Judge: Linda S. Marks, Case: 2020-01143939, Date: 2022-10-31 Tentative Ruling

Motion to Enforce Settlement filed by Larry Cardenas on 7/7/22

Plaintiff seeks an order enforcing the settlement agreement entered on December 3, 2021 between Plaintiff and Defendants Shirley T. Lee DDS, Inc., Shirley T. Lee, and John Estefano (collectively “Defendants”) (“Agreement”).

Plaintiff presented evidence that the parties entered into the Agreement; the Agreement required Defendants to pay Plaintiff a sum total of $63,000 to settle Plaintiff’s claims; that the Agreement states Defendant is to pay Plaintiff in eight installments in the amount of $7,875.00 beginning on December 20, 2021 and continuing thereafter within 30-days of the last payment; and that the Agreement includes a provision stating that the Court is to retain jurisdiction to enforce the Agreement. (See Vahdat Decl., Exh. A, sections 3, 3(a), 5, and 15.)

Section 15 of the Settlement Agreement states: “This agreement shall be governed by and be construed under the laws of the State of California. The court shall retain jurisdiction to enforce the terms of this agreement pursuant to California Code of Civil Procedure section 664.6. To the extent to dispute arises related to the breach of this Agreement, the prevailing party shall be entitled to recovery of reasonable costs and attorneys’ fees.” (Id., Exh. A.)

Section 6 of the Settlement Agreement also states: “In the event that defendant Shirley T. Lee., D.D.S., Inc. delays payments, and/or fails to make a payment by at least seven (7) days after due, then this will be considered a Breach of the agreement and plaintiff may enforce the Breach and otherwise accelerate receipt of outstanding payments. In the event of Breach, plaintiff shall be entitled to Attorney’s fees and Costs in enforcing this agreement.” (Id., Exh. A.)

Plaintiff also presented evidence that Defendants made a total of five installment payments; that Defendants also delivered the sixth through eighth payments in the amount of $7,875.00, but these deposits were returned as “STOP PAYMENT”; that Defendants attempted to deliver Plaintiff another check for $2,000; that Plaintiff provided Defendants with an extension through June 24, 2022 to complete all payments; that, to date, only the five payments of $7,875.00 plus the additional $2,000.00 have been paid—a total of $41,375.00--toward the settlement amount of $63,000; and that a balance of $21,625.00 remains outstanding. (See Vahdat Decl., ¶¶ 10-20.)

Plaintiff also presented evidence that the fifth monthly payment was due on April 20, 2022; that Defendants failed to pay the fifth monthly payment until May 28, 2022 which constituted a breach of the Agreement; that as a result of Defendants’ breach, Plaintiff was entitled to accelerate all outstanding payments as of April 20, 2022 on the outstanding balance which was $31,500; that total annual interest at 10% per annum would be $3,150; that six months of interest from April 20, 2022 through approximately October 31, 2022 would be approximately $1,575.00.

Plaintiff also presents evidence that he has incurred at least attorney’s fees and costs in the sum of $7,390.00 to enforce the Agreement. (See Vahdat Decl., ¶ 21.)

Tentative Ruling:  The Motion is GRANTED and Judgment entered in the total amount of $30,590.00 for the unpaid principal amount of $21,625.00 + $1,575.00 in accrued interest + $7,390.00 for attorneys’ fees and costs