Judge: Latrice A. G. Byrdsong, Case: 20STLC09487, Date: 2024-01-23 Tentative Ruling

Case Number: 20STLC09487    Hearing Date: January 23, 2024    Dept: 25

Hearing Date:                         Wednesday, January 23, 2024

Case Name:                             STATE FARM MUTUAL AUTOMOBILE INSURANCE COMPANY v. GRACE VILLEGAS, et al.

Case No.:                                20STLC09487

Motion:                                   Motion to Set Aside Dismissal; and Enter Judgment (CCP 664.6)

Moving Party:                         Plaintiff State Farm Mutual Auto Insurance

Responding Party:                   None

Notice:                                    OK


 

Tentative Ruling:                    Plaintiff State Farm Mutual Automobile Insurance Co.’s Motion to Set Aside Dismissal and Enter Judgment is GRANTED, and judgment is entered for Plaintiff and against Defendant Villegas in the amount of $5,321.74.

 

Counsel for Plaintiff is ordered to electronically submit a proposed form of Judgment for the Court’s approval, within 10-days.


 

SERVICE: 

 

[X] Proof of Service Timely Filed (CRC, rule 3.1300)                      OK

[X] Correct Address (CCP §§ 1013, 1013a)                                      OK

[X] 16/21 Court Days Lapsed (CCP §§ 12c, 1005(b))                       OK 

 

OPPOSITION:          None filed as of January 09, 2024                  [   ] Late          [X] None 

REPLY:                     None filed as of January 16, 2024                  [   ] Late          [X] None 

 

BACKGROUND

 

On November 10, 2020, Plaintiff State Farm Mutual Automobile Insurance Company (“Plaintiff”) filed an action against Defendants Grace Villegas (“Villegas”) and Christofe Arnaud dba Blue La Car Sharing (“Arnaud”) (collectively “Defendants”) for subrogation, stemming from an automobile collision between Defendants and Plaintiff’s insured. Plaintiff sought damages in the amount of $6,168.92.

 

On June 23, 2021, Plaintiff amended its complaint to substitute Bluela Carsharing LLC for Doe 2 as a defendant to the subrogation action.

 

On June 25, 2021, Plaintiff requested dismissal of Defendant Arnaud from the case.

 

On August 10, 2021, Plaintiff moved for default to be entered against Defendant Bluela Carsharing LLC. The Clerk entered default against Defendant Bluela Carsharing LLC the same day.

On October 19, 2021, Plaintiff requested dismissal of Defendant Bluela Carsharing LLC from the case.

 

On December 23, 2021, Defendant Villegas filed her Answer.

 

On November 03, 2022, Plaintiff and Defendant Villegas filed a joint stipulation and order to continue trial on account that the parties were in settlement talks and close to resolving the case. The Court finding good cause ordered the trial be continued to December 13, 2022.

 

On December 13, 2022, the trial was placed off calendar as counsel for Plaintiff represented to the Court that the matter has settled.

 

On January 13, 2023, Plaintiff filed a Stipulation for Dismissal with Reservation to Vacate and Enter Judgment upon Breach (“Stipulation”), signed by both parties, to dismiss the action on the premise that Defendant Villegas would compensate Plaintiff for the settlement amount of $4,935.14. On January 24, 2023, the Court dismissed the entire case without prejudice pursuant to the Stipulation.  

 

On November 27, 2023, Plaintiff filed the instant Motion to Set Aside Dismissal and Enter Judgment (“Motion”).

                                   

No opposition has been filed.

 

MOVING PARTY POSITION

 

Plaintiff prays for the Court to set aside its dismissal and enter judgment against Defendant Villegas in the sum of $5,321.74 for the following: principal amount of $4,935.14, less $0.00 in payments made by Defendant, plus court cost in totaling $386.60 consisting of: $246.60 Complaint filing fee, $80.00 service of process fee, and $60.00 motion fee. Plaintiff argues that Defendant Villegas’ default in payments constituted a breach of the parties’ Stipulation, thus making Plaintiff entitled to an entry of judgment by the Court.

 

OPPOSITION

 

            No opposition has been filed.

 

REPLY

 

            No reply has been filed.

 

ANALYSIS

 

I.          Legal Standard

 Code of Civil Procedure section 664.6 (“CCP § 664.6”) states: “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.” (Code Civ. Proc., § 664.6, subd. (a) [emphasis added].) For purposes of the statute, “a writing is signed by a party if it is signed by any of the following [among other individuals]: (1) ¶ The party. (2) ¶ An attorney who represents the party.” (Code Civ. Proc., § 664.6, subd. (b) [emphasis added].)

 

“On a motion to enforce, the court must determine whether the settlement agreement is valid and binding. [Citation.] The court assesses whether the material terms of the settlement were reasonably well-defined and certain, and whether the parties expressly acknowledged that they understood and agreed to be bound by those terms. [In re Marriage of Assemi (1994) 7 Cal.4th 896, 911.]” (Estate of Jones (2022) 82 Cal.App.5th 948, 952.)

