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LOCKE LORD LLP
Regina J.McClendon (SBN 184669)
rmcclendon@lockelord.com ir I L E D
Xiyi Fu (SBN 278274) Superior Court of California
jackie.fu@lockelord.com Cannty 92 Bisemy
101 Montgomery Street, Suite 1950
San Francisco, CA 94104 APR 23 2019
Telephone: (415) 318-8810 Jake Chatters
x@cutive Officer & Clerk
Fax: (415) 676-5816 By: O. Lucatuorto, Deputy
Attorneys for Defendant
The Bank of New York Mellon fka The Bank of New York as Trustee for the Benefit of the
Certificate Holders of the CWALT, Inc., Alternative Loan Trust 2004-15, Mortgage Pass Through
Certificates, Series 2004-15 (incorrectly sued as Bank of New York Mellon (FKA Bank of NY
Series 2004-15), dba, BNY Mellon)
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11 SUPERIOR COURT OF THE STATE OF CALIFORNIA
12 FOR THE COUNTY OF PLACER
13 W1 HOLDINGS; an undeclared business entity; ) CASE NO.: SCV0041493
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14 ANNE TAYLOR, an individual and bona fide _)
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tenant, ) Assigned for allpurposes to:
Suite
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15 Plaintiffs, ) Hon. Charles Wachob, Dept. 42
Street,
CA
)
Lord
16 vs. ) REPLY IN SUPPORT OF DEMURRER TO
Francisco,
Montgomery
BY
17 ) COMPLAINT
Locke
BANK OF NEW YORK MELLON (FKA )
18 BANK OF NY SERIES 2004-15), dba, BNY —)_~—_Date:April 30, 2019
San
MELLON; STONE CANYON ESTATES ) Time: 8:30 a.m.
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19 HOMEOWNERS ASSOCIATION, a California ) Dept.: 40
corporation; JOHN FREDERICK TIDGEWELL, )
20 and individual and President of the Stone Canyon) Complaint Filed: July 18, 2018
21 Estates Homeowners Association; KELLER )
WILLIAMS REALTY, an undeclared business _ )
22 entity; REO MANAGEMENT SOLUTIONS, _ )
LLC, a foreign limited liability company; )
23 EXECUTIVE REPRESENTATION, a California)
corporation; SEAN WORK, an individual, )
24 California Real Estate Broker and agent to )
25 Executive Representation; MEGAN )
TEEGARDEN, an individual and agent to )
26 Executive Representation; and, DOES |through )
50 inclusive, )
27 Defendants. )
28 )
REPLY IN SUPPORT OF DEMURRER
W1 Holdings. etal.v. Bank of New YorkMellon. etal..Case No. SCV0041493
i. INTRODUCTION
Defendant The Bank of New York Mellon fka The Bank of New York as Trustee for the
Benefit of the Certificate Holders of the CWALT, Inc., Alternative Loan Trust 2004-15, Mortgage
Pass Through Certificates, Series 2004-15 (incorrectly sued as Bank of New York Mellon (FKA
Bank of NY Series 2004-15), dba, BNY Mellon)(“BNY Mellon”) submits this Reply in support of
itsDemurrer to the First Amended Complaint (“FAC”) filed by plaintiff Anne Taylor (“Plaintiff”).
Il. LEGAL ARGUMENT
A. Plaintiff’s second, third, fourth, fifth,sixth, seventh, and eighth causes of action
continue to failas Plaintiff does not have a valid ground to occupy the Property.
Plaintiff claims that BNY Mellon’s challenge to her right to occupy the Property isbased on
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the false assumption that the HOA foreclosure was valid. She is incorrect. Plaintiffs right of
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possession is predicated on two purported lease agreements between her and W1 Holdings. As to
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the March 31, 2017 lease, this Court previously found that itwas invalid because W1 Holdings had
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no possessory or ownership interest in the Property atthe time the purported lease was entered into.
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Ruling on Submitted Matter dated January 17, 2019, pp. 3-4.
