Judge: Mark E. Windham, Case: 20STLC00307, Date: 2023-03-22 Tentative Ruling

Case Number: 20STLC00307    Hearing Date: March 22, 2023    Dept: 26

Basta, Inc. v. Zendano, et al.

MOTION TO STRIKE

(CCP §§ 435, 436)

TENTATIVE RULING:

 

Defendant Irene Zendano’s Motion to Strike Portions of Complaint or Entirety Thereof is DENIED.

 

ORDER TO SHOW CAUSE REGARDING CLASSIFICATION OF THIS ACTION AS A LIMITED JURISDICTION CASE IS SET FOR APRIL 19, 2023 AT 9:30 AM IN DEPARTMENT 26 IN THE SPRING STREET COURTHOUSE.

 

 

ANALYSIS:

 

On January 10, 2020, Plaintiff Basta, Inc. (“Plaintiff”) filed this action for “wrongful use of civil proceedings” against Defendant Irene Zendano, individually and as trustee of the Irene Valerie Zendano Family Revocable Living Trust U.T.D. May 9, 2015 (“Defendant”). Following Defendant’s failure to file a responsive pleading, Plaintiff obtained entry of default on August 13, 2021. On Febraury 3, 2022, the Court granted Defendant’s motion to vacate the entry of default and set an Order to Show Cause Re Proof of Service of Summons and Complaint for April 6, 2022. (Minute Order, 02/03/22.) On August 1, 2022, the OSC Re Failure to File Proof of Service was discharged. (Minute Order, 08/01/22.)

 

Defendant, through a special appearance, filed a Motion to Quash Service of the Summons and Complaint on August 18, 2022. The Motion to Quash was denied on October 10, 2022 and Defendant filed the instant Motion to Strike Portions of the Complaint and the Entirety Thereof on December 8, 2022. Plaintiff filed an opposition on March 9, 2023.

 

Discussion

 

Defendant brings the instant Motion to Strike Portions of the Complaint or the Entirety Thereof seeking to strike allegations regarding the request for punitive damages and the entire Complaint because it is based on protected and privileged communications. The Motion is brought pursuant to Code of Civil Procedure sections 431.10, subdivision (b), 435 and 436. The Motion is accompanied by a meet and confer declaration as required by Code of Civil Procedure section 435.5. (Meet and Confer Decl., filed 11/09/22.)

 

Allegations in the Complaint

 

The Complaint alleges that Defendant prosecuted a federal action against Plaintiff “for no good reason.” (Compl., ¶1.) The only allegation against Plaintiff in the federal action were that it “provided a prepaid envelope for an overnight messenger service to another firm that shared its office and that other firm used the envelope to serve a reply brief in support of a motion related to enforce a judgment in a case . . . .” (Id. at ¶1, 15.) Defendant’s federal action was terminated in Plaintiff’s favor following dismissal of the California claims under this state’s anti-SLAPP statute. (Id. at ¶¶6-7.) The remaining federal racketeering claim was dismissed by a motion for judgment on the pleadings. (Id. at ¶7.) In opposing the dispositive motions, Defendant did not explain how Plaintiff was responsible for the actions of any of the other defendants in the federal action by simply providing the envelope. (Id. at ¶17.) No reasonable person would believe there were sufficient grounds to bring the common law and racketeering claims against Plaintiff based on this allegation. (Id. at ¶8.) Defendant did not indicate that any of the witnesses she disclosed in the federal action had any knowledge of other acts by Plaintiff. (Id. at ¶18.) Defendant filed the federal action against Plaintiff for reasons other than the merits of the claims; rather, Defendant seemed to have named Plaintiff to encourage the other defendants to settle or to seek discovery into Plaintiff. (Id. at ¶19.) As a result of Defendant filing the federal action, Plaintiff has been harmed in the costs it incurred defending the action and by damage to its reputation. (Id. at ¶20.) Plaintiff seeks compensatory damages of about $25,000.00 and punitive damages of no more than $25,000.00. (Id. at Prayer, ¶¶a-b.)

