Judge: Malcolm Mackey, Case: 21STCV15670, Date: 2022-12-13 Tentative Ruling



Case Number: 21STCV15670    Hearing Date: December 13, 2022    Dept: 55

ALEXANDER GHATAN v. SHIRAZY                             21STCV15670

Hearing Date:  12/13/22,  Dept. 55 (cont’d from 12/8/22)

#9:   MOTION FOR SUMMARY ADJUDICATION.

 

Notice:  Okay

Opposition

 

MP:  Plaintiff ALEXANDER GHATAN.

RP:  Defendants

 

 

Summary

 

On 4/26/21, plaintiffs filed a Complaint alleging:   On 7/3/20, Plaintiff  Doctor ALEXANDER GHATAN, and corporations owned by Defendant Doctor Shirazy, entered into a written Professional Services Agreement (“PSA”) for Plaintiff to provide medical services to defendants’ patients, but defendants conversely contend that Plaintiff is entitled to the professional fee liens for just 11 of approximately 270 procedures, and that defendants have not had any duty to exclusively use Plaintiff for some of the listed exclusive procedures.  Additionally, defendants used Plaintiff’s likeness on marketing material without Plaintiff’s consent.

 

 

MP Positions

 

Moving party requests an order summarily adjudicating issues of contract duties, and likeness misappropriation, as follows:

1. Defendants had a contractual duty to exclusively use Plaintiff Dr. Alexander Ghatan for certain procedures (the “exclusive procedures list”).

2. Defendants had a contractual duty to give Plaintiff Dr. Alexander Ghatan full ownership and rights to the liens for professional fees for all procedures Dr. Ghatan performed on personal injury patients.

3. Plaintiff is entitled to summary adjudication of the fourth cause of action for violation of California Civil Code § 3344 because Plaintiff has established all elements thereof and there are no valid affirmative defenses.

 

The motion is made on grounds including the following:

·         The parties entered into an enforceable written contract providing that Defendants had a duty to exclusively use Dr. Ghatan for certain medical procedures and that Defendants had a duty to give Dr. Ghatan full ownership and rights to liens for professional fees for personal injury patients.

·         In order to be excused of a duty set forth in a contract, Defendant must prove fraudulent inducement. Plaintiff’s revisions to the contract were very noticeably in red and underlined. Defendant read Plaintiff’s revisions to the PSA and made his own further changes to the same paragraph that had the revisions at issue. Defendant’s own further revisions were incorporated into the final version.

·         Defendants misappropriated Plaintiff’s name and likeness, without Plaintiff’s consent. Defendant’s only defense to this is that he “did not know” he needed Plaintiff’s permission – an argument with no legal basis.

 

 

RP Positions

 

Opposing party advocates denying, for reasons including the following:

 

·         Plaintiff at the last minute inserted major changes in the contract, whereby the employer/corporation paid Plaintiff a salary and Plaintiff got to keep all the profits from his services.

·         Dr. Ghatan’s representation in his email, that all substances changes were those discussed with Dr. Shirazy, was a lie intended to induce Dr. Shirazy to review the attached, edited PSA, without more carefully reading the Procedures Exclusivity provision, inasmuch as the topic had never been discussed between the parties.

·         Dr. Ghatan, by changing the letter case of the letter P from upper case to lower case, guaranteed himself additional income – the full fee – on every patient he serviced while working for OPM two-and-one-half days per work week.

·         With respect to the PSA, it is clear that the intent was to bind the corporation, without any duty placed on Dr. Shirazy.

·         Plaintiff’s argued arrangement for payments would be unlawful.  Business and Professions Code section 650 makes it unlawful for one licensed in the healing arts to receive any kickback as compensation or inducement for the referral of patients.

·         Defendants did not misappropriate Plaintiff’s likeness.  Plaintiff knowingly texted his information to the Human Resources Director for use in defendants’ marketing flyer being updated.) At no time did the H.R. Director communicate to Dr. Ghatan that the distribution or use of the promotional flyer would be limited to the upcoming Dinner Seminar event. (SSUF 25).  Plaintiff never requested that this marketing flyer be used solely for the purpose of the upcoming Dinner Seminar Event to any OPM personnel (SSUF 25).

 

 

Tentative Ruling

 

The motion is denied, as to all issues.

As to issues 1 and 2, about contract duties, there are triable issues, including whether Plaintiff sent email inaccurately minimalizing drastic contract modifications, thereby causing Defendant’s reasonable reliance on the email instead of reading the changed, highlighted contract provisions  (e.g., Plaintiff’s decl., verses Defendant PEJMAN SHIRAZI, M.D. decl., ¶¶ 7 - 12).

Reasonable reliance on the other contracting party’s misrepresentations, resulting in the failure to read a full agreement before signing, can be fraud in the execution, permitting avoidance of unread contract provisions.  E.g.,  Metters v. Ralphs Grocery Co. (2008) 161 Cal.App.4th 696, 702.

With regard to issue 3, concerning likeness misappropriation, there are triable issues, such as whether Plaintiff indicated consent to use of his information in marketing material describing the physicians working for the corporation  (e.g., Christine Barretto decl., ¶¶ 6 - 9). 

Moreover, issue 3 is procedurally disallowed, because, as worded and proved, it leaves unresolved the issue of damages for the claim. 

A plaintiff cannot obtain summary adjudication as to liability, while leaving the amount of damages to be determined later.  Paramount Petroleum Corp. v. Sup. Ct. (2014) 227 Cal.App.4th 226, 241.  See also  CCP §437c(s)(1).   Misappropriation claims involve damages.  E.g.,  Kirby v. Sega of America, Inc. (2006) 144 Cal. App. 4th 47, 55; Montana v. San Jose Mercury News (1995) 34 Cal. App. 4th 790, 793;  Civ. C. §3344.

Finally, the Court overrules opposing evidentiary objections to paragraphs 7 and 11 of Plaintiff’s declaration, and sustained as to paragraph 10.