Judge: Ralph C. Hofer, Case: 19BBCV00305, Date: 2022-09-09 Tentative Ruling



Case Number: 19BBCV00305    Hearing Date: September 9, 2022    Dept: D

TENTATIVE RULING
Calendar: 2
Date: 9/9/2022
Case No.: 19 BBCV00305 Trial Date: None Set   
Case Name: Sogomonyan, et al. v. Kiramijyan, et al.  

MOTION TO ENFORCE SETTLEMENT

Moving Party: Plaintiffs Akop Sogomonyan and Tsovinar Sogomonyan
Responding Party: Defendants Hamazasp Kiramijyan, Anait Orudzhyan, Armed Kiramijyan, Karapet Zakaryan and KAASS PC  

Relief Requested:
Order enforcing settlement agreement between plaintiffs and defendants 

SUMMARY OF FACTS:
Plaintiffs Akop Sogomonyan and Tsovinar Sogomonyan bring this action for malicious prosecution, alleging that their neighbors, defendants Anait Orudzhyan and Hamazasp Kiramijyan filed a previous action against plaintiffs, in which they were represented by defendant Karapet Zakaryan, who was employed by defendant KAASS PC, which was overseen and directed by its principal, defendant Armen Kiramijyan, Esq., the son of defendants Orudzhyan and Kiramijyan.  

Plaintiffs allege that the previous action was brought without probable cause and initiated with malice against plaintiffs, as it involved a dispute concerning plaintiffs’ installation of a new fence and removing existing fences which a land survey revealed were located on plaintiffs’ property.  Plaintiffs allege that defendants falsely claimed plaintiffs’ fence belonged to them, was located on defendants’ property, and sought damages, litigating the matter for more than two years before finally dismissing the complaint with prejudice. 

On April 28, 2022, defendants filed a Notice of Settlement of Entire Case, indicating that the entire case has been settled.

At a Status Conference on May 11, 2022, defense counsel informed the court that the case had not settled. 

This motion was previously heard on July 1, 2022.  The court issued its tentative ruling via posting on LACourt.org website, which was to deny the motion.  The tentative ruling stated:
“Plaintiff’s Motion to Enforce Settlement Agreement is DENIED. Plaintiffs have failed to establish that there is in this matter a settlement which satisfies the statutory requirements of CCP § 664.6, as it is not established that there is “a writing signed by the parties outside the presence of the court,” as there is no 

writing submitted which is signed by defendants or their attorney. The Court is also unable to determine that the parties agreed to all material terms.”

At the hearing, the court stayed the case in its entirety pending the outcome of the Hearing on Motion to Enforce Settlement Agreement, and continued the hearing to this date, ordering:
“Counsel are ordered to serve and file Supplemental Briefs specifically addressing the issue in CCP Section 664.6(B)(2). Briefing Schedule is as follows: Opening brief is to be filed and served by 07/22/2022. Opposition brief is to be filed and served by 08/19/2022. Reply brief is to be filed and served by 09/02/2022.”
ANALYSIS:
Plaintiff seeks to enforce a settlement agreement entered into between plaintiffs Akop Sogomonyan and Tsovinar Sogomonyan and defendants Hamazasp Kiramijyan, Anait Orudzhyan, Armed Kiramijyan, Karapet Zakaryan and KAASS PC following a mandatory settlement conference before Judge Sinanian on April 26, 2022.  Plaintiff indicates that the parties reached agreement signed by their counsel via email the following day, on April 27, 2022, as confirmed by correspondence from Judge Sinanian.   

Plaintiffs seeks relief under CCP § 664.6, which provides, in pertinent part:
“If parties to pending litigation stipulate, in a writing signed by the parties outside the presence of the court...for settlement of the case,... 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.”

In this case, plaintiffs indicate that the parties entered into a written settlement agreement signed by their counsel via email on April 27, 2022.  Plaintiffs’ counsel’s declaration indicates that the parties attended the settlement conference remotely by Zoom and negotiated back and forth concerning the monetary amount to settle upon, with no other terms or conditions discussed.  [Vardapour Decl., paras. 3, 4].   The declaration explains that at around 4:30 pm, having run out of time, the parties agreed to (1) receive Judge Sinanian’s  “Mediator’s Proposal,” for the settlement amount, and (2) have until 4 pm the following day to either accept or reject the proposal via email transmitted only to Judge Sinanian.   [Vardapour Decl., para. 4].  

Judge Sinanian made the proposal that the matter settle for $80,000, payable within 30 days after execution.   [Vardapour Decl., para. 6].  

