Judge: Kimberly Knill, Case: 30-2022-01269337-CU-RI-CJC, Date: 2023-08-11 Tentative Ruling

Defendant Larry D. Vince’s Demurrer to Second Amended Complaint

Defendant Larry D. Vince’s Demurrer to Plaintiffs’ Second Amended Complaint (SAC) is SUSTAINED with 20 days leave to amend.

Plaintiffs’ Request for Judicial Notice of the 8/19/2022 Statement of Decision in OCSC Case No. 2018-00975081 is GRANTED.

Defendant demurs to the first cause of action for aiding and abetting breach of fiduciary duty, second cause of action for aiding and abetting breach of trust, and the seventh cause of action for unfair business practices.

Defendant Vince is an attorney who allegedly assisted Defendant Jeffrey Jacobson in “breaking” the family trust in 2002 and wrongfully transferring its assets to Jeffrey Jacobson. (SAC, ¶¶ 16, 77, 108.) Plaintiffs allege they learned of the scheme after receiving a 20,000-page document production in a related case on 7/9/2020. (SAC, ¶ 55.) They allege in 2006, as part of the scheme, Jeffrey Jacobson sold assets of the family trust and wrongfully received the proceeds of the sale. (SAC, ¶ 44.)

Plaintiffs’ claims against Defendant Vince are barred by the one-year statute of limitations in Code of Civil Procedure section 340.6, subdivision (a).

Plaintiffs contend section 340.6 does not apply because their claims are not based on the performance of professional services under Lee v. Hanley (2015) 61 Cal.4th 1225, 1234. However, Plaintiffs’ claims implicate Defendant’s professional duty to employ reasonable skill, prudence, and diligence in representing Jeffrey Jacobson, distinguishable from the claims in Lee which were incidental or ancillary to the provision of professional services itself. (Connelly v. Bornstein (2019) 33 Cal.App.5th 783, 794-796 [malicious prosecution claims governed by section 340.6.].)  

Plaintiffs’ claim under Business and Professions Code section 17200 is also governed by section 340.6. (Foxen v. Carpenter (2016) 6 Cal.App.5th 284, 296.)

Applying section 340.6, subdivision (a) here, Plaintiffs’ causes of action against Defendant Vince are untimely. Construing the SAC in the light most favorable to Plaintiffs, they allege Defendant Vince’s wrongful acts occurred in 2002, resulting in actual injury to Plaintiffs when Jeffrey wrongfully disposed of trust assets in 2006. (SAC, ¶¶ 44-46, 77.) Even assuming Defendant’s wrongful conduct was not discovered until July 2020 when documents were produced in the related case, Plaintiffs did not file this lawsuit until approximately two years later. Plaintiffs have not alleged facts supporting a timely claim against Defendant Vince under any provision of section 340.6.

Defendant Vince to give notice.