(Plaintiffs' Exhibit 1). According to the Lease, the monthly rent was $1,800 plus utilities, and
was due on the 15th day of each month. At the commencement of the Lease, Plaintiffs paid the
last month's rent ($1,800) and further gave a $3,600 security deposit (Id.).
At trial, counsel stipulated that Defendant and non-party Craig Leonard ("Mr. Leonard") are
partners and co-Landlords for the transaction herein.[FN1] The Court further notes that although he was
[*2]present at trial, Mr. Lorenzo did not take the witness stand to
refute any of the claims herein.
In any event, it was undisputed that Mr. Leonard deposited Plaintiffs' security deposit in an
account containing personal funds maintained at Washington Mutual Bank. He further testified
that the security deposit was neither used to satisfy the Judgment awarded in the related
summary proceeding discussed below nor applied towards rental arrears. Instead, Mr. Leonard
testified that the security deposit was used to make repairs to the premises after Plaintiffs
vacated. However, Mr. Leonard did not substantiate with any detail the repairs performed and no
corroborating documentary evidence was offered.
THE PRIOR LANDLORD-TENANT SUMMARY
PROCEEDING
The Court takes Judicial Notice of a previously adjudicated
non-payment summary proceeding commenced by Defendant herein captioned John Lorenzo
v. Bruce Hansen and Joanne Alonso, BRLT 1294-08 ("Summary Proceeding"). The parties
settled that proceeding by Stipulation of Settlement, dated April 30, 2008, a copy of which was
introduced at the trial herein as Plaintiffs' Exhibit 2. Pursuant to the Stipulation of Settlement,
Plaintiffs acknowledged rental arrears of $1,800 which they agreed to pay on or before May 14,