I. Background 

Plaintiff Farmers Insurance Exchange (“Plaintiff”) filed this action against defendant Melvin Gomez (“Defendant”) in this subrogation action arising from a motor vehicle incident, wherein Plaintiff paid for property damages on behalf of its insured Vahakin Nazerian.  

On March 23, 2023, the Court dismissed the action pursuant to the stipulation for entry of judgment between Plaintiff and Defendant. The Court retained jurisdiction over the action pursuant to Code Civ. Proc., section 664.6. 

On December 7, 2023, Plaintiff filed this motion to set aside dismissal and enter judgment against Defendant pursuant to Code Civ. Proc. section 664.6 on the grounds that Defendant breached the terms of the written stipulation for entry of judgment. The motion is unopposed.  

II. Discussion 

Code Civ. Proc., section 664.6 provides that “[i]f parties to pending litigation stipulate, in a writing signed by the parties outside 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.” (Code Civ. Proc., section 664.6.) 

“‘[V]oluntary dismissal of an action or special proceeding terminates the court’s jurisdiction over the matter.’”  (Mesa RHF Partners, L.P. v. City of Los Angeles (2019) 33 Cal.App.5th 913, 917 [quoting In re Conservatorship of Martha P. (2004) 117 Cal.App.4th 857, 967) (alteration in original).)  “‘If requested by the parties,’ however, ‘the [trial] court may retain jurisdiction over the parties to enforce [a] settlement until performance in full of the terms of the settlement.’”  (Id. (quoting CCP section 664.6) (emphasis in original).)  “‘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.’”  (Id. (quoting Sully-Miller Contracting Co. v. Gledson/Cashman Construction, Inc. (2002) 103 Cal.App.4th 30, 37).) 

“A request for the trial court to retain jurisdiction under section 664.6 ‘must conform to the same three requirements which the Legislature and the courts have deemed necessary for section 664.6 enforcement of the settlement itself: the request must be made (1) during the pendency of the case, not after the case has been dismissed in its entirety, (2) by the parties themselves, and (3) either in a writing signed by the parties or orally before the court.’”  (Id. (quoting Wackeen v. Malis (2002) 97 Cal.App.4th 429, 440).)  “The ‘request must be express, not implied from other language, and it must be clear and unambiguous.’”  (Id. (quoting Wackeen, supra, 97 Cal.App.4th at 440).) 

Plaintiff moves to set aside dismissal on the grounds that Defendant breached the terms of the stipulation for entry of judgment. The order for dismissal states that the Court retains jurisdiction of the case under Code Civ. Proc., section 664.6. 

The parties’ stipulation reads in pertinent part: 

“1. The parties stipulate that Judgment shall be entered in favor of Plaintiff and against Defendant for the settlement sum of FIFTEEN THOUSAND EIGHT HUNDRED AND THIRTEEN DOLLARS AND FOUR CENTS ($15,813.04) plus costs of suit and prejudgment interest from the date of the loss less any monies paid to date of breach will be entered as set forth in paragraph 6 below. 

2. Defendant shall discharge his obligation pursuant to this Stipulation and Plaintiff agrees to stay the filing and entry of Judgment upon the following terms and conditions: 

3. Said payments hereunder shall be made payable to BENSON LEGAL, APC referencing Defendant's file number BF9661 and transmitted to BENSON LEGAL, APC, 8550 Balboa Blvd, Suite 290, Northridge CA 91325.” 

… 

“6. In the event that Defendant shall default by failing to make any payments provided hereunder when due or at all pursuant to paragraph 7 hereinbelow, Plaintiff may immediately cause Judgment to be entered pursuant to the terms set forth in this Stipulation for the full amount of the agreed upon judgment as set forth in Paragraph 1 less any monies paid to date of the breach; and shall also file a partial Satisfaction of Judgment for all sums previously paid pursuant to this Stipulation.” 

… 

“8. Defendant shall be permitted a fifteen-day grace period for payment of any installment due hereunder. Plaintiff shall give written notice to Defendant of his default; and Defendant shall then be allowed an additional ten days from the date of said written notice to cure that particular default. Should Defendant fail to cure the default, Plaintiff shall be permitted to request entry of judgment as set forth hereinabove. […].” 

(Mot. Exh. A.) 

Plaintiff’s counsel declares that after the parties entered into the stipulation, Defendant’s insurance carrier Kemper paid a total of $9,813.04 on Defendant’s behalf, leaving a balance of $6,000. (Mot. Benson Decl. ¶ 5.) Defendant has not made any payments pursuant to the stipulation, and defense counsel sent a default payment letter to Defendant on August 3, 2023 advising him of the default and balance owed. (Id. at ¶¶ 5-6.) Defendant still has failed to pay any money since the Notice of Default. (Id. at ¶ 7.) Plaintiff therefore requests judgment against Defendant in the sum of $6,072, which represents the outstanding balance of $6,000 and the $72 filing cost for the motion. (Id. at ¶ 9.) 

 Accordingly, because Defendant breached the terms of the stipulation, Plaintiff’s unopposed motion is GRANTED. The Court will set aside dismissal and enter judgment in the amount of $6,000.00 plus costs of $72.00, in the total amount of $6,072.00, in favor of Plaintiff and against Defendant.  

Plaintiff is ordered to give notice.   

PLEASE TAKE NOTICE: 

Dated this 23rd day of February 2024