Federated Mortgage Investors v. American Savings & Loan Association, 47 Cal. App. 3d 917 (1975)

Citation: Federated Mortgage Investors v. American Savings & Loan Association, 47 Cal. App. 3d 917 (1975)
Parent Document: Federated Mortgage Investors v. American Savings & Loan Association, 47 Cal. App. 3d 917 (1975)
Jurisdiction: California (state)
Effective Date: 1975-05-02
Original Source: https://www.courtlistener.com/opinion/2141949/federated-mortgage-investors-v-... ↗

Full Text

980 chars

95 Cal.App.2d 619, 627 [213 P.2d 740].) Initially, the obligation to repay the tenants rested entirely on American. However, American, in effect, told the buyer, Central Towers, that it had applied the security deposits to reduce its claim and at least inferentially that if the buyer did not approve of this arrangement, American would have to increase the amount of its claim. When Central Towers “agreed” to that arrangement, it in effect, undertook to discharge American’s obligation to the tenants. This is understandable since Central Towers as the new owner/landlord would presumably be interested in maintaining amicable relations with its tenants. The court therefore could properly conclude that as between American, Central Towers and the tenants, Central Towers was assuming to discharge American’s obligation to the tenants. The court could properly conclude that that agreement did not inure to the benefit of Federated either as a matter of fact or as a matter *926

Other Sections in This Document (58)

Full Text