Plaintiffs indicate that before 4 pm on April 27, 2022, all parties, through their attorneys, emailed their written signed acceptances of the Mediator’s Proposal directly and only to the mediator pursuant to the stipulated terms.  Plaintiffs submits the email, which was sent by plaintiffs’ counsel, which plaintiffs’ counsel indicates is intended to by counsel’s signature accept the settlement agreement.   [Vardapour Decl., para. 7].  That email states, “Plaintiffs accept the mediator’s proposal of $80,000 payable by the defendants to the plaintiffs within 30 days of execution.”  [Vardapour Decl., para. 7, Ex. 1].  The supplemental brief filed by defendants points out that under the Uniform Electronic Transactions Act, an electronic signature can satisfy a signature requirement. 

Under Civil Code section 1633.7:

(a) A record or signature may not be denied legal effect or enforceability solely because it is in electronic form. 
(b) A contract may not be denied legal effect or enforceability solely because an electronic record was used in its formation. 
(c) If a law requires a record to be in writing, an electronic record satisfies the law. 
(d) If a law requires a signature, an electronic signature satisfies the law.

Civil Code section 1633.2(h) defines “electronic signature” to mean “an electronic sound, symbol, or process attached to or logically associated with an electronic record and executed or adopted by a person with the intent to sign the electronic record.”

Civil Code section 1633.9 provides guidance in connection with determining the attribution and effect of an electronic signature:
“(a) An electronic record or electronic signature is attributable to a person if it was the act of the person. The act of the person may be shown in any manner, including a showing of the efficacy of any security procedure applied to determine the person to which the electronic record or electronic signature was attributable.

(b) The effect of an electronic record or electronic signature attributed to a person under subdivision (a) is determined from the context and surrounding circumstances at the time of its creation, execution, or adoption, including the parties' agreement, if any, and otherwise as provided by law.”

As noted above, counsel for plaintiffs has submitted a declaration indicating that the email attributable to plaintiffs’ counsel was intended by counsel’s signature to accept the settlement agreement.   [Vardapour Decl., para. 7].  It would appear that under the circumstances, including the agreement made before Judge Sinanian that the parties would accept or reject the “Mediator’s Proposal” via email transmitted to Judge Sinanian, the email transmission is sufficient to show that plaintiffs’ attorney entered into a writing signed outside the presence of the court for settlement of the case.    

With respect to defendants, there is no writing submitted with the moving papers showing that defendants entered into a “writing signed by the parties” agreeing to the terms of the settlement. 

Plaintiffs indicates that the parties learned they had both signed the agreement when Judge Sinanian e-mailed the parties on April 27, 2022 stating, 
“Dear Counsel:
Both sides have accepted the court’s “mediator proposal” to settle the above dispute for $80,000, payable within 30 days of execution of a written settlement agreement.  Please proceed to draft the agreement and file your notice of settlement to enable Judge Hofer to vacate all future dates.

Thank you for your cooperation and full engagement in the MSC process.”
[Vardapour Decl. para. 8, Ex. 2]. 

Plaintiffs argue that the parties accordingly entered into a settlement agreement, which included none of the terms that defendants now want to add, such as a confidentiality clause, and a clause limiting disparagement in the future as between the parties.  

The court was previously concerned that plaintiffs had not established that either party accepted the settlement in a writing signed outside the presence of the court, as required under the statute, and particularly that no writing signed by defendants, or their attorney had been submitted.   Plaintiffs at the hearing argued that a writing could be established based on a signature of counsel, under CCP section 664.6 (b), which was amended in 2021 to provide that a writing is “signed by a party” if it is signed by “(2) An attorney who represents the party.”  

However, the court’s main concern had been that there had been no writing submitted whatsoever which was signed by or on behalf of defendants.  The supplemental briefing also does not include such a writing.  

Plaintiffs rely on an email confirming acceptance of a proposal by Judge Sinanian, which plaintiffs have not submitted to the court.  Any email confirming such an acceptance would evidently be in the sole possession of defendants’ counsel and Judge Sinanian, as evidently the parties were to notify only Judge Sinanian of their acceptance or rejection of the proposal. Defendants in opposition do not submit the email purportedly accepting the proposal of Judge Sinanian, so there is no direct evidence before this court of a writing signed by defendants or their attorney outside the presence of the court.  

Plaintiffs in the supplemental opposition argue that because Judge Sinanian stated that “[b]oth sides have accepted the court’s ‘mediator proposal’ to settle the above dispute for $80,000, payable within 30 days of execution of a written settlement agreement,” this is sufficient to show the existence of a writing signed by defendants outside the presence of the court for settlement of the dispute.

