Guitarist Slash and his wife won a round in their bid to recover more than $500,000 they say they lost in a transaction involving a Hollywood Hills home.
Los Angeles Superior Court Judge Mel Red Recana ruled Tuesday that he will allow a jury to decide whether Slash -- whose real name is Saul Hudson -- and his wife Perla deserve punitive damages from real estate agent Gregory Holcomb and Sotheby's International Realty.
Recana heard arguments Monday in a defense motion to dismiss the punitive damages claim. His tentative ruling also was in favor of the Hudsons, but he said he wanted to consider the matter further before making a final decision.
The Hudson's allege Sotheby's and Holcomb acted in conscious disregard of the Hudsons' rights by not telling them they were entitled to a preliminary title report. They argued the Hudsons should have been told they could have backed out of the purchase if they chose and gotten a refund of their $186,500 deposit before escrow closed.
The 44-year-old rocker, who became famous as lead guitarist for Guns N' Roses, and his wife sued in November 2007. They allege they were not given proper disclosure about the home, including that it was much smaller than 7,800 square feet listed, and that there were other issues with the title to the property.
In a sworn declaration, Perla Hudson said she and her husband closed escrow on the home in January 2006 for $6.25 million, then sold it in November 2007 for $5.725 million without ever moving in.
The couple lost an additional significant amount of money in carrying costs on the property, while Holcomb received a commission of nearly $124,000, the Hudsons' court papers state.
In choosing a home, Perla Hudson stated she and her husband also were concerned about security for themselves and their two young sons after being forced in the summer of 2005 ``to obtain a restraining order against a deranged fan.''
Defense attorneys say punitive damages should not be available to the Hudsons because there is no evidence anyone in authority at Sotheby's was responsible for approving anything Holcomb is alleged to have done wrong. But in his ruling, Recana said an employee's title is not as important as whether he or she acted in a managerial capacity.
The trial of the suit is scheduled for Sept. 21.