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The purported lease dated March 13, 3017 isinvalid for the same reason. Plaintiff alleges
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Francisco,
W1 Holdings obtained ownership of the Property from Sheena George and G4 Capital inFebruary
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2017. FAC, § 18. As BNY Mellon explained in the Demurrer, the court inAction 2 (G4 Capital
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Partners, LLC, et al. v.Bank of New York Mellon, et al.) held that neither Sheena George nor G4
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Capital had interest in the Property to convey to W1 Holdings. RJN, 17, p. 14 of 18; RJN, Exh. 5.
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This is ajudicially noticeable fact which the Court can consider on a demurrer. Fontenot v. Wells
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Fargo Bank, N.A., 198 Cal.App.4th 256, 265-66 (2011). As Plaintiff does not have a valid basis to
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occupy the Property, the Court should sustain BNY Mellon’s demurrer to the second, third, fourth,
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fifth,sixth, seventh, and eighth causes of action for trespass, invasion of privacy, slander per se,
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violation of Government Code § 12955.7, negligence per se, negligent infliction of emotional
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distress, and intentional infliction of emotional distress.
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REPLY IN SUPPORT OF DEMURRER
W1 Holdings. etal.v.Bank of New York Mellon, etal..Case No. SCV0041493
B. Plaintiff has not sufficiently allege facts to impute the intentional tort allegedly
committed by co-defendants to BNY Mellon.
Plaintiff argues that she has specifically alleged the actions by KELLER WILLIAMS, REO
MGMT, EXEC REP, WORK, and Megan Teegarden to impute them to BNY Mellon. Her argument
misses the point. As explained in the Demurrer, aprincipal isnot liable for intentional tort
committed by itsagent if the tort did not have a causal nexus to the agent’s work. Dem., 5:15-16;
CUD
ocmlUlUMNUOlUmUlCUCUCOOUMN
Lisa M. v.Henry Mayo Newhall Mem'l Hosp., 12 Cal. 4th 291, 297 (1995). Plaintiff does not allege
what the scope of work of the aforementioned co-defendant or whether the alleged conduct stemmed
from personal malice. Thus, even though the Court found that Plaintiff has sufficiently alleged an
agency relationship between these co-defendants and BNY Mellon, Plaintiff has failed to allege facts
to show that the alleged actions by them were engendered by their purported employment with BNY
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Mellon. Accordingly, Plaintiff has failed to allege facts to impute the alleged actions to BNY
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Mellon, and her entire FAC failsto statea claim against BNY Mellon.
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C. Plaintiff’s first and fifth causes of action for “Violation of Unruh Civil Rights
14 Act” and “Violation of Government Code § 12955.7” continue to fail.
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Plaintiff claims that she has alleged sufficient facts to state a claim under the Unruh Act
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because BNY Mellon’s alleged agent uttered racial slurs at her. As explained in the Demurrer, this
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allegation alone is insufficient to state a claim under the Unruh Act. Plaintiff fails to allege that her
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race or national origin was a motivating factor for BNY Mellon’s purported conduct. In other
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words, she fails to allege that BNY Mellon would have treated a similarly situated person (i.e. a
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trespasser or someone else occupying the Property without a valid lease) any differently. Wilkins-
al
Jones v. Cty. ofAlameda, 859 F. Supp. 2d 1039, 1048 (N.D. Cal. 2012)(dismissing plaintiff's claim
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under the Unruh Act because plaintiff failed to allege how her disability was a motivating factor in
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her disparate treatment and how she was denied full and equal accommodation.). She cannot cure
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this deficiency with further amendment, as she claims in the unlawful detainer action that BNY
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Mellon attempted to evict her in retaliation of her participation in the two civilactions filed by W1
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Holdings and G4 Capital. RJN, Exhs. 21. Retaliation claims are not actionable under the Unruh
a
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REPLY IN SUPPORT OF DEMURRER
W1 Holdings. etal.v.Bank of New York Mellon, etal..Case No. SCV0041493
Act. Scripps Clinic v.Superior Court, 108 Cal. App. 4th 917 (2003), review denied, (Sept. 17,
2003).
