Santa Clara Savings & Loan Assn. v. Pereira

Opinion

WHITE, P. J.

Introduction:

This case raises the narrow question of whether a lender may enforce a due-on-sale clause contained in the provisions of a deed of trust (executed in 1979), when the party who purchases the real property from the trustor refused to provide the lender with credit information. We affirm the trial court’s judgment that in such circumstances the lender may accelerate the obligation due under the loan.

Background:

The facts are not in dispute. On August 30, 1979, Joseph and Kay Orlando (hereafter trustors) executed a promissory note for $105,000 in favor of Santa…