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SOUTHERN CALIFORNIA RECORD

Thursday, September 19, 2024

Condo Owner Accuses Homeowners Association of Breach Amid Foreclosure Dispute

State Court
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A contentious legal battle involving a condominium owner and her homeowners association has culminated in a court ruling that leaves the plaintiff without the damages she sought. Teresija Sigmund filed a complaint against Darlington Villas Homeowners Association, Inc., in the Superior Court of Los Angeles County on August 1, 2024, alleging various breaches and misconduct by the association.

Sigmund purchased her condominium in Brentwood, Los Angeles, in 2004. Over the years, she allegedly violated several provisions of the Association’s covenants, conditions, and restrictions (CC&Rs), including subletting her unit via Airbnb and failing to maintain common areas. These violations reportedly led to safety concerns for other residents and financial strain on the Association due to unpaid dues and assessments. The Association initiated nonjudicial foreclosure proceedings against Sigmund's condo in 2015 for unpaid dues amounting to $58,196.50 by May 2017.

In response, Sigmund filed a lawsuit in April 2016 against the Association and its officers at that time—Nancy Wortman and Tisha Bennett—alleging breach of CC&Rs, breach of fiduciary duty, civil extortion, intentional infliction of emotional distress, negligence, injunctive relief, declaratory relief, accounting, private nuisance, and conversion. She claimed water damage from improper roof repairs dating back to 2006 and accused Wortman of misappropriating funds for personal use.

The trial took an unexpected turn when Sigmund's attorney requested to withdraw mid-trial due to an irreparable breakdown in their relationship. The court granted this request but denied Sigmund’s plea for a continuance. Representing herself for the remainder of the trial proved challenging; although she won one claim regarding breach of fiduciary duty by the Association, no damages were awarded. The jury found in favor of the defendants on all other claims.

Sigmund appealed on grounds that allowing her attorney to withdraw without granting a continuance was erroneous and that defense counsel committed misconduct during the trial. However, these arguments were dismissed as lacking merit by both the trial court and appellate court. 

Judge Rafael A. Ongkeko presided over this Case with ID: SC125743, with attorneys Sarvenaz Bahar representing Sigmund and Gina E. Och among others representing Darlington Villas Homeowners Association.

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