Judge: Lee S. Arian, Case: 23STCV03748, Date: 2025-04-11 Tentative Ruling

Case Number: 23STCV03748    Hearing Date: April 11, 2025    Dept: 27

SUPERIOR COURT OF THE STATE OF CALIFORNIA

FOR THE COUNTY OF LOS ANGELES - CENTRAL DISTRICT

Background

On February 21, 2023, Plaintiff filed a Complaint seeking recovery for personal injuries allegedly sustained in a vehicle accident that occurred on March 18, 2021, at or near the intersection of Avenue R and 25th Street East in Palmdale, Los Angeles County, California. Plaintiff named multiple defendants, including ALLIKAT, Inc. However, according to the California Secretary of State website, Allikat is a suspended corporation. Intervenor Infinity Select Insurance Company now moves the Court for leave to intervene on behalf of its insured, Defendant ALLIKAT, Inc. and ALLIKAT, Inc. dba Acme Asset Protection.

Legal Standard

CCP section 387(d) provides the following: 

(1) The court shall, upon timely application, permit a nonparty to intervene in the action or proceeding if either of the following conditions is satisfied:

(A) A provision of law confers an unconditional right to intervene. 

(B) The person seeking intervention claims an interest relating to the property or transaction that is the subject of the action and that person is so situated that the disposition of the action may impair or impede that person’s ability to protect that interest, unless that person’s interest is adequately represented by one or more of the existing parties.

(2) The court may, upon timely application, permit a nonparty to intervene in the action or proceeding if the person has an interest in the matter in litigation, or in the success of either of the parties, or an interest against both. (Code Civ. Proc., § 387(d).)

Whether the petitioner has an interest in the matter in litigation is a question of fact that must be determined by the court before leave to file is granted. (Muller v. Robinson (1959) 174 Cal.App.2d 511, 515; In re Yokohama Special Bank (1948) 86 Cal.App.2d 545.) The burden rests on the one seeking to intervene to show that this is a proper case for intervention. (Muller, supra, 174 Cal.App.2d at 515.) 

Pursuant to Kaufman & Broad Communities, Inc. v. Performance Plastering, Inc. (2006) 136 Cal.App.4th 212, 217, if an insured corporation has been suspended (depriving it of the power to sue or defend), the insurer must obtain leave to intervene and defend the action in its own name. Unless it does so, the insurer cannot defend the action on the corporation's behalf without reviving the corporation from its suspended status. (Id. at 220.) 

Discussion

Infinity Select Insurance Company has shown that its insured, ALLIKAT, Inc., is a suspended corporation. The insurance company has established a direct and immediate interest warranting intervention, as it may be held directly liable for any judgment entered against its insured, and without intervention, it will have no opportunity to contest liability or damages. Under Kaufman, insurer must obtain to intervene under such circumstances. No opposition has been filed indicating that the interest of any existing party outweighs the grounds for intervention. Accordingly, the motion is granted. The moving party is ordered to serve its pleading within 20 days of the date of this order. Moving party is to give notice.

Parties who intend to submit on this tentative must send an email to the Court at SSCDEPT27@lacourt.org indicating intention to submit on the tentative as directed by the instructions provided on the court’s website at www.lacourt.org.  Please be advised that if you submit on the tentative and elect not to appear at the hearing, the opposing party may nevertheless appear at the hearing and argue the matter.  Unless you receive a submission from all other parties in the matter, you should assume that others might appear at the hearing to argue.  If the Court does not receive emails from the parties indicating submission on this tentative ruling and there are no appearances at the hearing, the Court may, at its discretion, adopt the tentative as the final order or place the motion off calendar.