California Landmark Cases on Appeal Demurrer Without Leave to Amend

Appeal Demurrer Without Leave to Amend (California Case Law) Demurrers "A general demurrer searches the complaint for all defects going to the existence of a cause of action and places at issue the legal merits of the action on assumed facts." (Carman v. Alvord (1982) 31 Cal.3d 318, 324.) On appeal from the sustaining of a demurrer without leave to amend, the reviewing court is faced with two questions: the sufficiency of the pleading and the pleader's ability to amend. 1. Sufficiency of the Pleading To assess the pleading's sufficiency, "we independently review the complaint to determine whether the facts alleged state a cause of action under any possible legal theory." (Berger v. California Ins. Guarantee Assn (2005) 128 Cal.App.4th 989, 998; Buller v. Sutter Health (2008) 160 Cal.App.4th 981, 986.) The Court will affirm "if proper on any grounds stated in the demurrer, whether or not the court acted on that ground." (Carman v. Alvord, supra, 31 Cal.3d at p. 324.) On appeal, "the plaintiff bears the burden of demonstrating that the trial court erred" in sustaining the demurrer. (Cantu v. Resolution Trust Corp. (1992) 4 Cal.App.4th 857, 879.) "In reviewing the sufficiency of a complaint against a general demurrer, we are guided by long-settled rules. 'We treat the demurrer as admitting all material facts properly pleaded, but not contentions, deductions or conclusions of fact or law.'" (Blank v. Kirwan (1985) 39 Cal.3d 311, 318, citation omitted; accord, Schifando v. City of Los Angeles (2003) 31 Cal.4th 1074, 1081.) In addition to the complaint's allegations, we consider matters that must or may be judicially noticed. (Blank v. Kirwan, at p. 318; Schifando v. City of Los Angeles, at p. 1081; Code Civ. Proc., 430.30.) We also consider the complaint's exhibits. (Dodd v. Citizens Bank of Costa Mesa (1990) 222 Cal.App.3d 1624, 1627; 108 Holdings, Ltd. v. City of Rohnert Park (2006) 136 Cal.App.4th 186, 193.) Under the doctrine of truthful pleading, the courts "will not close their eyes to situations where a complaint contains allegations of fact inconsistent with attached documents, or allegations contrary to facts that are judicially noticed." (Del E. Webb Corp. v. Structural Materials Co. (1981) 123 Cal.App.3d 593, 604.) "False allegations of fact, inconsistent with annexed documentary exhibits or contrary to facts judicially noticed , may be disregarded. . . ." (4 Witkin, Cal. Procedure (5th ed., 2008) Pleading, 397, p. 536; see also, id., 431, p. 564; id., 440, p. 572.) In undertaking our independent review, "we give the complaint a reasonable interpretation, reading it as a whole and its parts in their context." (Blank v. Kirwan, supra, 39 Cal.3d at p. 318; Schifando v. City of Los Angeles, supra, 31 Cal.4th at p. 1081.) "If the complaint states a cause of action under any theory, regardless of the title under which the factual basis for relief is stated, that aspect of the complaint is good against a demurrer." (Quelimane Co. v. Stewart Title Guaranty Co. (1998) 19 Cal.4th 26, 38.) 2. Amendment of the Pleading "If the court sustained the demurrer without leave to amend, as here, we must decide whether there is a reasonable possibility the plaintiff could cure the defect with an amendment." (Schifando v. City of Los Angeles, supra, 31 Cal.4th at p. 1081.) "The burden of proving such reasonable possibility is squarely on the plaintiff." (Blank v. Kirwan, supra, 39 Cal.3d at p. 318.) "As a general rule, if there is a reasonable possibility the defect in the complaint could be cured by amendment, it is an abuse of discretion to sustain a demurrer without leave to amend." (City of Atascadero v. Merrill Lynch, Pierce, Fenner & Smith, Inc. (1998) 68 Cal.App.4th 445, 459; see also, e.g., Quelimane Co. v. Stewart Title Guaranty Co., supra, 19 Cal.4th at p. 39; Fox v. Ethicon Endo-Surgery, Inc. (2005) 35 Cal.4th 797, 810.) "Nevertheless, where the nature of the plaintiff's claim is clear, and under substantive law no liability exists, a court should deny leave to amend because no amendment could change the result." (City of Atascadero v. Merrill Lynch, Pierce, Fenner & Smith, Inc., at p. 459.) In analyzing liability under the governing substantive law, "we exercise our independent judgment about whether the complaint states a cause of action as a matter of law." (Montclair Parkowners Assn. v. City of Montclair (1999) 76 Cal.App.4th 784, 790.) Where the issue of substantive law presents a question of statutory interpretation, our review likewise is de novo. (Kramer v. Intuit Inc. (2004) 121 Cal.App.4th 574, 578.)