Judge: H. Jay Ford, III, Case: 22SMCV00286, Date: 2022-10-04 Tentative Ruling

Case Number: 22SMCV00286    Hearing Date: October 4, 2022    Dept: O

            Case Name: 
The 1993 Farkhondehpur Family Trust v. Project Rumor LLC, et al.

SUBJECT:                 MOTION TO SET ASIDE/VACATE
DEFAULT AND/OR DEFAULT JUDGMENT

MOVING
PARTY:   Defendant Project Rumor LLC

RESP.
PARTY:         Plaintiff The 1993
Farkhondehpour Family Trust

TENTATIVE
RULING

            Defendant
Project Rumor LLC’s Motion to Set Aside/Vacate Default is GRANTED pursuant to
CCP §473(d).  Defendant Project Rumor LLC
was never properly served pursuant to CCP §415.20. 

            Defendant
Project Rumor LLC is a limited liability company.  Service of complaint and summons is governed
by CCP §415.20(a).  Under CCP §415.20(a),
“In lieu of personal delivery of a copy of the summons and complaint to the
person to be served as specified in Section 416.10…, a summons may be served by
leaving a copy of the summons and complaint during usual office hours in his or
her office or, if no physic address is known, at his or her usual mailing
addres, other than a United Postal Service post office box, with the person who
is apparently in charge thereof, and by thereafter mailing a copy of the
summons and complaint by first-class mail, postage prepaid to the person to be
served at the place where a copy of the summons and complaint were left.”

            The
persons on whom service may be rendered on behalf of a limited liability
company is governed by Corporations Code §17701.16.  Section 17701.16(b) provides, service on a
limited liability company may be done by “[p]ersonal service…(1) to any
individual designated by it as agent, or (2) if the designated agent is a
corporation, to any person named in the latest certificate of the corporate
agent filed pursuant to Section 1505 at the office of the corporate agent,
shall constitute valid service on the limited liability company or the foreign
limited liability company.”  In addition,
to this method of service, an LLC may be served by substitute service on the
designated agent pursuant to CCP §415.20(a). 
See Corporations Code §17701.16(a). 

            Plaintiff
submitted two proofs of service in support of the requests to enter default and
default judgment.  The POS indicating
substituted service at 10350 Wyton Drive, Los Angeles, CA 90024 on 3-15-22 is
defective.  See Opposition filed
on 9-16-22, Dec. of U. Ekekeulu, Ex. A.  Item
3b is not complete, nor does the POS indicate anywhere that sub-service was
rendered on the designated agent of Project Rumor LLC, Ravi Patel.  Id.; see Dec. of A. Jaafari
filed on 7-28-22, ¶3, Ex. 1. 

            In
addition, Patel’s address as designated agent is N8995 County Road DK,
Luxemborg, Wisconsin 54217.  See
Dec. of A. Jaafari filed on 7-28-22, ¶3, Ex. 1. 
The service address on the POS indicating substitute service is the
lease address, 10350 Wynton Dr, LA, CA 90024, not Project Rumor LLC’s address
or the address of its designated agent.  See
Opposition filed on 9-16-22, Dec. of U. Ekekeulu, Ex. A.  The POS of substituted service is therefore
improperly completed and does not evidence proper service.

            The
second POS submitted by Plaintiff is an “Affidavit of Service on Project Rumor
LLC” signed by Deborah Nelson.  See
Opposition filed on 9-16-22, Dec. of U. Ekekeulu, Ex. A.  Nelson testifies that she “served” the
complaint and summons on “Sahl Patel, authorized agent to accept service on
March 17, 2022.”  Id.  Nelson served “Sahl Patel” at 8995 Country
Road DK, Luxemburg, Wisconsin 54217.  Id.  Nelson does not indicate how the papers were
served on “Sahl Patel,” personal service, substitute service, service by mail.

            The
Nelson POS is defective and fails to establish proper service on Project Rumor
LLC pursuant to Corporations Code §17701.16 or CCP §415.10, et seq.  Ravi Patel, not Sahl Patel, is the registered
agent of Project Rumor LLC. 

            Nelson
also fails to identify what method of service was used.  Nelson’s POS does not comply with the evidentiary
requirements applicable to proofs of service under CCP §§417.10 and 417.20 (if
served by personal or sub-service, affidavit of service must show “time, place
and manner of service and facts showing that the service was made in accordance
with this chapter”).

            Plaintiff
failed to properly serve Defendant with the complaint and summons.  The Court did not have jurisdiction to enter
default or default judgment against Defendant on that basis.  The default and default judgment entered on 4-14-22
and 5-12-22 against Project Rumor LLC is vacated pursuant to CCP §473(d).