More importantly, the Unruh Act does not confer any right or privilege that is otherwise
limited by law. The Court found that the purported March 31, 2017 lease agreement was invalid.
Thus, BNY Mellon was not obligated to ratify the invalid lease agreement. As such, even though
Plaintiff alleges that BNY Mellon uttered racial slurs at her, her claim under the Unruh Act remains
deficient. The Court should sustain BNY Mellon’s demurrer to the first cause of action.
Plaintiff did not meaningfully oppose BNY Mellon’s demurrer to her claim under
Government Code § 12955.7. She only alleges that “the court did not dismiss Plaintiff's claims but
10 sustained the demurrer to these causes of action with leave to amend.” Opp., 5:6-10. Her failure to
11 oppose BNY Mellon’s demurrer is a concession that its defense is meritorious, and the Court should
12 sustain BNY Mellon’s demurrer to the fifth cause of action. Herzberg v. County of Plumas, 133 Cal.
13 App 4th 1, 20 (2005)(“Plaintiffs did not oppose the County's demurrer to this portion of their seventh
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14 cause of action and have submitted no argument on the issue intheir briefs on appeal. Accordingly,
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Suite
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15 we deem plaintiffs to have abandoned the issue.”).
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16 D. Plaintiffs sixth and seventh causes of action for “negligence per se” and
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“negligent infliction of emotional distress” continue to fail
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Plaintiff first claims that BNY Mellon’s arguments to her “negligence per se” claim are
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misplaced because “[a]lthough the caption of the firstamended complaint states the sixth cause of
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action as Negligence Per Se in the body of the complaint the sixth cause of action ispled as
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Negligence.” Opp., 5:16-18. Itis Plaintiff's responsibility to properly label her causes of action. As
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Plaintiff seems to have abandoned her “negligence per se” claim against BNY Mellon, the Court
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should dismiss this cause of action without leave to amend.
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Plaintiff next argues that BNY Mellon owed her a duty by operation of law. The only statue
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she cited in the FAC was Civil Code § 1940.2. FAC, §§ 111 and 147. The Court previously
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dismissed her section 1940.2 claim without leave to amend. Ruling on Submitted Matter dated
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January 17, 2019, p. 4. Thus, Plaintiff cannot re-allege and disguise her section 1940.2 claim as a
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negligence claim. And to be clear, section 1940.2 prohibits a landlord from unlawfully influencing a
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REPLY IN SUPPORT OF DEMURRER
W1 Holdings. etal.v.Bank of New York Mellon, et al..
Case No. SCV0041493
tenant to vacate the dwelling. Cal. Civ. Code § 1940.2. As the Court found that the March 31, 2017
lease agreement was invalid, there was no landlord-tenant relationship between Plaintiff and BNY
Mellon and section 1940.2 isinapplicable. As BNY Mellon did not owe a duty to Plaintiff, her
“negligence per se” and negligent infliction of emotional distress fails. The Court should sustain
BNY Mellon’s demurrer to the sixth and seventh causes of action.
E. Plaintiff’s eighth cause of action for “intentional infliction of emotional distress”
continues to fail.
Plaintiff's opposition does not address BNY Mellon’s arguments, but makes the blanket
assertion that she has sufficiently alleged facts to support her intentional infliction of emotional
distress claim. However, the same conduct that was alleged in the FAC was alleged in the
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Complaint, and the Court found Plaintiff failed to allege conduct that was “so extreme as to exceed
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all bounds of that usually tolerated in a civilized community.” Ruling on Submitted Matter dated
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January 17, 2019, p. 5. Plaintiff fails to allege any relationship between her and BNY Mellon that
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would support her allegation of “outrageous conduct.” Plaintiff also failsto allege any facts to show
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that BNY Mellon knew she was susceptible to mental distress and injuries or intended the conduct to
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result in mental or physical injuries. Moreover, Plaintiff only generically asserts that she suffered
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from “extreme emotional distress”. FAC, § 185 (“Plaintiff has suffered and continues to suffer
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severe emotional distress.”). This does not rise to the level of severe distress as she is required to
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plead. Wong v. Jing, 189 Cal.App.4th 1354, 1376 (2010)(“California Supreme Court has set a ‘high
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bar’ for what can constitute severe distress.”). Likewise, Plaintiff generically asserts that BNY
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Mellon was the actual and proximate cause of her injuries (FAC, §] 184), and the Court need not
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consider this conclusion of facts. Richelle L. vy.Roman Catholic Archbishop of San Francisco, 106
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Cal.App.4th 257, 266 (2003).
