la Flor CA2/5

I. INTRODUCTION

Defendants, Francesca de la Flor, Rene G. Van Sauter, Tatiana Van Sauter, Antiques Off Fair Oaks, LLC, Rio Delux Audio, LLC, and Oak Knoll Meadows Farm, Inc., appeal from a judgment and attorney’s fees order. Ms. de la Flor formed Antiques Off Fair Oaks, LLC, Rio Deluxe Audio, LLC and Oak Knoll Meadows Farm, Inc. between June 14 and 28, 2010. The companies are all alter egos of Ms. de la Flor. Plaintiff, 330 South Fair Oaks Avenue, LLC, and its predecessor, LoConte Partners, LLC, sued defendants for breaching a lease and fraudulent conveyance. Defendants filed a third amended cross-complaint. Defendants argued LoConte Partners, LLC had refused to accept Ms. de la Flor’s exercise of a second option and thus had waived any rights to enforce the lease. Plaintiff demurred, arguing the issue of the exercise of the second option had been decided in a previous action between LoConte Partners, LLC and Ms. de la Flor. Plaintiff’s demurrer was sustained on res judicata grounds. Plaintiff argued that in the prior action, it had been conclusively determined Ms. de la Flor had exercised the second option. Plaintiff filed a motion in limine to preclude defendants from…