Judge: Mark A. Young, Case: SC129711, Date: 2024-05-03 Tentative Ruling

Case Number: SC129711    Hearing Date: May 3, 2024    Dept: M

CASE NAME:           Amag Inc., v. Large, et al.

CASE NO.:                SC129711

MOTION:                  Motion to enter judgment pursuant to Code of Civil Procedure § 664.6

HEARING DATE:   5/3/2024

Legal Standard

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. If requested by the parties, the court may retain jurisdiction over the parties to enforce the settlement until performance in full of the terms of the settlement.

(CCP, § 664.6(a).)

“Because of its summary nature, strict compliance with the requirements of section 664.6 is prerequisite to invoking the power of the court to impose a settlement agreement.” (Sully-Miller Contracting Co. v. Gledson/Cashman Construction, Inc. (2002) 103 Cal.App.4th 30, 37; Critzer v. Enos (2010) 187 Cal.App.4th 1242, 1262.) In ruling on a motion under § 664.6, the trial judge may receive oral testimony, or may determine the motion upon declarations alone. (Corkland v. Boscoe (1984) 156 Cal.App.3d 989, 994.) Where the agreement was reached at a court hearing, the court can resolve the dispute on the basis of its own notes or recollection of what was agreed to (as well as any transcripts of the proceedings). (Richardson v. Richardson (1986) 180 Cal.App.3d 91, 97.)

Analysis

Plaintiff Amag Inc. moves for the court to enter a stipulated judgment against Defendants Corey Large and 308 Enterprises LLC in the amount of $784,121.66 ($944,121.66, less payments made by or on behalf of Defendants since April 29, 2023). Defendants only oppose the request for prejudgment interest. Plaintiff have abandoned their request for prejudgment interest and thus, the motion is unopposed.

On April 29, 2023, a settlement agreement and general release was entered into between the parties. (Frecek Decl., Ex. 1.) Under the agreement, Defendants were to pay as follows: (1) $10,000 payable within 10 days of execution of the Settlement Agreement; (2) $150,000 payable within 60 days of execution of the Settlement Agreement, plus accrued interest at 6% per annum during that 60 day period (i.e. $6,164.38); (3) the remaining $465,000 payable in installments every 90 days thereafter in the amount of $50,000 (plus the 6% per annum accrued interest that had accrued during the previous 90 days) until the remaining $465,000 balance is paid in full. (Id., ¶¶ D-F.) Paragraph G of the Settlement Agreement, and the “[Proposed] Judgment and Order Pursuant to Stipulation” attached as Exhibit A to the Settlement Agreement provide that in the event of failure of the Defendants to timely make any of the installment payments described above, AMAG, INC. was entitled to a stipulated judgment against the Defendants in the amount of $944,121.66 (as of May 1, 2023), less credits for any amounts paid by Defendants after May 1, 2023.

Defendants have breached the settlement agreement. Defendants have only paid the initial $10,000 payment and the $150,000 payment due within 60 days of execution of the Settlement Agreement. Defendants have failed to pay any other installments or any accrued interest on any installments. (Frecek Decl., ¶¶ 4-5.)

The parties present a signed writing, stipulating for judgment in the case of default, specifically citing Code of Civil Procedure section 664.6. Defendants have defaulted by not paying in accordance with the terms of the settlement. Plaintiff therefore shows the requirements to enter judgment.

Accordingly, the motion is GRANTED.  Prejudgment interest will not be awarded.