Judge: Lisa R. Jaskol, Case: 21STCV42617, Date: 2024-01-19 Tentative Ruling
Case Number: 21STCV42617 Hearing Date: January 19, 2024 Dept: 28
Plaintiffs Aimee Martinez (“Martinez”) and Kimberly Najera (“Najera”) were injured when Defendant Victor Benavante Varela (“Defendant”) negligently drove his vehicle into the vehicle in which Plaintiffs were riding as passengers. As a result of the collision, Martinez suffered head, neck and upper back pain, nervousness, cervical sprain/strain, cervicalgia and thoracic sprain/strain. Najera suffered head, stomach, neck and back pain, nervousness, cervical sprain/strain, trapezial strain and thoracic sprain/strain.
This is an expedited petition without a hearing, which is permitted under California Rules of Court, rule 7.950.5, if Petitioner Luis Enrique Martinez Avalos (“Petitioner”) uses the required Judicial Council forms and meets certain conditions. The conditions are:
1. Petitioner is represented by an attorney.
2. The claim is not for wrongful death.
3. Settlement proceeds will not be placed in a trust.
4. There are no unresolved liens.
5. Petitioner’s attorney did not become involved at the request of Defendant or the insurance carrier.
6. Petitioner’s attorney is not employed by or associated with a Defendant or insurance carrier in connection with the petition.
7. If an action is filed, all Defendants have appeared and are participating in the compromise OR the court has determined that the settlement is in good faith.
8. The settlement, exclusive of interests and costs, is $50,000 or less OR if greater than $50,000, the amount payable is the insurance policy limits AND all proposed contributing parties would be substantially unable to use assets other than the insurance policy limits AND the court does not otherwise order.
A. Aimee Martinez
SETTLEMENT: $8,000.00
INJURIES: head, neck and upper back pain, nervousness, cervical sprain/strain, cervicalgia and thoracic sprain/strain
MEDICAL EXPENSES: $8,400.70
COSTS: $672.24
ATTORNEY’S FEES: $2,000.00, which is 25% of the gross settlement
BALANCE OF PROCEEDS: $4,222.67
DISCUSSION
Issue 1: Section 13a of the petition states that medical expenses totaled $8,400.70. (Section 13a(1).) That amount was reduced by $1,213.36 as the result of negotiated, statutory, or contractual reduction. (Section 13a(3).) This should mean that $7,187.34 (the remaining amount) would be paid or reimbursed from the settlement proceeds. However, the petition states that only $1,105.09 is to be paid or reimbursed (Section 13a(4)), leaving $6,082.25 in medical expenses unaccounted for. The Court cannot approve a petition to approve a minor’s compromise unless it shows that all medical expenses that have not been waived or reduced will be reimbursed from the settlement proceeds.
In Attachment 13a, Petitioner states that Medi-Cal paid the providers $273.45 and is seeking reimbursement of $205.09. Petitioner lists a resulting reduction of $68.36. However, if Medi-Cal’s payment of $273.45 satisfied the Coast Plaza Hospital charge of $6,355.70 (as suggested by the reference to “CHP Hospital Management” in the Department of Health Care Services letter), then the reduction amount would be $6,150.61 (for Medi-Cal and Coast Plaza Hospital) plus $1,145.00 for Dr. Oh Chiropractic & Acupuncture, for a total reduction amount of $7,295.61. If the total medical expenses of $8,400.70 were reduced by $7,295.61, then the $1,105.09 figure in Section 13a(4) (the amount to be paid or reimbursed from the settlement proceeds) would be appropriate. Petitioner should consider if the reduction amount can be modified in this way.
Issue 2: The amount to be paid or reimbursed from the settlement proceeds ($1,105.09 in Section 13a(4)) is smaller than the amount of liens ($2,018.45 in Section 13a(5)), suggesting that the settlement will not completely pay all liens. The Court cannot approve a petition to approve a minor’s compromise unless it resolves all outstanding liens.
Attachment 13a lists liens of $300 (for Petitioner), $205.09 (for Medi-Cal), and $600 (for Dr. Oh Chiropractic & Acupuncture), for a total lien amount of $1,105.09 – the same amount as the amount to be reimbursed from the settlement proceeds (Section 13a(4)). Petitioner should consider whether the $2,018.45 figure listed in Section 13a(5) should be replaced by $1,105.09.
The Court denies the petition without prejudice.
B. Kimberly Najera
SETTLEMENT: $8,000.00
INJURIES: head, stomach, neck and back pain, nervousness, cervical sprain/strain, trapezial strain and thoracic sprain/strain
MEDICAL EXPENSES: $9,528.30
COSTS: $657.24
ATTORNEY’S FEES: $2,000.00, which is 25% of the gross settlement
BALANCE OF PROCEEDS: $3,783.21
DISCUSSION:
Issue 1: Total medical expenses were $9,528.30. (Section 13a(1).) That amount was reduced by $1,738.18 as the result of negotiated, contractual, or statutory reductions. (Section 13a(3).) This should mean that $7,790.12 (the remaining amount) would be paid or reimbursed from the settlement proceeds. However, Section 13a(4) states that only $1,559.55 is to be reimbursed from the settlement proceeds.
Issue 2: Section 13a(5) lists the lien amount as $2,807.73, which is more than the amount to be paid or reimbursed from the settlement proceeds ($1,559.55).
For both issues, Petitioner should consider whether the information contained in Attachment 13a can be used to modify the petition along the lines suggested above for the petition to approve the compromise of Martinez’s case.
The Court denies the petition without prejudice.