Judgments

Judge Norman denied our stay pending appeal; and adding further injury, he signed an "Order on Motion to Recover Attorney's Fees and Costs" for each of the defendants, ordering us to pay them! The order for Terminix stated that Defendants Terminix and Continental Casualty:

Motion to Recover Attorney’s Fees be denied, but that Defendants costs award shall consist of all amounts in their respective cost bill except: costs for expert fees shall be excluded and costs for attorney’s fees shall be excluded.
Have and recover from Plaintiffs costs and disbursements amounting to the sum of $4,890.43.

We litigated because the property had an estimated total of over $40,000 nondisclosed damages, including approximately $20,000 for non-reported pest damages; and no one would work with us to resolve the discrepancies. As shown below, Judge Evans was correct when he stated, "This is a case which may well end up with only counsel coming out ahead economically." He knew, and now we also know, the legal system is not conducive to helping average consumers.

DEFENDANT’S LEGAL EXPENSES

TOTALS

AWARDED

Terminix/Continental Casualty

$ 43,297.63

$ 4,890.43

Seller’s Real Estate Agent/Broker

24,884.91

3,842.91

“Our” Real Estate Agent/Broker

72,193.17

  7,548.17

DEFENDANTS’ TOTALS

$140,375.71

$16,281.51

PLAINTIFFS’ LEGAL EXPENSES

TOTALS

PAID

BALANCE

Attorney Fees

$104,330.90

$17,330.90

$87,000.00

Jury Fees

2,368.60

500.00

1,868.60

Frank LaBella, Appraiser

7,798.09

1,000.00

6,798.09

PLAINTIFFS’ TOTALS

$114,497.59

$18,830.90

$95,666.69

LEGAL EXPENSES

TOTALS

Defendants

$140,375.71         

Plaintiffs

  114,497.59          

TOTAL LEGAL EXPENSES

$254,873.30         

The total legal expenses to recover $40,000 for nondisclosed damages and defects amounted to OVER A QUARTER OF A MILLION DOLLARS!!!

PLAINTIFFS’ LEGAL DEBT

TOTALS

PAID

BALANCE

Plaintiffs’ Legal Expenses

$114,497.59

$18,830.90

$95,666.69

Judgments for Defense

16,281.51

0

16,281.51

PLAINTIFFS’ TOTALS

$130,779.10

$18,830.90

$111,948.20

At least three times during the trial, our attorney filed a motion for a mistrial. Each motion was denied, and each was probable grounds for an appeal. Judge Norman's denial of a stay pending appeal and award of $16,281.51 to the defendants destroyed any possible hopes of our being able to appeal. When we purchased the house, we were totally unprepared and financially unable to pay for repairing damages and defects that should not have existed and were forced into using credit cards to pay for critical repairs and legal expenses.  We were in debt and had no disposable income when Judge Norman awarded to the defendants. There was, and would be, no money to hire a competent attorney (who would at least appear at scheduled hearings; file appropriate papers; not call witnesses to the stand that he could not, or would not, impeach; and who would be in court with his client when the verdict was read) and to file an appeal within the one-year statute of limitations.

When we retained our attorney to represent us, he informed us in writing that his "good faith estimate" for our total legal fees and expenses if we fully litigated the case was from $12,500 to $25,000.  We paid $18,830.90 -- and now owed $111,948.20 more!

In a letter to us dated January 19, 1994, our attorney stated that his "good faith estimate" to do the appellate brief would range from $10,000 to $15,000 and the transcript fees from $7,000 to $8,000.  We could not afford an appeal.

Even though our loan-to-debt ratio was maxed when we purchased the house, the lending officer stated the loan was granted because our credit rating was excellent. As a result of mistakenly believing the seller, real estate agents, and pest inspection company were honest and that legal documents would be honored and upheld, we have over $40,000 of nondisclosed damages to fix to bring the house to the appraised value and the condition represented and contractually guaranteed; owe $50,000 more for our house than it is worth; incurred $130,779.10 debt for legal fees, of which we still owed $111,948.20; and owed on credit cards used to pay for critical repairs and attorney fees and costs.

We, who did absolutely nothing wrong -- unless trusting professional, State- licensed real estate brokers and pest inspection companies while purchasing a house in California and with everything in writing and contractually guaranteed is wrong -- were treated like criminals in the courts and sentenced to financial ruin. We, who had always paid our debts and had perfect credit, were facing bankruptcy.

CA SPCB