Judge: Elaine W. Mandel, Case: 24SMCV01329, Date: 2024-05-16 Tentative Ruling

Case Number: 24SMCV01329    Hearing Date: May 16, 2024    Dept: P

Tentative Ruling

Bank of Southern California v. 1743 Butler LLC, et al., Case No. 24SMCV01329

Hearing Date: May 16, 2024

Plaintiff’s OSC Re: Preliminary Injunction– UNOPPOSED

This is an OSC for a preliminary injunction to stop defendant borrower from dissipating rents from the subject property. The underlying action alleges borrower failed to pay back the amount owed under the parties’ agreement for a loan of $6,150,000. No opposition has been filed.

A preliminary injunction will issue if 1) moving party is likely to suffer greater injury from a denial than the non-moving party is likely to suffer from its grant, and 2) a reasonable probability that the moving party will prevail on the merits. IT Corp. v. County of Imperial (1983) 35 Cal.3d 63, 69-70. When a strong showing is made on one of these two elements, the showing as to the other element does not need to be as strong. Right Site Coalition v. Los Angeles Unified School District (2008) 160 Cal.App.4th 336, 339. A preliminary injunction will only be issued if money damages would be an inadequate remedy. Tahoe Keys Prop. Owners’ Assoc. v. State Water Resources Control Bd. (1994) 23 Cal.App.4th 1459, 1471.

A preliminary injunction is generally designed to preserve the status quo, but a preliminary injunction that to some extent alters the status quo can be issued in “extreme cases where the right thereto is clearly established.”  Integrated Dynamic Solutions, Inc. v. Vitavet Labs, Inc. (2016) 6 Cal.App.5th 1178, 1184.

The plaintiff seeks relief, arguing it will face irreparable harm, and asks the court to order a preliminary injunction to protect plaintiff’s rights and interest in the subject property. The plaintiff demonstrates it would likely face a greater injury from a denial than defendant without appointment of a receiver. Plaintiff contends that without a receiver, borrower will simply utilize the interim period to continue to collect rent, not pay property taxes, and otherwise fail to fulfill financial and other obligations associated with the property. Nutz Decl. ¶ 22.

Defendants do not file opposition. GRANTED.