Defendant PennyMac Loan Services, LLC filed a demurrer as to the first through fourth causes of action of Plaintiffs Stephen and Jennifer Gates’ Second Amended Complaint ("SAC"). The demurrer is sustained in part and overruled in part. The demurrer as to the second and third causes of action is sustained without leave to amend. The demurrer as to the first and fourth causes of action is overruled. First and Fourth Causes of Action (Breach of Contact and Breach of Implied Covenant of Good Faith and Fair Dealing) The elements of a breach of contract claim are (1) plaintiff and defendant entered into a contract, (2) plaintiff performed its obligations under the contract, or it was excused from doing so, (3) all of the conditions for defendant’s performance occurred or were excused, (4) defendant failed to something required under the contract or did something prohibited by the contract, (5) plaintiff was harmed, and (6) the breach of contract was a substantial factor in causing the harm.