T hi s di s pos i t i on i s nota ppr opr i a t e f orpubl i c a t i on a nd i s notpr e c e de nt * e xc e pta s pr ovi de d by 9th C i r . R
. 36- 3.

T he pa ne l una ni m ous l y c onc l ude s thi s c a s e i s s ui t a bl e f orde c i s i on ** w ith o u t o r a l a r g u m e n t. See F ed. R
. A pp . P
. 34 (a )( 2).

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. R e s t a ni , J udge of the U ni t e d S t a t e s C our tof ** * I nt e r na t i ona l T r a de , s i t t i ng by de s i gna t i on. NOT F OR P UB L I CAT I ON UN I TE D STATE S C OU RT OF APPE ALS FOR T HE NI NTH CI RC UI T

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o r n ia B ef ore: H A L L and T H O M A S , C i rc ui tJudg es , and R E S T A N I, Judg e. *** T hom a s S m i th a ppe a l s the di s tr i c t c our t ’ s gr a nt s of pa r t i a l s um m a r y j udgm e nt 

# FI LED NO V 09 2010 M OLLY C. DW Y ER, CLERK U
. S. C O U R T OF APPE ALS- 2-

in h is d i v e r s ity a c tio n a g a in s t D a r r in S im m o n s , in d iv id u a lly a n d d .b .a . C le a n A ir P r o d u c ts , I n c . S m ith a lle g e s b r e a c h o f c o n tr a c t a r is in g f

r o m h is s a le o f

b u s in e s s a s s e ts t o C l ea n A i r. H e s ee ks t o h ol d S i m m on s per so n ally li ab le for a 19 98 cont ra ctthat S i m m ons c l a i m s t o ha ve s i gne d on be ha l f of C l e a n A i r , a nd S m i th a r gu es t h at the d is tr ic t c o u r t e r r e d in h o ld in g th e r e w a s n o g e n u in e is s u e o f m a te r ia l f

a c t a s to S i m m on s’ s per sonal l i abi l i ty. S m i th con t ends thatthe er roneou s par t i al sum m ar y j ud gm ent s i m prop er l y a l t er ed the charact erof hi s s ub se qu enttri al , i n w hi ch a j ury f o u n d n o b r e a c h . W e a f f ir m . S m i th a l l e ge s tha t a ge nui ne i s s ue of m a t e r i a l f a c t e xi s t s a s t o w he the rS i m m ons
a s s um e d pe r s ona l l i a bi l i ty unde rthe 1998 c ontr a c t . N one of hi s thr e e the or i e s ha ve
m e r it, a n d p a r tia l s u m m a r y ju d g m e n t o n th is is s u e w a s p r o p e r . F i r s t , S m i th a r gue s tha tpa r ol e vi de nc e f r om a 2001 c ontr a c t be tw e e n S m i th a nd S i m m o n s m akes the 19 98 cont ra ctam bi gu ou s w i th regard t o S i m m on s’ s per sonal lia b ility . T h is a m b ig u ity , s a y s S m ith , p r e s e n ts a q u e s tio n o f f a c t . H o w e v e r , w h ile p a r o l e v id e n c e c a n b e u s e d to in te rp r e t a m b i g u o u s c o n tr a c t la n g u a g e , se e H er ve y v . Mer c ur y C as . C o. , 1 8 5 C al
. A p p . 4 th 9 5 4 , 9 6 1 (2 0 1 0 ), S m i th ’ s arg u m en tis
un pers uasi ve. T he 20 01 cont ra ct ’ s m er e m ent i on o f a po ss i bl e pri or cont ra ct i nv ol vi ng S i m m on s does notm ake the ot herw i se un am b ig u o u s 19 98 cont ra ct
r e a s o n a b ly s u s c e p tib le to a n in te rp r e ta tio n th a t S im m o n s w a s p e r s o n a lly lia b le f o rit.- 3-

