Mcclain V. Octagon Plaza, Llc

Anthem College

Sonna Marsland

12

McClain v. Octagon Plaza, LLC.

Business Law, Unit 1

Assignment 1

Anthem College

Sonna Marsland

12

McClain v. Octagon Plaza, LLC.

Business Law, Unit 1

Assignment 1

Sonna Marsland

Business Law

Unit 1, Assignment 1

McClain v. Octagon Plaza

71 Cal. Rptr. 3d 885 (2008)

159 Cal. App.4th 784

In this case, the underlying action that McClain took against Octagon was a first amended complaint, or FAC. The claim was for negligent misrepresentation, declaratory relief, breach of the covenant of good faith and fair dealing. These three alleged that the defendants prompted McClain to pay disproportionate amount of rent by negligently misinforming her about the size of her unit that she rented. Negligent misrepresentation only requires that the person that made the declaration “did not have reasonable basis for believing its truthfulness.” (Miller, Jentz, 2011). Other allegations was the obtaining of McClain’s credit report, relief regarding her share of the common expenses for the year 2004, violation of the CCRAA, and an accounting.

Judgment was entered in Octagon’s favor in the trail court. The determination was that there was the lease that in plain language banned McClain from asserting the first three of the claims and an accounting. The trial court also determined that there was no violation of the CCRAA by the obtaining of McClain’s credit report. However, McClain filed an appeal, stating that the trial court erred in upholding the objection that admitted the facts of the opposing argument, but asserts that the facts as they are can’t adequately stand alone, and did not allow her to amend, and by denying the residual claims.

In the Court of Appeal of California, the judgment was reversed in “the regard to McClain’s claims of the accounting misrepresentation, and declaratory relief, and the matter is remanded for further proceedings in accordance with this opinion.” (Legale, 2008). The trail court had properly...