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Fountain Valley Chateau Blanc Homeowner’s Ass'n v. Dep’t of Veterans Affairs | 79 Cal. Rptr. 248 (1998)
In a covenanted community, homeowners are subject to rules set by a homeowner’s association. But associations don’t have limitless power. In Fountain Valley Chateau Blanc Homeowner’s Association versus Department of Veterans Affairs, an association pestered an owner about cleaning, so the owner wiped the floor with them.
Robert Cunningham was a senior citizen with Hodgkin’s disease. Assisted by the Department of Veterans Affairs, Cunningham bought a home subject to the covenants, conditions, and restrictions of the Fountain Valley Chateau Blanc Homeowner’s Association, including a covenant to keep the house’s interior well-maintained. Fountain sent Cunningham letters demanding that Cunningham remove debris and clutter from inside his home.
When Cunningham’s progress wasn’t to Fountain’s satisfaction, Fountain sued Cunningham and the department for failing to remove fire and safety hazards. Even though inspectors found no such hazards, Fountain gave Cunningham a list of housekeeping deficiencies, including failing to clear paper and books, failing to donate old clothing, and failing to remove unshelved books. Cunningham then filed a cross-complaint, which included allegations of privacy violations. Fountain settled its claim against Cunningham, and the department was cleared of responsibility. The judge split Cunningham’s cross-complaint into liability and damages trials. In the liability trial, the jury returned a verdict for Cunningham. Fountain moved for a new trial or a judgment notwithstanding the verdict, or JNOV. Believing that the outcome would be no different and that Fountain acted reasonably, the judge ordered a new trial. Cunningham appealed, and the California Court of Appeal granted review.
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