Judge Katherine Chilton, Case 21STLC08416 2022-12-14 Tentative Ruling

Plaintiff Interinsurance Exchange of the Automobile Club’s Motion to Enforce Settlement and Enter Judgment is GRANTED. Judgment is entered for Plaintiff and against Defendant Eladio Hernandez for $10,263.30 as follows: $8,304.58 (principal amount), $1,733.72 (interest), and $225.00 (costs).

On November 24, 2021, Plaintiff Interinsurance Exchange of the Automobile Club (“Plaintiff”) filed an action against Defendants Eladio Hernandez (“Hernandez”) and Fernando Pachecomijangos (“Pachecomijangos”), (collectively “Defendants”), for subrogation, stemming from an automobile collision between Defendant Hernandez, on the one hand, and an individual insured by Plaintiff’s automobile insurance policy, on the other hand. (Compl.) Defendant Pachecomijangos is the alleged owner of the vehicle operated by Defendant Hernandez at the time of the collision. (Compl. ¶ 5.) Plaintiff compensated the insured for claimed damages in the amount of $9,604.58 and filed the instant claim against Defendants for allegedly causing the damages. (Ibid. pp. 3-4.)

No responsive pleadings were filed, so on March 9, 2022, pursuant to Plaintiff’s request, the Court entered default against Defendant Hernandez. (3-9-22 Request for Entry of Default/Judgment.)

On September 15, 2022, Plaintiff filed the instant Motion to Enforce Settlement Agreement and Enter Judgment (“Motion”).

CCP § 664.6, provides a summary procedure that enables judges to enforce a settlement agreement by entering a judgment pursuant to the terms of the parties’ settlement. In particular, the statute provides:

(a) If parties to pending litigation stipulate, in a writing signed by the parties outside of the presence of the court or orally before the court, for settlement of the case, or part thereof, the court, upon motion, may enter judgment pursuant to the terms of the settlement. If requested by the parties, the court may retain jurisdiction over the parties to enforce the settlement until performance in full of the terms of the settlement.

(b) For purposes of this section, a writing is signed by a party if it is signed by any of the following:

(3) If the party is an insurer, an agent who is authorized in writing by the insurer to sign on the insurer's behalf.

On March 16, 2022, Plaintiff and Defendant Hernandez agreed to settle the case and entered into a Stipulation for Entry of Judgment and Installment Payments (“Stipulation”). (Tapper Decl. ¶ 2, Ex. A.) According to the Stipulation, the Court would retain jurisdiction to enforce the settlement. (Ibid. at ¶¶ 2-3, Ex. A – Stip. ¶ 9.)[1]

The Stipulation states that Defendant Hernandez must make an initial payment of $1,300.00 on or before March 28, 2022, and subsequent monthly payments in the amount of $250.00 on or before the 28^th of each month, beginning on March 28, 2022. (Ibid. at ¶ 3; Ex. A - Stip. ¶ 2.) The final payment will consist of $54.68, to be paid on or before January 28, 2025. (Ibid.) Once the settlement amount of $9,604.58 is paid off, the action against Defendants will be dismissed. (Ex. A. – Stip. ¶ 3.) The Stipulation also provides that in the event Defendant Hernandez fail to make monthly payments, Plaintiff may request that the Court enter judgment against Defendant by filing a declaration of Plaintiff’s counsel of record. (Ex. A – Stip. ¶¶ 5-6.) Plaintiff is not obligated to notify Defendant of its intent to submit the request for judgment to the Court. (Ex. A – Stip. ¶ 7.) Judgment may be entered for the principal amount of $9,604.58, minus payments made, plus interest at the rate of ten (10) percent from August 17, 2020, and court costs. (Ex. A – Stip. ¶¶ 1, 5.)

On September 15, 2022, Plaintiff filed the instant Motion alleging that Defendant breached the Stipulation and seeking judgment against Defendant pursuant to Code of Civil Procedure §§ 187 and 664.6. (Mot. pp. 1-2.) Defendant made payments in the amount of $1,300.00; however, no payments have been made since March 29, 2022. (Tapper Decl. ¶¶ 3-4.) Thus, Plaintiff requests judgment to be entered against Defendant in the amount of $10,263.30 as follows: $8,304.58 (principal amount), $1,733.72 (interest accrued at a rate of 10% per annum), and $225.00 (costs for filing and service of process fees). (Ibid. at ¶ 5.)

The Court finds the Stipulation to be valid and enforceable under Code of Civil Proc. § 664.6. Pursuant to the Stipulation, Plaintiff has filed a declaration from its counsel stating that Defendant has defaulted on the payments. Thus, a valid and signed stipulation agreement was breached and the Court retained jurisdiction to enter judgment upon breach. The Stipulation also allows for interest and costs and the Court finds Plaintiff’s request to be reasonable.

The Court notes that it is unclear whether Plaintiff is seeking judgment against Defendant Hernandez or both Defendants, Hernandez and Pachecomijangos, since there are references to both “Defendant” and “Defendants” in the Motion and Plaintiff’s Counsel’s declaration. However, the Court relies on the Proposed Judgment and the Stipulation, which was signed by Defendant Hernandez, to conclude that Plaintiff is seeking a judgment against Defendant Hernandez.

Accordingly, Plaintiff’s Motion to Enforce Settlement and Enter Judgment is GRANTED. Judgment is entered for Plaintiff and against Defendant Hernandez in the amount of $10,263.30 as follows: $8,304.58 (principal amount), $1,733.72 (interest accrued at a rate of 10% per annum), and $225.00 (costs for filing and service of process fees).

[1] The Court notes Plaintiff’s failure to submit a stipulation to the Court, requesting dismissal of the case subject to CCP §664.6 and requests that it do so in the future.