Judge: John J. Kralik, Case: 22BBCP00084, Date: 2022-10-14 Tentative Ruling

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Case Number: 22BBCP00084    Hearing Date: October 14, 2022    Dept: NCB

Superior Court of California

County of Los Angeles

North Central District

Department B

BACKGROUND

A.    Allegations and Relevant Background

            On March 2, 2022, Plaintiff Patterson Dental Supply, Inc. (“Plaintiff”) filed an Application for Entry of Judgment on Sister-State Judgment and Issuance of Writ of Execution or Other Enforcement against Defendants/Judgment Debtors Alexander I. Gerbakher, individually and d/b/a A2Z Dental Care and Alexander Gerbakher, D.M.D., Corp. d/b/a A2Z Dental Care (“Defendants”).  Plaintiff seeks a total judgment in the amount of $114,859 against Defendants based on a sister state judgment that was entered in the District Court of Minnesota, First Judicial District, County of Dakota on January 3, 2022.  (App. at § 3.)

            On March 2, 2022, the Judgment Based on Sister-State Judgment (CCP § 1710.25) was entered in the amount of $114,424, plus filing fees of $435 by the Clerk of the Superior Court of California, County of Los Angeles.  On March 2, 2022, Plaintiff filed the Notice of Entry of Judgment on Sister-State Judgment.

            On May 2, 2022, the Clerk of the Court issued the Abstract of Judgment – Civil and Small Claims against Alexander I. Gerbakher, individual and d/b/a A2Z Dental Care in the amount of $114,859.  That same day, a Writ of Execution (money judgment) and Possession of Personal Property was entered in the amount of $114,899.

B.     Motion on Calendar  

On June 6, 2022, Plaintiff filed a motion for assignment order and for order restraining judgment debtors.

The Court is not in receipt of an opposition brief.

DISCUSSION

            Plaintiff moves for an order instructing Judgment Debtors Alexander I. Gerbakher, individually and d/b/a A2Z Dental Care and Alexander Gerbakher, D.M.D., Corp. d/b/a A2Z Dental Care to assign their interest in all rights to payment generated by Dr. Gerbakher’s dental practice, including their right to payment from other third parties to the extent necessary to pay Plaintiff’s judgment (including accrued interest and post-judgment costs) in full.  Plaintiff also seeks an order retraining Defendants from encumbering, assigning, disposing, or transferring any of the rights to payment.  The judgment amount is in the total principal sum of $114,859. 

            Plaintiff is informed and believes that the following rights to payment of money in the form of cash, checks, money orders, and other forms of legal currency, professional fees, accounts receivable, general intangibles, revenue commissions, sales revenues, subscription revenues, residuals, etc., is due or will become due to Defendants either personally or through/from its dental practice from the following entities and their subsidiaries: (a) Aetna, Inc. (b) Blue Cross of California; (c) Blue Shield of California; (d) Cigna Group Insurance; (e) Delta Dental Plan of California; (f) First Dental Health; (g) Great-West Employee Benefits; (h) Guardian Life Insurance Co.; (i) Health Net of California; (j) Jefferson Pilot Financial Insurance Co.; (k) John Hancock Financial Services, Inc.; (l) Pacific Union Dental; (m) PacifiCare of California; (n) Principal Financial Group; (o) The Standard; P. United Concordia Companies, Inc.; (q) United States Life/American; (r) Unum Provident; (s) Western Dental Services, Inc.; (t) Connecticut General Life Insurance Company (and its subsidiaries); (u) Dental Network of America; (v) Metlife (and its subsidiaries); (w) United Healthcare Dental; (x) Dental Network of America; (y) Ameritas; (z) Assurant DHA Premier; and various other health care insurance companies.  (Tiberi Decl., ¶6.) 

