Pickard v. Oregon Senior Citizens, Inc.

CourtSupreme Court of Oregon
Writing for the CourtBefore McALLISTER; O'CONNELL
Citation395 P.2d 168,238 Or. 359
PartiesCharles M. PICKARD and Adrianne A. Pickard, husband and wife, Respondents, v. OREGON SENIOR CITIZENS, INC., Appellant.
Decision Date10 September 1964

Page 168

395 P.2d 168
238 Or. 359
Charles M. PICKARD and Adrianne A. Pickard, husband and
wife, Respondents,
v.
OREGON SENIOR CITIZENS, INC., Appellant.
Supreme Court of Oregon, Department 2.
Argued and Submitted June 3, 1964.
Decided Sept. 10, 1964.

[238 Or. 360]

Page 169

John R. Faust, Jr., Portland, argued the cause for appellant. With him on the briefs were Cake, Jaureguy, Hardy, Buttler & McEwen, Portland.

Glenn R. Jack, Oregon City, argued the cause for respondents. On the briefs were Jack, Goodwin & Anicker, Oregon City.

Before McALLISTER, C. J., and PERRY, O'CONNELL, DENECKE and LUSK, JJ.

O'CONNELL, Justice.

This is a suit to recover $2900 which plaintiffs had paid to defendant as an occupancy fee for admission into Rose Villa Manor, a retirement residence operated by defendant. Defendant appeals from a judgment for plaintiffs.

On March 27, 1959 plaintiff executed applications for admission to Rose Villa. Plaintiffs paid $2900 of which $1500 was an application fee and $1400 an 'extra space fee' payable upon admission by those who wished to occupy one of the larger units. Plaintiffs' application was accepted in October, 1960 and they took possession of their apartment in January, 1961.

[238 Or. 361] The application executed by plaintiffs recites that the applicant has carefully read defendant's general rules and agrees to be bound by them. The rules in effect at the time plaintiffs executed their applications provided in part as follows:

'4. Schedule of charges. The following schedule of charges for the living quarters occupied and other services rendered shall remain in full force and effect until changed by the Board of Trustees with the consent of the Federal Housing Commissioner:

'* * *

'(d) A monthly medical and hospital service fee for each resident payable on the 1st day of each and every month and continuing for the same period as the monthly occupancy fee. The amount of this fee may be changed each six months, depending upon the actual costs incurred by the insurance carrier for the coverage of Rose Villa residents. The beginning rate will be $15.00 per month per person.

'* * *

'6. Medical and hospital service. All residents of Rose Villa shall be covered by a medical and hospital service contract selected by the Board of Trustees. Such contract will provide health insurance under a group plan with certificates

Page 170

issued to each resident. The coverage will include the services of physicians and surgeons of the resident's own choosing, complete hospital care and services, ambulance services, preseription drugs and other special services. As indicated in the Schedule of Charges (paragraph 4 above), the rate for this service may vary every six months depending upon the experience of the carrier during the previous six months.'

Prior to making the application defendant's agents had advised plaintiffs that if they were admitted they [238 Or. 362] would have medical coverage under an insurance contract with Oregon Physicians' Service (OPS) or some other insurer. A brochure used by defendant listed as one of the services of Rose Villa, 'Complete medical and hospital insurance * * * provided under a group contract.' The brochure further recited: 'This insurance includes complete care by a physician of your choice, all necessary medical and/or nursing care, plus services rendered by special nurses and ambulance services. Inasmuch as this is a non-profit service, the cost of insurance will be reviewed each six months and adjusted up or down, depending on the actual costs.'

At the time plaintiffs were admitted defendant's monthly medical fee was $15.00 per person. At that time the residents of Rose Villa were covered by a contract with OPS. Effective February 1, 1961 defendant cancelled the contract with OPS and commenced a program of self insurance whereby medical care was paid for by defendant from the medical fees collected monthly from the residents....

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1 practice notes
  • Bollenback v. Continental Cas. Co.
    • United States
    • Supreme Court of Oregon
    • 25 May 1966
    ...394, 167 P. 308 (1917). In equity, Mohr v. Lear, 239 Or. 41, 395 [243 Or. 503] P.2d 117 (1964); Pickard v. Oregon Senior Citizens, Inc., 238 Or. 359, 395 P.2d 168 The right to rescind is dependent upon placing the other party to the contract in statu quo ante, with some exceptions not impor......
1 cases
  • Bollenback v. Continental Cas. Co.
    • United States
    • Supreme Court of Oregon
    • 25 May 1966
    ...394, 167 P. 308 (1917). In equity, Mohr v. Lear, 239 Or. 41, 395 [243 Or. 503] P.2d 117 (1964); Pickard v. Oregon Senior Citizens, Inc., 238 Or. 359, 395 P.2d 168 The right to rescind is dependent upon placing the other party to the contract in statu quo ante, with some exceptions not impor......

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