Klingele v. Engelman

Summary

The California Court of Appeal affirmed judgment for the defendants in an action concerning foreclosure and the priority of deeds of trust on real property. The court held that a subordination agreement remained valid despite a clerical error misstating the amount of the underlying note, because the error was immaterial to the parties' intended reordering of lien priorities.

Holdings

1. A clerical error misstating the value of Klingele's note did not invalidate the subordination agreement because the error was not material to the parties' intended reordering of lien priorities.
2. The court could construe the appeal as taken from the amended judgment because that judgment superseded the original judgment and the notice of appeal was filed after the amended judgment issued.

Questions Presented

1. Whether the subordination agreement was invalid because it contained a clerical error misstating the value of Klingele's note.
2. Whether the trial court properly interpreted the subordination agreement as subordinating Klingele's lien to Engelman's later deed of trust.
3. Whether the appeal could be construed as taken from the amended judgment that superseded the original judgment.

Disposition

affirmed