 

Punitive Damages

 

Punitive damages are authorized by Civil Code section 3294 in non-contract cases “where the defendant has been guilty of oppression, fraud, or malice, express or implied . . . .”  (Civil Code, § 3294, subd. (a).) Malice means conduct which is intended by the defendant to cause injury to the plaintiff or despicable conduct which is carried on by the defendant with a willful and conscious disregard of the rights or safety of others. (Civil Code, § 3294, subd. (c)(1).) Oppression means despicable conduct that subjects a person to cruel and unjust hardship in conscious disregard of that person’s rights. (Civil Code, § 3294, subd. (c)(2).) Fraud means an intentional misrepresentation, deceit, or concealment of a material fact known to the defendant with the intention on the party of the defendant of thereby depriving a person of property or legal rights or otherwise causing injury. (Civil Code, § 3294, subd. (c)(3).)

 

Defendant argues that Plaintiff has only alleged legal conclusions regarding her allegedly oppressive, malicious or fraudulent conduct without specific facts. Defendant also argues that at most the Complaint alleges she lost the federal action against Plaintiff. The Motion to Strike, however, does not include any analysis of the allegations in the Complaint, as set forth above. The Complaint alleges that Defendant’s federal action against Plaintiff was premised on a single fact regarding providing a prepaid envelope to another defendant. It goes on to allege that no reasonable person would find this a valid basis for common law tort claims and that Defendant has provided no explanation as to how this fact supported the federal action against Plaintiff, or even that Defendant’s witnesses had knowledge regarding Plaintiff’s conduct. The Motion to Strike does not explain why these allegations should be deemed mere conclusions regarding Defendant’s conduct and intent. Notably, none of the cases cited by Defendant in the Motion to Strike involve malicious prosecution. (See Brousseau v. Jarrett (1977) 73 Cal.App.3d 864, 868 [action “for medical malpractice based upon tortious conduct only”]; G. D. Searle & Co. v. Superior Court (1975) 49 Cal.App.3d 22, 25 [action for products liability, fraud, and negligence]; Smith v. Superior Court (1992) 10 Cal.App.4th 1033, 1035 [action for professional negligence].)

 

Therefore, the Motion to Strike the request for punitive damages in the Complaint is denied.

 

Entire Complaint

 

Defendant also moves to strike the entire Complaint on the grounds that anything that Defendant or defense counsel said or did in the federal act is protected by the Noerr-Pennington doctrine and California’s litigation privilege, therefore, allegations regarding the same are “irrelevant, impertinent, or otherwise false.” (Motion, pp. 3:24-4:3.) That allegations are “impertinent” is not a permitted basis to strike allegations in any California court. (Code Civ. Proc., § 436.) That allegations are irrelevant or false is not a permitted basis to strike allegations in the limited jurisdiction court. Motions to strike in the limited jurisdiction court may only challenge pleadings on the basis that “the damages or relief sought are not supported by the allegations of the complaint.” (Code of Civ. Proc., § 92, subd. (d).)

 

The request to strike the entire Complaint, therefore, is also denied.

 

Classification of this Action

 

Finally, the Court has concerns about whether this action was filed in the correct jurisdiction court. The Complaint seeks compensatory damages estimated to be about $25,000.00 and punitive damages not to exceed $25,000.00. (Compl., Prayer, ¶¶a-b.) An order to show cause regarding reclassification of this action to an Independent Calendar court is set for April 19, 2023 at 9:30 am in Department 26 in the Spring Street Courthouse.

 

Conclusion

 

Defendant Irene Zendano’s Motion to Strike Portions of Complaint or Entirety Thereof is DENIED.

 

ORDER TO SHOW CAUSE REGARDING CLASSIFICATION OF THIS ACTION AS A LIMITED JURISDICTION CASE IS SET FOR APRIL 19, 2023 AT 9:30 AM IN DEPARTMENT 26 IN THE SPRING STREET COURTHOUSE.

 

 

Plaintiff to give notice.