A.    Assignment Order

CCP § 708.510(a) provides: “Except as otherwise provided by law, upon application of the judgment creditor on noticed motion, the court may order the judgment debtor to assign to the judgment creditor … all or part of a right to payment due or to become due, whether or not the right is conditioned on future developments….”   The motion must be served on the judgment debtor, personally or by mail.  (CCP § 708.510(b).)  In order to determine whether to order an assignment or the amount of an assignment, the court may take into consideration all relevant factors, including:

(1) The reasonable requirements of a judgment debtor who is a natural person and of persons supported in whole or in part by the judgment debtor.

(2) Payments the judgment debtor is required to make or that are deducted in satisfaction of other judgments and wage assignments, including earnings assignment orders for support.

(3) The amount remaining due on the money judgment.

(4) The amount being or to be received in satisfaction of the right to payment that may be assigned.

(CCP § 708.510(c).)  Finally, a right to payment may be assigned only to the extent necessary to satisfy the money judgment.  (CCP §708.510(d).)

The Court considers the factors under CCP § 708.510(c).

First, the judgment debtors are Dr. Gerbakher (individually and d/b/a A2Z Dental Care; a natural person) and Alexander Gerbakher, D.M.D., Corp. (d/b/a A2Z Dental Care; a corporation).  Dr. Gerbakher is a dentist.  (Tiberi Decl., ¶9.)  However, Plaintiff has not discussed whether there are persons who are supported in whole or in part by Dr. Gerbakher. 

Second, Plaintiff’s counsel, Sandra I. Tiberi, states that Plaintiff has no information that the rights to the various forms of payment listed above have been previously assigned.  (Tiberi Decl., ¶8.)

Third, Plaintiff has informed the Court that the amount remaining due on the money judgment is $114,859, plus post judgment interest at 10%; this total excludes interest and post-judgment costs.  (Tiberi Decl., ¶¶4, 10.)  Plaintiff’s counsel states that the Sister State Judgment is enforceable and unpaid.  (Id., ¶5.)   

            Fourth, Plaintiff seeks an assignment of Defendants’ interests and rights to said monies specified above to be assigned towards the satisfaction of the outstanding judgment.  (Tiberi Decl., ¶7.)  Thus, it appears that Plaintiff seeks the entirety of the income/assets/monies due to Defendants to be assigned towards satisfaction of the judgment.  Ms. Tiberi states that Defendants have no other discoverable assets at this time in which Plaintiff may reasonably attach, seize, or levy upon to reduce and/or satisfy its judgment.  (Id., ¶10.) 

Since the judgment has not been satisfied, there are grounds to issue an assignment order pursuant to CCP § 708.510.  While the Plaintiff has not fully addressed every aspect of section 708.510, the unaddressed factors are matters that are principally within the knowledge of Defendants, and Defendants have elected not to contest this order. Therefore, the Court will issue an assignment order, to the extent necessary to satisfy Plaintiff’s judgment.  

B.     Restraining Order 

Plaintiff also requests an order restraining Defendants from assigning or otherwise disposing of their right to payment pursuant to CCP § 708.520. 

            CCP § 708.520 provides that when an application is made under CCP § 708.510 (re assignment orders), the judgment creditor “may apply to the court for an order restraining the judgment debtor from assigning or otherwise disposing of the right to payment that is sought to be assigned. The application shall be made on noticed motion if the court so directs or a court rule so requires.”  (CCP § 708.520(a).)  “The court may issue an order pursuant to this section upon a showing of need for the order. The court, in its discretion, may require the judgment creditor to provide an undertaking.”  (CCP § 708.520(b).)  “The court may modify or vacate the order at any time with or without a hearing on such terms as are just.”  (CCP § 708.520(c).)

            The Court will issue the requested restraining order at this time and it will last until the judgment is paid in full. 

CONCLUSION AND ORDER

Judgment Creditor/Plaintiff Patterson Dental Supply, Inc.’s motion for assignment order and for order restraining Judgment Debtors/Defendants Alexander I. Gerbakher, individually and d/b/a A2Z Dental Care and Alexander Gerbakher, D.M.D., Corp d/b/a A2Z Dental Care is granted.  Plaintiff is ordered to submit a proposed order.

Plaintiff shall provide notice of this order.