Judge: Peter A. Hernandez, Case: 21PSCV00806, Date: 2022-09-08 Tentative Ruling

Case Number: 21PSCV00806    Hearing Date: September 8, 2022    Dept: O

Background   

Plaintiff Weng Bo (“Plaintiff”) alleges as follows:

On or about June 2, 2016, Xioawei Hong (“William”) executed a Promissory Note on behalf of Fullerton Cabinet Inc. (“FCI”) to repay Plaintiff’s $1,000,000.00 loan, with 0.85% monthly interest. Between June 2, 2016 and January 29, 2021, William only repaid a portion of the loan. On or about January 29, 2021, William made and executed a “Guaranty for Stock Ownership,” wherein Plaintiff would provide funds to William to purchase inventory for KB Depot Inc. (“KB Depot”) in return for 51% shares of KB Depot until repayment of the debt was confirmed by Plaintiff. Plaintiff provided these funds but was not repaid or given the 51% shares.

On August 22, 2022, Plaintiff filed a Second Amended Complaint, asserting causes of action against William, KB Depot, K&B Depot Inc., FCI, Fullerton Cabinet & Stone Inc., HD Design & Construction, Corp., KB Depot Home Inc., KB Depot Cabinet & Stone Inc., KB Cabinets & Countertop Inc., KB Cabinetry Wholesaler, Haiyan Zhuang, Shu Hong, Lang Zhang (“L. Zhang”), Dong Zhang, Premium Quartz Inc., GZ Transport Inc. (“GZ Transport”), Yong’s Trucking Inc. (“Yong’s Trucking”), KB Home Construction Inc., KB Depot Outlet Inc., New Sun International, LLC and Does 1-100 for:

1.                  Declaratory Relief

2.                  Breach of Written Contract\

3.                  Money Had and Received

4.                  Fraud

5.                  Conversion

6.                  Breach of Fiduciary Duties

7.                  Accounting

8.                  Involuntary Dissolution

9.                  Preliminary and Permanent Injunction

A Case Management Conference is set for September 8, 2022.

Legal Standard

“Before, during, or after a deposition, any party, any deponent, or any other affected natural person or organization may promptly move for a protective order. The motion shall be accompanied by a meet and confer declaration under Section 2016.040.” (Code Civ. Proc., § 2025.420, subd. (a).) “The court, for good cause shown, may make any order that justice requires to protect any party, deponent, or other natural person or organization from unwarranted annoyance, embarrassment, or oppression, or undue burden and expense. This protective order may include, but is not limited to, one or more of the following directions: . . . (2) That the deposition be taken at a different time . . . (5) That the deposition be taken only on certain specified terms and conditions. . .” (Code Civ. Proc., § 2025.420, subd. (b).)

Discussion

William moves the court for a protective order that his deposition be taken (1) at a different time and (2) only on certain specified terms and conditions (i.e., as follows: (1) after the OSC re: failure to file proof of service then set for March 22, 2022 in this case in order to allow the 7 defendants who have not yet been served to either be served or dismissed; (2) after the hearing on the demurrers by Hong and other 14 defendants [then set to be heard March 22, 2022 in this case] and (3) after the Motion to Transfer and Consolidate [then set to be heard on April 25, 2022 in the KB Depot Action].)

William represents that there are three currently pending actions—i.e., (1) case styled KB Depot, Inc., et al., Case No. 30-2021-01200051-CU-BT-CJC filed in Orange County (“KB Depot Action”); (2) case styled Li v. Hong, et al., Case No. 21PSCV00845 filed in Los Angeles [Dept. R] (“Jing Li Action”) and (3) this instant case—between Plaintiff, Plaintiff’s wife (i.e., Jie Lie aka Kelly Li) and Plaintiff’s sister-in-law (i.e., Jing Li), on the one hand, and William and the other 25 named defendants/cross-defendants on the other hand. He further represents that on December 10, 2021, KB Depot and KB Cabinets & Countertop Inc. filed a Motion to Transfer and Consolidate in the KB Depot Action to transfer this case and Case No. 21PSCV00845 to Orange County Superior Court and have them consolidated with the KB Depot Action; said motion was set to be heard on April 25, 2022.

On January 21, 2022, Plaintiff unilaterally noticed William’s deposition for February 4, 2022. (Alparce Decl., ¶ 2, Exh. A.) On January 28, 2022, William’s counsel unsuccessfully met and conferred with Plaintiff’s counsel. (Id., ¶ 10, Exh. I.) This motion followed, on February 2, 2022.

William requests that Plaintiff wait until after the three aforementioned actions are consolidated and after all parties have been served and/or dismissed before he is deposed. William represents that, as of the February 2, 2022 filing of this motion, Plaintiff has not served “at least 7” of the named defendants. (Motion, 7:23-24.)

The parties are instructed to provide the court with a status report at the time of the hearing concerning (1) the outcome of KB Depot and KB Cabinets & Countertop Inc. Motion to Transfer and Consolidate in the KB Depot Action, (2) the status of the KB Depot Action and the Jing Li Action and (3) the status of service regarding all named defendants/cross-defendants in the instant action.

In the event the Motion to Transfer and Consolidate has been heard and denied in the KB Depot Action, the court instructs Plaintiff to file a California Rule of Court rule 3.300 notice of related cases forthwith.