Judge: Maurice A. Leiter, Case: 22STCV24750, Date: 2023-04-05 Tentative Ruling

Case Number: 22STCV24750    Hearing Date: April 5, 2023    Dept: 54

Hearing Date: April 5, 2023

Department 54, Judge Maurice A. Leiter

Motion to Consolidate and Stay

Moving Party: Defendants Farmers Insurance Exchange and Truck Insurance Exchange

Responding Party: Plaintiffs Zia Abhari and Donya Entertainment, Inc.

T/R:     THE MOTION TO CONSOLIDATE IS GRANTED.

PLAINTIFF 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.

“When actions involving a common question of law or fact are pending before the court, it may order a joint hearing or trial of any or all the matters in issue in the actions; it may order all the actions consolidated and it may make such orders concerning proceedings therein as may tend to avoid unnecessary costs or delay.”  (CCP § 1048(a).)

“Trial courts generally have the inherent power to stay proceedings in the interests of justice and to promote judicial efficiency.”  (Freiberg v. City of Mission Viejo¿(1995) 33 Cal.App.4th 1484, 1489.) 

            Defendants Farmers Insurance Exchange and Truck Insurance Exchange move to consolidate two of three related cases; (1) 22STCV24750 Zia Abhari, Donya Entertainment, Inc. v. Farmers Insurance Exchange, Farmers Underwriters Association, Truck Insurance Exchange, Truck Underwriters Association, Farmers Group, Inc.; and (2) 23STCV03400 Zia Abhari v. Bacon-Up Corporation, Mazyar Yaghoubian, Farmers Insurance Exchange, Farmers Underwriters Association, Farmers Group, Inc. and to stay all actions pending the appeal in the third related case: 20STCV17320 Donya Entertainment, Inc. v. Farmers Insurance Exchange.

            This action arises from water damage at a restaurant. Donya and Abhari allege the previous owner and Farmers concealed the water intrusion problem, Farmers allegedly induced Donya to purchase an insurance policy that did not cover the loss and failed to investigate facts that might have given rise to coverage. In 20STCV17320 Donya Entertainment, Inc. v. Farmers Insurance Exchange, Judge Beaudet granted Farmers’ motion for summary judgment, finding the damage was not covered under the policy. Donya has appealed this ruling.

            Defendants assert the actions should be consolidated because they have common questions of law and fact, and the actions should be stayed pending appeal because of the risk of conflicting rulings. In opposition, Donya appears not to oppose consolidation, but opposed a stay. Donya represents the actions seek redress for distinct wrongs that occurred at distinct times. Donya asserts Defendants have filed this motion for the improper purpose of delay.

            Consolidation and stay are appropriate. All three actions arise from the water damage, the parties’ knowledge of the water damage, and whether the damage is covered by Donya’s policy. The appeal in 20STCV17320 Donya Entertainment, Inc. v. Farmers Insurance Exchange will determine whether Donya’s loss is covered. This undoubtedly affects the other actions.

            Defendants’ motion is GRANTED.