Judge: Alison Mackenzie, Case: 22STCV04300, Date: 2024-04-18 Tentative Ruling

Case Number: 22STCV04300    Hearing Date: April 18, 2024    Dept: 55

NATURE OF PROCEEDINGS: Motion to be Relieved as Attorney of Record.

BACKGROUND

LOU KERNER (Plaintiff) filed a Second Amended Complaint, alleging that SRAX, INC. and BIG TOKEN, INC. (Defendants) breached a written agreement to employ Plaintiff as CEO, by terminating his employment based upon pretexts of self-dealing and conflicts of interest, and refusing to pay monetary severance pay and to deliver stock options. The causes of action are: 1) Breach of Employment Agreement; 2) Wrongful Termination; and 3) Inducing Breach of Contract.

Counsel JACKSON LEWIS P.C. moves to be relieved as counsel of record for Defendants, declaring: “Professional Considerations require termination of representation. See ABA Opinion 476.”

LEGAL STANDARD

“The determination whether to grant or deny an attorney’s motion to withdraw as counsel of record lies within the sound discretion of the trial court, having in mind whether such withdrawal might work an injustice in the handling of the case.” Lempert v. Sup. Ct. (2003) 112 Cal.App.4th 1161, 1173.

Additionally, ABA Formal Opinion 476 (12/19/2016) is entitled, “Confidentiality Issues when Moving to Withdraw for Nonpayment of Fees in Civil Litigation.”

ANALYSIS

Here, the form notice, declaration, proposed order, and proof of service sufficiently comply with the requirements for a motion to be relieved as counsel. See Cal. Rules of Court, rule 3.1362.

Further, moving counsel’s declaration shows a cognizable ground for withdrawal: Client breaches an agreement or obligation to the member as to expenses or fees. Rules Prof. Conduct, rule 1.16; Lempert v. Sup. Ct. (2003) 112 Cal.App.4th 1161, 1173.

Finally, no opposing document has been filed showing any prejudice to the client. See Rules Prof. Conduct, rule 1.16(d).

CONCLUSION

Therefore, the motion is granted, and the Court will sign the proposed order submitted by counsel. The Court will also set an OSC re Defendants obtaining new counsel at the hearing.