Judge: Maurice A. Leiter, Case: 19STCV03524, Date: 2023-07-21 Tentative Ruling

Case Number: 19STCV03524    Hearing Date: December 8, 2023    Dept: 54

Hearing Date: December 8, 2023

Department 54, Judge Maurice A. Leiter

Motion for Instructions Re: Preliminary Distribution of Sale Proceeds

Moving Party: Referee Kevin Singer

Responding Party: Defendant Ami Deckel

T/R:      THE MOTION IS CONTINUED TO DECEMBER 18, 2023 AT 9:00AM.

SINGER TO FILE AND SERVE A PRELIMINARY ACCOUNTING, NO MORE THAN 5 PAGES, NO LATER THAN DECEMBER 12, 2023.

DEFENDANT TO FILE AND SERVE A RESPONSE TO THE ACCOUNTING, NO MORE THAN 5 PAGES, NO LATER THAN DECEMBER 15, 2023.

REFEREE TO NOTICE.

If the parties wish to submit on the tentative, please email the courtroom at SMCdept54@lacourt.org with notice to opposing counsel (or self-represented party) before 8:00 am on the day of the hearing.

The Court considers the moving papers, opposition, and reply.

Referee Kevin Singer moves for an order approving the distribution of 50% of the proceeds from the sale of the subject property to Plaintiff. Singer asserts that the Court should allow this distribution before the referee’s final accounting because Plaintiff was a 50% owner of the property and Plaintiff wishes to conduct an IRC Section 1031 exchange, to avoid a large capital gains tax payment. The 1031 exchange must be conducted before January 24, 2024 (180 days after close of escrow). Singer represents that the costs of sale, as well as other fees and costs incurred due to Defendant’s family’s actions, will show that Plaintiff is entitled to significantly more than half of the sale proceeds in this matter.

In opposition, Defendant argues that this request is premature and unsupported by evidence. The Court agrees that the request is not adequately supported. Singer provides no evidence showing even a rough estimate of costs and fees, let alone anything resembling an accounting. The Court will not distribute funds based on Singer’s “confidence” that Plaintiff ultimately will be entitled to more than 50% of the sale proceeds. The Court will allow Singer to present supplemental evidence to support the distribution.

The motion is CONTINUED to December 18, 2023 at 9:00am. Singer shall file and serve a preliminary accounting, no more than 5 pages, no later than 12:00 pm on December 12, 2023. Defendant to file and serve a response to the accounting, no more than 5 pages, no later than 12:00 pm on December 15, 2023.