THE NEWPORT BEACH COUNTRY CLUB v. FOUNDING MEMBERS OF THE NEWPORT BEACH COUNTRY CLUB
Filed 6/26/06
CERTIFIED FOR PUBLICATION
IN THE COURT OF APPEAL OF THE STATE OF CALIFORNIA
FOURTH APPELLATE DISTRICT
DIVISION THREE
| THE NEWPORT BEACH COUNTRY CLUB, INCORPORATED, Plaintiff and Respondent, v. FOUNDING MEMBERS OF THE NEWPORT BEACH COUNTRY CLUB, Defendant and Appellant. | G035099 (Super. Ct. No. 04CC02190) O P I N I O N |
Appeal from a judgment of the Superior Court of Orange County, Charles Margines, Judge. Reversed and remanded.
Morgan, Lewis & Bockius, Anthony Ciasulli, Jeffrey N. Brown, Teresa A. Ascencio, Charles J. Malaret and Salvatore Picariello for Defendant and Appellant.
Dubia, Erickson, Tenerelli & Russo, Dubia, Erickson & Tenerelli, Christian F. Dubia, Jr., and Mark D. Erickson for Plaintiff and Respondent.
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I.
Introduction
We hold that when a trial court judgment decides a case on two alternate grounds, and the appellate court affirms based on one ground, the judgment is binding under principles of res judicata and collateral estoppel only on the ground addressed by the appellate court. In so holding, we decline to follow People v. Skidmore (1865) 27 Cal. 287 (Skidmore) because subsequent developments in California law and the trend of decisions have weakened that case's authority to the point where we can conclude it no longer reflects the views of the California Supreme Court. Our holding, which is consistent with the Restatement Second of Judgments and recent California state appellate court authority, leads us to reverse the judgment and remand.
This case is a sequel to our decision in Founding Members of the Newport Beach Country Club v. Newport Beach Country Club, Inc. (2003) 109 Cal.App.4th 944 (Founding Members I). In Founding Members I, the trial court granted summary judgment in favor of The Newport Beach Country Club, Inc. (NBCC), on two grounds. We affirmed based on the first ground, and expressly declined to address the second. In this case (Founding Members II), the trial court granted summary judgment in favor of NBCC on the second ground. Relying on Skidmore, the trial court concluded the second ground had been resolved under principles of res judicata and collateral estoppel by our decision in Founding Members I. Because, as we now hold, the judgment in Founding Members I is binding only on the ground actually decided in that decision, we reverse and remand.
II.
Facts and Procedural History
In Founding Members I, an unincorporated association of country club members known as the Founding Members of The Newport Beach Country Club (Founding Members) sued The Newport Beach Country Club, Incorporated (NBCC), to enforce a â€
