Hernandez v. Lopez
Following a one-day bench trial, the trial court found defendants Jose Antonio Lopez and his wife, Irma Taira, sold a business they did not own, but the court declined to order disgorgement or other relief in favor of the rightful owners, plaintiffs Leonor and Jose Hernandez. The court allowed Lopez and Taira (collectively, Lopez) to keep the proceeds of the sale, concluding the Hernandezes first amended complaint failed to plead adequately claims for unjust enrichment, conversion, or trespass. We reverse and remand for a new trial that resolves plaintiffs claims under these quasi-contract and tort theories, which, fairly read, fell within the scope of the pleadings and within the facts alleged and proved at trial. In the interests of justice, we also reverse the trial courts determination Lopez did not breach the restaurant sales contract with the Hernandezes; the parties are free to relitigate that issue if they so choose.
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