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Cornelison v. Kornbluth

Supreme Court of California

542 P.2d 981 (1975)

Relevant factsFree

Cornelison (plaintiff) sold a house secured by a deed of trust requiring the buyers to maintain the property and pay off the note upon resale; the buyers later resold to Kornbluth (defendant) by grant deed without any assumption of the debt, and years later, after Kornbluth resold again and the property was condemned as uninhabitable, the original buyers defaulted and Cornelison foreclosed, then sued Kornbluth for the underlying debt and for waste leading to the condemnation.

IssueFree

Whether a grantee is liable for the debt underlying a grantor's deed of trust only if the grantee expressly assumes that debt and liable for waste only if committed in bad faith.

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