Judge: John J. Kralik, Case: 20BBCV00259, Date: 2024-04-05 Tentative Ruling
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Case Number: 20BBCV00259 Hearing Date: April 5, 2024 Dept: NCB
North Central District
LIBERTY MUTUAL FIRE INSURANCE COMPANY,
Plaintiff, v.
PERFECTION CABINETS, INC.,
Defendant. |
Case No.: 20BBCV00259
Hearing Date: April 5, 2024 [TENTATIVE] ORDER RE: MOTION FOR ORDER SETTING ASIDE DISMISSAL AND ENTERING JUDGMENT PURSUANT TO PARTIES’ STIPULATION FOR ENTRY OF JUDGMENT |
BACKGROUND
A. Allegations
Plaintiff Liberty Mutual Fire Insurance Company (“Plaintiff”) filed a complaint on April 1, 2020 for failure to pay insurance premiums against Defendant Perfection Cabinets, Inc. (“Defendant”). Plaintiff alleges that Defendant applied for an insurance policy from Plaintiff and Plaintiff issued policy numbers: (a) WC2-Z91-458052-015 for the period from November 14, 2015 to November 14, 2016 and (b) policy number WC2-Z91-458052-016 for the period from November 14, 2016 to November 14, 2017. This policy was canceled on May 24, 2017. Plaintiff alleges that on November 14, 2017, Defendant became indebted to Plaintiff in the amount of $39,649.91 for unpaid premiums under the policies. Plaintiff alleges that though demand was made for the unpaid amounts, no part of the balance has been paid. Plaintiff alleges that 10% interest per annum starting from November 14, 2017, is also due and owing.
B. Relevant Background and Motion on Calendar
On October 14, 2022, the parties filed a Stipulation of All Parties to Dismiss Action without Prejudice with the Court Retaining Jurisdiction to Enforce the Settlement Pursuant to CCP § 664.6 (“Stipulation”).
On October 17, 2022, the Court held a Non-Jury Trial and Final Status Conference. The Court noted that the parties submitted the Stipulation and Order to Dismiss, but that no order had been submitted for the Court’s signing. The Court, pursuant to an oral request made by Plaintiff’s counsel, ordered Plaintiff’s complaint to be dismissed without prejudice. The Court retained jurisdiction to make orders to enforce any and all terms of settlement, including judgment, pursuant to CCP § 664.6.
On February 7, 2024, Plaintiff filed a motion to set aside the dismissal and enter judgment pursuant to the parties’ Stipulation for entry of judgment.
The Court is not in receipt of an opposition brief.
DISCUSSION
Plaintiff moves for an order setting aside the dismissal and entering judgment pursuant to the Stipulation.
The Stipulation was filed on October 14, 2022. It states that the parties have agreed that Defendant will make 13 monthly settlement payments to Plaintiff, beginning October 20, 2022 and that the action will be dismissed without prejudice. (Stipulation at ¶¶B-C.) The Stipulation provides that the parties agreed that the Court shall retain jurisdiction over the action pursuant to CCP § 664.6 to enforce the settlement’s terms, including entering judgment to set aside the dismissal and entry judgment upon showing that Defendant was in default in its performance of the terms. (Id. at ¶C.) The Stipulation is signed by Plaintiff, Defendant, and the parties’ counsel.
The parties also entered the Stipulation re: Entry of Judgment. (Mot. at Ex. 1.) The Stipulation re: Entry of Judgment states that Judgment shall be entered in favor of Plaintiff for the principal ($39,649.91), interest ($19,471.98), and costs ($541.36) for the total sum of $59,663.24. (Stipulation re: Entry of Judgment, ¶1.) It states that Plaintiff shall hold the Stipulation in trust and not file it with the Court so long as Defendant pays the sum of $15,859 to Plaintiff by making payments of $1,200 per month beginning October 20, 2022 until the sum of $15,859 was paid. (Id., ¶2.) It states that in the event payment is not timely received, Plaintiff is entitled to file the Stipulation re: Entry of Judgment without notice and that the declaration of Plaintiff’s counsel is sufficient to establish the date of the default and the monies paid. (Id., ¶¶6-7.) Defendant waives all rights to a hearing upon entry of judgment and any statutory notice. (Id., ¶10.) The Stipulation re: Entry of Judgment is signed by the parties and their counsel.
Plaintiff’s counsel, Rodolfo Gaba, Jr., states that on October 1, 2023 and each month thereafter, Defendant has defaulted on the terms of the Stipulation by failing to make the scheduled payments thereon in the sum of $1,200 per month. (Gaba Decl., ¶5.) He states that on December 4, 2023, his firm sent defense counsel a written Notice of Default. (Id., ¶6, Ex. 3.) He states that, to date, Defendant has paid a total of $14,659 pursuant to the Stipulation. (Id., ¶7.) He states that the Stipulation provides that upon default, Plaintiff is entitled to judgment in the sum of $45,004.24, inclusive of credits applied for payments made under the Stipulation. (Id., ¶8.) This amount was calculated by taking the $39,649.91 amount in principal, $19,471.98 amount in interest, $541.35 amount in costs, $0 in attorney’s fees, with a credit of $14,659 in payments received, for a total judgment amount of $45,004.24. (Id., ¶9.)
Based on the terms of the Stipulation and Defendant’s default by failure to make further payments pursuant to the monthly payment schedule, the Court finds there is substantive merit to granting the motion to enforce the Stipulation.
Thus, the motion to vacate the dismissal and enter judgment pursuant to the terms of the Stipulation is granted.
CONCLUSION AND ORDER
Plaintiff Liberty Mutual Fire Insurance Company’s motion to set aside the dismissal and enter judgment pursuant to the parties’ Stipulation for entry of judgment is granted in the amount of $45,004.24.