It i s un di sput ed that the 19 98 cont ra ctre peat edl y r ef er ence s the fa ctthati ti s betw ee n tw o c orpor a t e e nt i t i e s , m e nt i ons S m i th’ s na m e s e ve r a l t i m es butdoe s notm e nt i on S im m o n s ’s n a m e a t a ll in th e b o d y o f th e a g r e e m e n t, a n d n e v e rm e n ti o n s a g u a r a n ty
orpe r s ona l l i a bi l i ty . S o, e ve n i n l i ght of the 2001 c ontr a c t , the undi s put e d f a c t s s how th a t th e 1 9 9 8 c o n tr a c t is u n a m b ig u o u s w ith r e g a r d to S im m o n s ’s p e r s o n a l lia b ility
. S e c ond, S m i th a r gue s tha t the r e w a s a ge nui ne di s put e a s t o w he the rS m i th or S im m o n s d r a f

te d th e c o n tr a c t, a n d th a t t h is f a c t is s u e is m a te r ia l to S m ith ’s c la im be c a us e a ny a m bi gui t i e s i n the 1998 c ontr a c ts houl d be r e s ol ve d ag a i ns tthe d ra fter

— i
. e. , al l egedl y S i m m on s. T hu s, S m i th argues, the fa cti ss ue of w ho draf t ed the cont ra ctcont rol s the re sol ut i on of the am bi gu i ty r egar di ng S i m m on s’ s per sonal lia b ility
. S m i th c orre ct l y no t es that , un der C al i forni a l aw , “ [a ] m bi gu i t i es i n con tra ct l angu ag e ar e t o b e r es ol ved agai nstthe draf t er . ” V i ct o ri a v. S u

p eri o r C o u rt , 4 0 C a l. 3 d 7 3 4 , 7 3 8 ( 1 9 8 5 ) ; se e Ca l
. Ci v. Code § 1 65 4 ( c od i f y i ng the do c tr i ne of

c ont ra p ro feren t em ). H o w ev er, as n o t ed , th e 1 9 9 8 co n tract ’s la n g u ag e i s n o tam b i g u o u s,
e ve n i n l i ghtof

i t s br oa de rc ont e xta nd l a t e ra gr eem e nt s . T he r e f or e , the doc tr i ne of
c ontr a pr of

e r e nt e m doe s nota ppl y ; the r e i s no a m bi g u i t y t o i nt e rpr e ta ga i ns tthe d r a f te r , w h o e v e rth a t m ig h t b e . T hi rd, S m i th arg u es thatthe pre-pri nt ed si gn ature l i ne of t he 19 98 cont ra ct
s h o w s th a t S im m o n s w a s p e r s o n a lly lia b le b e c a u s e it lis te d th e n a m e “D a r r in- 4-

S i m m ons” w i thouta ny r e f e r e nc e t o S i m m ons ’ s c orpor a t e pos i t i on. S m i th r e l i e s on, b u t m is c h a r a c te r iz e s , Seba st i an Int ’l , Inc. v. P ec k , 19 5 C al
. A pp . 3d 80 3 (19 87 ). In Se bas t i an , a C a l i f

or ni a a ppe l l a t e c our the l d tha ta c orpor a t i on’ s vi c e pr e s i de nt
as sum ed pers on al l i abi l i ty f or a l ea se agre em entbetw ee n hi s corpo ra t i on and ano ther corporat i on pu rs u an t to a gu ar anty docum ent , despi t e the fa ctthatthe pre-pri nt ed
s ig n a tu r e lin e o f th e d o c u m e n t r e f e r e n c e d th e s ig n e e ’s c o rp o r a te title
. Se bas t i an , 195 C a l
. A pp. 3d a t80 5