The issue remains whether the court in this case, without having been provided a copy of the writing purporting to accept the settlement by defendants, can find that substantial evidence supports the existence of such a writing.   See Gauss v. GAF Corp. (2002) 103 Cal.App.4th 1110, 1116 (“A trial court’s determination of factual matters on a motion to enforce settlement is reviewed for substantial evidence.”  Citing Burckhard v. Del Monte Corp. (1996) 48 Cal.App.4th 1912, 1916).  


As noted above, while the court does not have before it a copy of the email sent by defendants via counsel, there is evidence that such an email was sent, as Judge Sinanian acknowledged that he received such writings accepting the proposal from both sides.  [Vardapour Decl. para. 8, Ex. 2].  The court also has before it evidence that the parties had agreed to the procedure for acceptance of the settlement by an email directed only to the settlement judge. [Vardapour Decl., para. 4].  The court file also shows that counsel for defendants filed a Notice of Settlement on April 28, 2022, further evidencing counsel and defendants’ intent to be bound by the agreement.

Defendants in the opposition do not contradict this evidence, and have not submitted any evidence, such as the email itself, to show that there was no intent at the time defendants’ counsel sent the email accepting the proposal to Judge Sinanian to by that means accept the settlement as proposed.  Defendants’ counsel does not submit a declaration indicating that there was an intent contrary to the one supported by the evidence submitted by plaintiffs, along with the court file.   Presumably, if defendants’ counsel had a contrary understanding or intent at the time, counsel could easily submit such contrary evidence.    

The case law relied upon by defendants, J.B.B. Investment Partners, Ltd. v. Fair (2014) 232 Cal.App.4th 974, involved a situation where the court found that there had been no agreement in advance to conduct a settlement by electronic means before the purported agreement was made via e-mail.  Here, there is uncontroverted evidence that the parties agreed to accept or reject a specific proposal in advance of the deadline agreed to by the parties for such acceptance by email to the settlement judge.  Judge Sinanian has stated unequivocally that the email acceptance by defendants was received.   

Considering the context and surrounding circumstances at the time of the acceptance of the settlement agreement, the court finds that substantial evidence supports a finding that the parties entered into a writing signed outside the presence of the court for the settlement of this matter.  

Defendants argue that the settlement was contingent on the drafting of a settlement agreement acceptable to both sides and continue to argue in the supplemental briefing that defendants want a settlement agreement, but one with a confidentiality provision.   

The Second District in Weddington Productions, Inc. v. Flick (1998) 60 Cal. App.4th 793 held that a trial court may on a section 664.6 motion receive evidence, determine disputed facts and enter the terms of a settlement agreement as a judgment, but may not create the material terms of a settlement as opposed to deciding what terms the parties themselves agreed to.  Weddington, at 810.  The trial court’s determination with respect to interpretation of the settlement agreement will not be disturbed on appeal if supported by substantial evidence.  Skulnick v. Roberts Express, Inc.  (1992) 2 Cal.App.4th 884, 889.   


Here, the uncontroverted evidence is summarized by Judge Sinanian as follows, “Both sides have accepted the court’s ‘mediator proposal’ to settle the above dispute for $80,000, payable within 30 days of execution of a written settlement agreement.”   The settlement will be enforced as to these terms.  
  
RULING:   
Plaintiff’s Motion to Enforce Settlement Agreement is GRANTED.  The court finds that parties to pending litigation stipulated to the settlement of the case in a writing signed by the parties outside the presence of the court.  Judgment is therefore entered in favor of plaintiffs Akop Sogomonyan and Tsovinar Sogomonyan, and against defendants Hamazasp Kirajmijyan, Anait Orudzhyan, Armen Kiramijyan, Karapet Zakaryan and KAASS PC in the sum of $80,000. 


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Please make arrangement in advance if you wish to appear via LACourtConnect/Microsoft Teams by visiting www.lacourt.org to schedule a remote appearance.  Please note that LACourtConnect/Microsoft Teams offers free audio and video appearance. Counsel and parties (including self-represented litigants) are encouraged not to personally appear.  With respect to the wearing of face masks, Department D recognizes that currently, the Los Angeles Department of Public Health strongly recommends masks indoors, especially when interacting with individuals whose vaccination status is unknown; for individuals who have a health condition that puts them at higher risk for severe illness; individuals who live with someone who is at higher risk; and for individuals who are around children who are not yet eligible for vaccines.  In accordance with this guidance, it is strongly recommended that anyone personally appearing in Department D wear a face mask.  The Department D Judge and court staff will continue to wear face masks.  If no appearance is set up through LACourtConnect/Microsoft Teams, or otherwise, then the Court will assume the parties are submitting on the tentative.