Judge: Jon R. Takasugi, Case: 23STCV02320, Date: 2024-02-02 Tentative Ruling

Case Number: 23STCV02320    Hearing Date: February 2, 2024    Dept: 17

Superior Court of California

County of Los Angeles

DEPARTMENT 17

TENTATIVE RULING

All In Credit Union (AICU)’s motion for leave to amend to file a FAXC is GRANTED.

On 2/20/2023, Plaintiff Alex Contreras (Plaintiff) filed suit against Entron Holding, Inc., All in Federal Credit Union, and American Contractors, Indemnity Company, alleging: (1) violation of the Consumer Legal Remedies Act; (2) violation of Business and Professions Code section 17200; (3) failure of consideration; (4) violation of the Song-Beverly Act; (5) breach of the implied warranty of merchantability; (6) breach of implied warranty of fitness; and (7) violation of Business and Professions Code section 7071.5.

            Now, Defendant/Cross-Complainant All In Credit Union (AICU) moves for leave to file a First Amended Cross-Complaint (FAXC).

Factual Background

            Plaintiff alleges that on 2/11/2021, Plaintiff entered into a Home Installation Agreement with Entron for the sale and installation of a photovoltaic system (PVS) at Plaintiff’s residence. Plaintiff allegedly entered into a loan agreement with All in Credit Union to finance this purchase.

            Plaintiff alleges that the contract price included relocation of an electrical panel. Entron allegedly attached the PVS modules to the roof, and then informed Plaintiff that the electrical panel relocation was too difficult to include in the contract price. Entron then allegedly demanded $2,000.00 to relocate the electrical panel, then increased the demand to $8,000. When Plaintiff refused to sign a Contract addendum that did not include a price, Entron allegedly ceased communications with Plaintiff.

Plaintiff subsequently hired an independent electrician to move the electrical panel for $10,000.00 and allegedly called Entron to complete the installation of the PVS. Entron has allegedly refused to do so.

Discussion

            AICU seeks leave to file a FAXC in order to make the following amendments: (1) the addition of Cross-Defendant, Sunlight financial LLC for breach of contract; and (2) the addition of Entron Holding Inc. dba Enerpower’s alleged owners/alter egos, Brandon Carl Pattillo and Vanessa Pattillo.

            AICU argues that good cause exists to grant leave because AICU only recently learned of the supporting facts to add these Defendants. More specifically, on 9/19/2023, AICU learned that Entron did not obtain permits to do the solar panel work, and shortly went out of business after receiving the money from AICU. AICU contends that it had contracted with Sunlight Financial LLC to vet and properly screen and monitor solar contracts such Entron, and thus its failure to screen/monitor Entron (in light of the new discovery of Entron’s conduct) gives rise to a claim against it.

            After review, the Court agrees that leave to amend is appropriate here. The policy favoring leave to amend is so strong that it is an abuse of discretion to deny an amendment unless the adverse party can show meaningful prejudice. (Atkinson v. Elk Corp. (2003) 109 Cal.App.4th 739, 761.) Here, no meaningful prejudice will result to any party given that trial is not until August 2024.

            Based on the foregoing, AICU’s motion for leave to amend to file a FAXC is granted.

It is so ordered.

Dated:  February    , 2024

   Hon. Jon R. Takasugi
   Judge of the Superior Court

Parties who intend to submit on this tentative must send an email to the court at smcdept17@lacourt.org by 4 p.m. the day prior as directed by the instructions provided on the court website at www.lacourt.org.  If a party submits on the tentative, the party’s email must include the case number and must identify the party submitting on the tentative.  If all parties to a motion submit, the court will adopt this tentative as the final order.  If the department does not receive an email indicating the parties are submitting on the tentative and there are no appearances at the hearing, the motion may be placed off calendar.  For more information, please contact the court clerk at (213) 633-0517.