Buckaloo v. Johnson

537 P.2d 865 (1975)

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Nature Of The Case

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Facts

P is a licensed real estate broker. Benioff (D) was the owner of certain undeveloped beach property. In 1967 and 1968 P had an exclusive right to sell the parcel. No sale was consummated and the exclusive listing expired in 1968. In 1972, Benioff (D) erected a sign on the property which read: 'For Sale -- Contact Your Local Broker.' The complaint alleged that Benioff (D) intended her sign to constitute an 'open listing' with brokers local to the Mendocino coast, who would then negotiate with prospective buyers towards sale of the property on terms satisfactory to the vendor. P was approached at his place of business by Virginia Arness, her daughter, and Cecil Johnson, the latter a real estate salesman in the employ of defendant Ferne Goodwin (all defendants). P was approached at his place of business by Virginia Arness, her daughter, and Cecil Johnson, the latter a real estate salesman in the employ of defendant Ferne Goodwin (all defendants). The buyers indicated an interest in coastal investment property. Johnson (D) then asked P if he 'cooperated with other brokers' and P replied that he did. Arness (D) then inquired about that 'property with the sign' and the conversation specifically revolved around the lot. P was well aware of the merits of the property from his prior association with Benioff (D) and was able to inform the Arness group of its assets and liabilities. P advised that the asking price was high for investment purposes but the parcel might be attractive to an owner-user. At the end of the day P found accommodations for the group and they left, promising to return the next day. They never returned. P sent Benioff (D) a note informing her that he was the 'procuring cause' of the Arness group and asking her to refer them to him should the group contact Benioff (D) directly. Weeks later P learned that a sale had been made to the Arness group without his participation. P contacted Benioff (D) requesting a commission but was informed by her attorney that she would not share in any commissions paid. P sued Arness (buyer), Benioff (seller), Johnson (salesman), Goodwin (Johnson's superior), and six unnamed defendants as members of the Arness group. All defendants except Benioff (D) demurred, and their demurrer was sustained. P appealed.

Issues

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Holding & Decision

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Legal Analysis

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