 

The court may interpret the terms and conditions of a settlement (Fiore v. Alvord (1985) 182 Cal.App.3d 561, 566), but the court may not create material terms of a settlement, as opposed to deciding what terms the parties themselves have previously agreed upon (Weddington Productions, Inc. v. Flick (1998) 60 Cal.App.4th 793, 810).

 

II.        Discussion

 

A. Retention of Jurisdiction

           

“‘[V]oluntary dismissal of an action or special proceeding terminates the court’s jurisdiction over the matter.’ (Conservatorship of Martha P. (2004) 117 Cal.App.4th 857, 867.) ‘If requested by the parties,’ however, ‘the [trial] court may retain jurisdiction over the parties to enforce [a] settlement until performance in full of the terms of the settlement.’ (§ 664.6, italics added.)” (Mesa RHF Partners, L.P. v. City of Los Angeles (2019) 33 Cal.App.5th 913, 917.) “‘Because of its summary nature, strict compliance with the requirements of section 664.6 is prerequisite to invoking the power of the court to impose a settlement agreement.’” (Id. (quoting Sully-Miller Contracting Co. v. Gledson/Cashman Construction, Inc. (2002) 103 Cal.App.4th 30, 37).)

 

“A request for the trial court to retain jurisdiction under section 664.6 ‘must conform to the same three requirements which the Legislature and the courts have deemed necessary for section 664.6 enforcement of the settlement itself: the request must be made (1) during the pendency of the case, not after the case has been dismissed in its entirety, (2) by the parties themselves, and (3) either in a writing signed by the parties or orally before the court.’” (Id. (quoting Wackeen v. Malis (2002) 97 Cal.App.4th 429, 440).) “The ‘request must be express, not implied from other language, and it must be clear and unambiguous.’” (Id. (quoting Wackeen, supra, 97 Cal.App.4th at 440).)

 

Here, the parties signed a stipulation containing the parties’ agreement for the Court to retain jurisdiction pursuant to Code of Civil Procedure §664.6 to enforce the terms of the stipulation and enter judgment in the event of default. (01-13-23 Stipulation.) Prior to the dismissal of this action, the Stipulation was signed by the parties and submitted to the Court. (Id. at p. 3.) On January 24, 2023, the Court dismissed the entire case without prejudice pursuant to the Stipulation and expressly stated that it “shall retain jurisdiction pursuant to CCP § 664.6.” (01-24-23 Order.) Therefore, the Court finds that the Stipulation complies with the requirements under CCP § 664.6 and it has retained jurisdiction to enter judgment pursuant to the parties’ Stipulation in this action.

 

B. Entry of Judgment

 

The Settlement Agreement filed on January 13, 2023, provides that the parties agreed to settle the matter for a principal sum of $4,935.14, with Defendant Villegas paying an initial payment of $500.00 on March 06, 2023, and then making subsequent monthly payments of $100.00 beginning on April 06, 2023. (Harlan Reese Decl., Exh. A.) Plaintiff’s Counsel avers that “Defendant made monthly payments pursuant to the stipulation totaling $0.00, however, Defendant has since defaulted on payments.” (Id. ¶ 4.) Counsel further states that around October 30, 2023, Plaintiff mailed Defendant a default letter regarding the missed payments notifying Defendant that failure to cure the default within fourteen (14) days would entitle Plaintiff to seek a set aside of the dismissal and request for entry of judgment. (Id., ¶¶ 5-6; Exh. C – a copy of the default letter.) Accordingly, due to Defendant’s failure to comply with the Settlement Agreement, Plaintiff requested that a judgment of $5,321.64 be entered against Defendant.

The Court finds the Settlement Agreement to be valid and enforceable under CCP § 664.6. Here, Plaintiff provides evidence that Defendant has not made any payments and has not cured the default after Plaintiff sent notice. (Id. ¶¶ 5-6.) Therefore, since a valid and signed settlement agreement between the parties has been breached, and the Court retains jurisdiction to enter judgment, the motion satisfies the requirements under CCP § 664.6.

Accordingly, Plaintiff’s Motion to Vacate Dismissal and Enter Judgment is GRANTED. Dismissal entered on January 24, 2023, is vacated, and judgment is entered for Plaintiff and against Defendant Villegas in the amount of $5,321.74 for the following: principal amount of $4,935.14, plus court cost totaling $386.60.  The Court notes that Plaintiff’s Counsel’s declaration and proposed order references $5,321.64 as the judgment amount, but the Court enters judgment for $5,321.74 based on the amounts noted in Plaintiff’s motion.

 

III.       Conclusion

           

            Plaintiff State Farm Mutual Automobile Insurance Co.’s Motion to Vacate Dismissal and Enter Judgment is GRANTED, and judgment is entered for Plaintiff and against Defendant Villegas in the amount of $5,321.74.

 

Counsel for Plaintiff is ordered to electronically submit a proposed form of Judgment for the Court’s approval, within 10-days.

 

 

Moving party is ordered to give notice.