Concealing evidence

Procedural Posture

Appellant seller challenged a judgment of the Superior Court of Orange County (California) requiring it to return to respondent buyer part of the purchase price for a sale which buyer refused to complete.

Overview: concealing evidence

Appellant seller and respondent buyer entered into a contract under which appellant was to sell a boat to respondent. The contract contained a liquidated damages provision which entitled appellant to retain respondent's deposit if the sale was not completed. When appellant received the boat, it demanded and received money in addition to respondent's deposit. Respondent later refused to complete the sale. The trial court ruled that appellant was entitled only to respondent's deposit and had to refund the rest. Appellant sought review and the court affirmed. The court held that appellant was only entitled to the deposit as provided for in the contract. The contract was enforceable under Cal. Civ. Code §§ 1670, 1671. The court ruled that appellant did not modify the contract so as to allow it to keep the additional money.

Outcome

The court affirmed the judgment awarding respondent buyer a refund of part of the purchase price from the sale because substantial evidence supported the conclusion that the contract did not entitle appellant seller to retain the entire amount paid by respondent.