Judge: Lisa R. Jaskol, Case: 22STCV15713, Date: 2025-01-06 Tentative Ruling

Case Number: 22STCV15713    Hearing Date: January 6, 2025    Dept: 28

Having considered the moving papers, the Court rules as follows. 

BACKGROUND 

On May 11, 2022, Plaintiff Sheila Reed filed this action against Defendants Wheel Labs, Inc. (“Defendant”) and Does 1-100 for general negligence and products liability. 

On April 24, 2023, the Court granted Defendant’s motion to compel arbitration and stayed the case pending arbitration. 

On November 12, 2024, Plaintiff filed a motion to enforce settlement.  Defendant has not filed an opposition. 

PARTY’S REQUESTS 

Plaintiff asks the Court to enforce a settlement and award attorney’s fees. 

LEGAL STANDARD                   

Code of Civil Procedure section 664.6, subdivision (a) provides in part: 

“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. . . .” 

(Code Civ. Proc., § 664.6, subd. (a).) 

In deciding motions made under Code of Civil Procedure section 664.6, courts “must determine whether the parties entered into a valid and binding settlement.”  (Kohn v. Jaymar-Ruby (1994) 23 Cal.App.4th 1530, 1533.)  On a motion to enforce a settlement under Code of Civil Procedure section 664.6, courts have the power to decide disputed facts and to interpret the agreement.  (Fiore v. Alvord (1985) 182 Cal.App.3d 561, 566; L. Edmon & C. Karnow, Cal. Practice Guide: Civil Procedure Before Trial (Rutter 2023) ¶¶ 12:977–12:978.5, pp. 12(ll)-139 to 12(ll)-140.) Courts may receive evidence, determine disputed facts including the terms the parties previously agreed on, and enter the terms of a settlement agreement as a judgment, but they may not create new material terms. (Osumi v. Sutton (2007) 151 Cal.App.4th 1355, 1360.) 

DISCUSSION 

Plaintiff asserts that the parties reached a settlement following arbitration and signed a Settlement Agreement and General Release on August 23, 2024.  Under the agreement, Defendant or its insurer is to pay Plaintiff $7,500.00 within 30 days of Defendant receiving the executed agreement and IRS Form W-9.  On receiving the settlement funds, Plaintiff is to dismiss the lawsuit with prejudice within seven days.  The agreement is enforceable under Code of Civil Procedure section 664.6. 

On August 23, 2024, Plaintiff’s counsel sent Defendant’s counsel a copy of the executed agreement and IRS Form W-9.  However, Plaintiff has not received the settlement funds and Defendant’s counsel has not told Plaintiff's counsel when Plaintiff can expect to receive the payment. 

Based on the evidence supporting the motion the Court (1) lifts the stay imposed on April 24, 2023 and (2) grants Plaintiff’s motion to enforce the settlement agreement.  The Court enters judgment pursuant to the terms of the August 23, 2024 settlement agreement and orders Defendant to pay Plaintiff $7,500.00 within 14 days of the date of this order. 

Paragraph 22 of the settlement agreement provides that, “[i]n the event of legal action to enforce this Agreement, the prevailing party shall be entitled to recover reasonable attorneys’ fees and costs actually incurred from the non-prevailing party.”  (Exh. 1.)  Plaintiff requests $5,347.50 based on nine hours of attorney time at a rate of $705.00 per hour and one $60.00 filing fee.  Counsel spent 2.5 hours conducting legal research, four hours to draft the motion, and one hour to gather and organize the exhibits, and anticipated spending 1.5 hours to review any opposition, prepare a reply, and attend the hearing. 

The Court awards Plaintiff $1,060.00 in sanctions based on four hours of attorney time at a reasonable rate of $250.00 per hour and one filing fee. 

CONCLUSION 

The Court lifts the stay imposed on April 24, 2023.

The Court GRANTS Plaintiff Sheila Reed’s motion under Code of Civil Procedure section 664.6 to enforce the settlement agreement.  The Court enters judgment pursuant to the terms of the settlement agreement attached as Exhibit 1 to the Declaration of Brian Poulter supporting the motion. 

The Court GRANTS in part Plaintiff Sheila Reed’s request for sanctions and orders Defendant Wheel Labs, Inc. to play Plaintiff Sheila Reed $1,060.00 by February 6, 2025.  In all other respects, the Court denies Plaintiff’s request for sanctions. 

Moving party is ordered to give notice of this ruling. 

Moving party is ordered to file the proof of service of this ruling with the Court within five days.