Judge Lee W. Tsao, Case Number: 22NWCV01231, Date: 2023-05-25 Tentative Ruling

Judge: Lee W. Tsao, Case: 22NWCV01231, Date: 2023-05-25 Tentative Ruling

Case Number: 22NWCV01231 Hearing Date: November 8, 2023 Dept: C

Arana v. Casasola, et al.

CASE NO.: 22NWCV01231

HEARING: 11/8/23 @ 9:30 AM

Plaintiff’s Motion to Tax Costs is GRANTED and no costs are awarded.

Moving Party to give NOTICE.

Plaintiff Fernando Arana moves for an order taxing costs on Defendants Rodolfo Casasola and Teresa Casasola’s Memorandum of Costs.

Background

The Complaint alleges that “Plaintiff brought claims against his now-former employer(s) [Defendants and Rudy’s Wholesale Corporation (Rudy’s)] for failure to pay all wages due, provide meal breaks, provide rest breaks, and pay overtime wages. (Los Angeles Superior Court Case No. 21-NWCV-00797 (the 797 Case)). (Complaint, 2:57.) The 797 case is related to this case. “On January 18, 2022, the clerk of this county entered a default against RUDY’S and in favor of PLAINTIFF for failure to answer or demurrer within the statutory period in the 797 Case.” (Id., ¶ 20.) Defendant committed fraudulent transfer. (Id., ¶ 43.) Based thereon, the Complaint asserts causes of action for:

1. Constructive Fraudulent Transfer

2. Intent to Hinder, Delay, or Defraud a Creditor.

On June 8, 2023, the court granted Defendants’ Motion to Set Aside Default in the 797 Case. On June 9, 2023, Plaintiff voluntarily dismissed this case without prejudice.

Legal Standard

“ ‘Prevailing party’ includes the party with a net monetary recovery, a defendant in whose favor a dismissal is entered, a defendant where neither plaintiff nor defendant obtains any relief, and a defendant as against those plaintiffs who do not recover any relief against that defendant. If any party recovers other than monetary relief and in situations other than as specified, the “prevailing party” shall be as determined by the court, and under those circumstances, the court, in its discretion, may allow costs or not and, if allowed, may apportion costs between the parties on the same or adverse sides pursuant to rules adopted under Section 1034.” (CCP 1032(4).)

Discussion

On June 9, 2023, Plaintiff dismissed his Complaint without prejudice as to the fraudulent conveyance pursuant to a stipulation by the parties after Defendants’ Motion to Set Aside Default was granted on June 8, 2023 in the underlying 797 case. Plaintiff argues that he intends to refile his fraud claim once he obtains judgment in the 797 case. Further, Plaintiff’s counsel states that he conducted the debtor examination of Defendant Rodolfo Casasola on July 28, 2022 in the 797 case. (Sandoval Decl., ¶ 7.) Mr. Casasola stated in the examination that he and Defendant Teresa Casasola decided to dissolve Rudy’s and liquidate all its assets of approximately $200,000 in January 2022. (Sandoval Decl., Ex. B 20:1-22:4.) Under these circumstances, the Court determines that Defendants are not the prevailing party at this time. Therefore, no costs are awarded.

Accordingly, Plaintiff’s Motion to Tax Costs is GRANTED and no costs are awarded.