Judge: Glenda Sanders, Case: 2016-00874017, Date: 2022-09-09 Tentative Ruling

1. Motion to Substitute in Chicago Title Insurance Company as Cross- Complainant 

2. Status Conference

Motion to Substitute in Chicago Title Insurance

No one has opposed this motion and it appears to have been properly served. The Court grants this Motion but notes that in doing so the Court is not affirming moving parties’ statement that it approved the settlement agreement between JTH and Chicago Title when it ruled on a motion for good Faith settlement. (Mtn. at 7:11-18). In that ruling the Court granted a motion for good faith settlement involving a settlement agreement between JTH and Gainquick, whereas the agreement attached as Exhibit 2 to this motion is a settlement agreement between JTH and Chicago Title.

Ultimately, however, this fact does not affect the outcome. The settlement agreement presented to the court in support of the motion appears to be fully executed and no one has challenged it. Further, it does contain the subrogation clause quoted in the moving papers.

The JTH Cross-Complainants have shown that Chicago Title Insurance Company should be permitted to substitute into the action in the place of the JTH Cross-Complainants pursuant to CCP §368.5, as the JTH Cross-Complainants’ rights to pursue the claims asserted in the Cross-Complaint have been transferred to their insurer, Chicago Title Trustee as subrogee. (See Rousso Decl. ¶¶3-4; see also Allstate Ins. Co. v. Loo (1996) 46 Cal.App.4th 1794, 1799, as modified (Aug. 1, 1996)).

The unopposed motion brought by Cross-Complainants JTH Holdings, LLC and Danny Prosky and Zohar Prosky, as Trustees of the Danny & Zohar Prosky Family Trust for Order Substituting in Chicago Title Insurance Company as Cross-Complainant is GRANTED. Chicago Title shall amend the Cross-Complaint accordingly within 15 days of this order.

The court grants the JTH Cross-Complainants’ requests for judicial notice of Exhibits 1, 4 and 5 to the motion.

Moving parties to give notice.