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For these reasons, the Court should sustain BNY Mellon’s demurrer to the eighth cause of
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action.
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Ill. CONCLUSION
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The repeated allegations in the FAC demonstrate that Plaintiff cannot cure the deficiencies in
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her claims against BNY Mellon. Granting leave to amend would be futile under the circumstances.
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REPLY IN SUPPORT OF DEMURRER
W1 Holdings. etal.y.Bank of New York Mellon. etal..Case No. SCV0041493
For allof the reasons stated herein and in the Demurrer, BNY Mellon respectfully requests that the
Court sustain itsDemurrer to the FAC in itsentirety without leave to amend.
Dated: April 23, 2019 Respectfully submitted,
LOCKE LORD LLP
By “WO 4 ——,
Regina J.Mc@l¢ndon
Xiyi Fu
Attorneys for Defendant The Bank of New York Mellon fka The
Bank of New York as Trustee for the Benefit of the Certificate
Holders of the CWALT, Inc., Alternative Loan Trust 2004-15,
Mortgage Pass Through Certificates, Series 2004-15 (incorrectly
10 sued as Bank of New York Mellon, (FKA Bank of NY Series
11 2004-15), dba, BNY Mellon)
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FAX
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Suite
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Street,
CA
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REPLY IN SUPPORT OF DEMURRER
WI Holdings. etal.v.Bank of New York Mellon, etal..Case No. SCV0041493
STATE OF CALIFORNIA ) PROOF OF SERVICE
COUNTY OF SAN FRANCISCO ) ss,
W1 Holdings, etal. vy.Bank of New York Mellon, etal.
Placer County Superior Court Case No. SCV0041493
1am employed in the County of San Francisco, State of California. I am over the age of 18
and not a party to the within action. My business address is: 101 Montgomery Street, Suite 1950,
San Francisco, CA 94104. On April 23, 2019, I served the foregoing document described as:
REPLY IN SUPPORT OF DEMURRER TO COMPLAINT
on the parties or attorneys for parties in this action who are identified below, using the following
means of service. (If more than one means of service is checked, the means of service used for each
party isindicated below).
LYLE D. SOLOMON, ESQ. Attorney for Plaintiffs W1 Holdings and Anne Taylor
PO Box 1411
10 Rocklin, CA 95677
Tel: (916) 532-2726
11 Email: lyledsS6@yahoo.com
12 M BY EXPRESS MAIL. I placed __ the original or VY_a true copy of the foregoing
document in a sealed enveloped individually addressed to each of the parties listed above, and
13 caused each such envelope to be deposited in the mail at 101 Montgomery Street, Suite 1950,
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San Francisco, CA 94104. Each envelope was mailed with Express Mail postage thereon
14 fully prepaid. I am readily familiar with this firm’s practice of collection and processing of
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correspondence for mailing. Under that practice, mail is deposited with the United States
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Postal Service the same day that it iscollected in the ordinary course of business.
Street,
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Francisca.
Mj (State) I declare under penalty of perjury under the laws of the State of California that the
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foregoing is true and correct.
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18 Executed on April 23, 2019, at San Francisco, California.
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20 /
ie CE
Taylor Warren
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PROOF OF SERVICE
W1 Holdings, etal.y.Bank of New York Mellon, et al.,Case No. SCV0041493