Shoker v. Superior Court of Alameda County
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Ghuman befriended the Shokers, becoming familiar with their rental properties and promising higher returns on an investment in a technology company.. Relying on his representations, the Shokers provided Ghuman with $1.5 million and then sold 10 of their rental properties to a purported cash buyer identified by Ghuman—Phangureh. Ghuman handled the negotiations and transactions. The Shokers paid Ghuman the proceeds for investment in the technology company. Years later, after learning of the fraudulent scheme, the Shokers sued and sought “an order declaring that [Ghuman and Phangureh] hold the [Shokers’ rental properties] in trust for [the Shokers],” and an order compelling Ghuman and Phangureh to convey the properties back to the Shokers. They recorded a notice of lis pendens for each of the rental properties.
The trial court expunged the lis pendens, finding that the Shokers did not assert a “real property claim” under Code of Civil Procedure section 405.4. The court of appeal reversed. Section 405.4 defines a “real property claim" as a cause action that could "affect . . . title to, or the right to possession of, specific real property.” In their constructive trust claim, the Shokers claim a present right to title in the same real properties they claim were wrongfully obtained by Phangureh.
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