Judge: Maurice A. Leiter, Case: 19STCV30353, Date: 2023-01-12 Tentative Ruling

Case Number: 19STCV30353    Hearing Date: January 12, 2023    Dept: 54

Hearing Date: January 12, 2023

Department 54, Judge Maurice A. Leiter

Motion for Order Allocating Cost of Appraisal

Moving Party: Defendants Tarek Alhassen, Mohammed Tarif Alhassen and Hassen Holding Company, Inc.

Responding Party: Plaintiff Ziad Alhassen

T/R:     DEFENDANTS’ MOTION IS DENIED. DEFENDANTS ARE ORDERED TO PAY THE FULL APPRAISAL COST.

            DEFENDANTS 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.

            Defendants move for an order allocating equally between Plaintiff and Defendants the cost of the appraisal of Plaintiff’s shares in Hassen Holding Company. Defendants assert that Plaintiff is responsible for paying 50% of the appraisal costs because Defendants were required to post a bond that would cover Plaintiff’s expenses should Defendants decide not to purchase Plaintiff’s shares. In opposition, Plaintiff contends that Defendants should pay the entirety of the appraisal costs because Defendants are the parties seeking the appraisal.

            There is no statutory or common law authority which directly addresses this issue. In the Court’s discretion under CCP § 128, the Court finds Defendants must bear the cost of appraisal as they are the moving parties in the appraisal and buyout procedure set forth in Corp. Code. § 2000. Defendants’ motion is DENIED.