Judge: Cherol J. Nellon, Case: BC613244, Date: 2024-05-21 Tentative Ruling

Case Number: BC613244    Hearing Date: May 21, 2024    Dept: 14

Mego v. Nulife

Case Background

On March 10, 2016, Plaintiff Gustavo Mego filed his Complaint for various violations of the Labor Code against Defendants Nulife Recovery, LLC (“Nulife Recovery”), Kage Njaka (“Njaka”), J.D. Meints (“Meints”) and DOES 1-50.

On December 4, 2017, the defaults of Defendants Nulife Recovery, Njaka, and Meints were entered.

On February 8, 2018, this court entered default judgment against Defendants Nulife Recovery, LLC, Kage Njaka, and J.D. Meints and in favor of Plaintiff, awarding $219,056.67. On the same date, this court ordered that Defendant DOES 1-50 be dismissed.

Instant Motion

            Judgment Creditor now moves this court for an order instructing Judgment Debtor Meints to assign assets pursuant to Code of Civil Procedure § 708.51, which include the following: “accrued interest through the date of payment, Debtor’s interest, right to payment due, or to become due, in wages, salaries, rent, referral fees, advances, bonuses, royalties, commissions, payments in general, payments from rent, investments, refinances, transfers, encumbrances, payments from a patent or copyright, advances, accounts receivable, general intangibles (as defined by Cal. U. Com. Code, § 9102,(a)(42), judgments, instruments (as defined by Code Civ. Proc., § 708.510,(a) and the comment to Code Civ. Proc., § 708.510), etc. (the “Funds”) from all third parties, including, but not limited to Kleer Health Technologies, LLC, a California Limited Liability Company.” (Notice of Motion at pg. iv.)

Judgment Creditor seeks to have these Funds assigned to himself, to the extent necessary to pay the debt. Additionally, Judgment Creditor seeks an order restraining Judgment Debtor Meints from otherwise disposing of or encumbering his right to these Funds.

Decision

The motion is GRANTED.

Governing Statute

Code of Civil Procedure § 708.510 provides in relevant part:

“(a) Except as otherwise provided by law, upon application of the judgment creditor on noticed motion, the court may order the judgment debtor to assign to the judgment creditor or to a receiver appointed pursuant to Article 7 (commencing with Section 708.610) all or part of a right to payment due or to become due, whether or not the right is conditioned on future developments, including but not limited to the following types of payments:
(1) Wages due from the federal government that are not subject to withholding  under an earnings withholding order.
(2) Rents.
(3) Commissions.
(4) Royalties.
(5) Payments due from a patent or copyright.
(6) Insurance policy loan value.

(b) The notice of the motion shall be served on the judgment debtor. Service shall be made personally or by mail.

(c) Subject to subdivisions (d), (e), and (f), in determining whether to order an assignment or the amount of an assignment pursuant to subdivision (a), the court may take into consideration all relevant factors, including the following:

(1) The reasonable requirements of a judgment debtor who is a natural person and of persons supported in whole or in part by the judgment debtor.
(2) Payments the judgment debtor is required to make or that are deducted in satisfaction of other judgments and wage assignments, including earnings assignment orders for support.
(3) The amount remaining due on the money judgment.
(4) The amount being or to be received in satisfaction of the right to payment that may be assigned.

(d) A right to payment may be assigned pursuant to this article only to the extent necessary to satisfy the money judgment.”

Discussion

            The entire amount remains due on the money judgment, and taking into account an interest rate of 10% per annum, commencing on February 9, 2018 and costs incurred, the judgment amount is now $360,484.89. (Declaration of Paul Cullen ¶¶ 3-10, Ex. A-C.). For this reason, Judgment Creditor requests an assignment order for payments due to Judgment Debtor Meints from third parties such as Kleer Health Technologies, LLC.  It was discovered that Judgment Debtor Meints organized this corporation on March 24, 2020. (Id. at ¶¶ 15-16, Ex. E.) Service of this motion was provided to all affected parties pursuant to Code of Civil Procedure § 708.510(b). Because the entire balance of the judgment remains outstanding, the Court finds that it is appropriate to assign Judgment Debtor’s Meints’ right to payment from third-parties including but not limited to Kleer Health Technologies LLC. Additionally, to ensure that the judgment is satisfied to its full amount, Judgment Debtor Meints is retrained from assigning or disposing of his right to payment. (Code Civ. Proc. § 708.520.)

Conclusion

Accordingly, because the requested relief is appropriate under Code of Civil Procedure §§ 708.510 and 708.520, the motion is GRANTED.