– 0 6 , 8 0 9
. T he gua r a nty doc um e nti n Se bas t i an u n q u e s tio n a b ly de s c r i be d a pe r s ona l obl i ga t i on, a nd the w or ds “ V i c e P r e s i de nt ” i n the s i gna tur e l i ne
w ere m erel y de s c r i

pt i o pe rs onae
— a t e r m de s c r i bi ng the pe r s on r a the rtha n the
c a p a c ity in w h ic h th a t p e r s o n s ig n e d
. I d. a t 8 0 9
. Se bas t i an , the r e f or e , s t a nds f

orthe p r opos i t i on tha tpe r s ona l l i a bi l i ty m a y be de t e r m i ne d by l ooki ng t o the t e r m s of the
a g r e e m e n t, r a th e rth a n to th e p r e - p r in te d s ig n a tu r e lin e a lo n e . I n th is s e n s e , Se bas t i an
ac tu ally h u rts S m ith ’s ca se b ec au se S m ith u rg es u s t o d isco u n t th e 1 9 9 8 c o n tr a ct’s t e r m s a nd gi ve w e i ght t o the f a c t tha tthe s i gna tur e l i ne na m e s “ D a r r i n S i m m ons ” s a ns
c orpor a t e t i t l e . T hus , S m i th i s w r ong t o a s s e r ttha tpe r s ona l l i a bi l i ty s houl d be im p o se d m er ely b ec au se th e p re -p rin ted sig n atu re li n e f ails to re fe r e n c e S im m o n s’s p o s itio n a s a c o rp o r a te o f f ic e r . S m i th al so al l eg es th ata genui ne i ss ue of m at er i al fa ctexi st s a s t o w hether S i m m ons i s pe r s ona l l y l i a bl e f orthe obl i ga t i ons of

C l e a n A i r unde rthe a l t e re go- 5-

d o c tr in e . T h e a lte r e g o d o c tr in e a p p lie s to p ie r c e a c o rp o r a te v e il if tw o r e q u ir e m e n ts
ar e m et : (1) t here i s such un i ty o f i nt er es tand o w ners hi p t hatthe se para t e per sonal i t i es
o f th e c o rp o r a tio n a n d th e in d iv id u a l n o lo n g e re x is t, a n d ( 2 ) a n in e q u ita b le r e s u lt w ill f o llo w if th e c o rp o r a te v e il is n o t p ie r c e d
. Me s l e rv . B r agg M gm t . C o. , 39 C a l
. 3d 290, 300 ( 1985) ( quot i ng A ut om ot ri z del G ol f o d e C al
. S. A
. de C
. V

. v. R es ni ck , 47 C a l
. 2d 79 2, 79 6 (19 57 ))
. S m i th h as no t show n that a g enui ne i ss ue of m at er i al fa ctexi st s a s t o the uni ty of i nt e r e s t r e qui r e m e nt . S m i th’ s onl y e vi de nc e of a uni ty of i nt e r e s ti s the f a c t th a t S im m o n s is C le a n A ir ’s s o le o w n e r . M a n y o th e ru n d is p u te d f a c ts in d ic a te th a t C le a n A ira n d S im m o n s d o n o t s h a r e a u n ity o f in te r e s t— e .g ., C le a n A ir
e m pl oy e e s onl y do c orpor a t e w or k, C l e a n A i r ’ s c orpor a t e l oc a t i on i s s e pa r a t e f r om S im m o n s’s h o m e, an d C lean A ir’s fin an ce s w er e k ep t sep ar ate f ro m S im m o n s’s f i na nc e s . G i ve n the undi s put e d f a c t s a nd the e vi de nc e pr e s e nt e d, the r e i s no ge nui ne is s u e o f m a te r ia l f

a c t a s to w h e th e rS im m o n s a n d C le a n A irm a in ta in s e p a r a te p e r s o n a litie s . T h u s , p a r tia l s u m m a r y ju d g m e n t o n th is is s u e w a s a p p r o p r ia te . F in a lly , e v e n if

th e g r a n ts o f

p a r tia l s u m m a r y ju d g m e n t w e r e e r r o n e o u s , S m ith ha s f a i l e d t o s how how the y i m pr ope r l y a f f e c t e d hi s s ubs e que nttr i a l
. H e poi nt s t o no fact s o r i ssu es th at w ere el i m i n at ed fro m tri al d u e t o th e p art i al su m m ary j u d g m en t s, bu tthatw ou l d h ave provi ded t he j ury w i th m ore cl ar i ty or cont extre gardi ng the ca se . A FFI R M ED
.