Judge: Elaine W. Mandel, Case: 22SMCV00824, Date: 2023-01-06 Tentative Ruling

Case Number: 22SMCV00824    Hearing Date: January 6, 2023    Dept: P

Tentative Ruling

Novian & Novian, LLP v. Clark et al., Case No. 22SMCV00824

Hearing Date January 6, 2022

Plaintiff/Judgment Creditor Novian & Novian’s Motion for Charging Order against Defendant/Judgment Debtor Clark (UNOPPOSED)

Novian has an unsatisfied default judgment of $426,526.40 against Clark. Novian states Clark is active in the restaurant industry and operates two Harold’s Chicken restaurants through a pair of LLCs. Novian claims Clark is an owner and member of both LLCs – the sole owner and member of one – and seeks a charging order against both entities.

A judgment debtor’s interest in a partnership or LLC may be applied toward the satisfaction of the judgment by an order charging the debtor’s interest. Cal. Code of Civ. Proc. §708.310. A court may appoint a receiver of the share of distributions due or to be become due to the judgment debtor in respect to the LLC. Cal. Corp. Code §17302(a).

Novian provides the statements of information for Harold’s Chicken West Coast, LLC and Harold’s Chicken West Coast – Culver City LLC, both identifying judgment debtor Clark as a member. Novian decl. exhibits B, C. As there is no opposition, there is no basis for the court to doubt Clark’s status as a member of the LLCs. Because there is an outstanding judgment against Clark, and she has an interest in two LLCs, Novian is entitled to a charging order under §708.310. GRANTED.