Casualty Insurance v. Rees Investment Co.

Opinion

COAKLEY, J. *

In June 1960, Rees Investment Co., herein called “Investment Co.,” leased an office building located in San Diego, California, to Casualty Insurance Company, herein called “Casualty,” for a term of 20 years. At that time, John H. Rees, herein called “Rees,” was the alter ego of Investment Co. and the chief executive officer of and a major stockholder in Casualty. In his capacity as chief executive officer, he executed the lease on behalf of Casualty. In August 1962, Rees resigned as an officer of Casualty, sold all of his stock in that company, and severed all connection…