Gaines

Gaines v. Lehman Brothers Holdings CA2/8

Good Law
Court of Appeal of CaliforniaMay 2, 2023B314160California4,655 words

Opinion

Opinion

Grimes, J.

FACTS

The underlying facts have been recited in previous opinions in this case and in related probate proceedings, and we repeat a brief version here. We refer to the civil department of the court that has presided over most of the proceedings since 2006 (including the judgment from which this appeal was taken) as “the trial court” or “the court.” We refer to the probate department of the court that has presided over probate proceedings related to the property since 2010 as “the probate court.” In 2006, homeowners Fannie Marie and Milton Gaines fell behind on mortgage payments on their duplex (the Longwood property) and went into foreclosure. They sought help from Countrywide Home Loans, their lender. A Countrywide employee lied to them that Countrywide could not refinance their loan, and then referred them to her fiancé Joshua Tornberg for help. Tornberg and others deceived Fannie and Milton into transferring title to their property to Tornberg in a leaseback deal Tornberg never intended to honor. Tornberg took out a loan against the property that was eventually acquired, four years later in 2010, by Lehman Brothers Holdings, Inc. (Lehman or defendant). Milton died, and in…

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