Judge: Salvatore Sirna, Case: 23PSCV00157, Date: 2024-01-10 Tentative Ruling

Case Number: 23PSCV00157    Hearing Date: January 31, 2024    Dept: G

Petitioner Zahir Dadabhoy’s Petition for Approval of Compromise of Claim or Action or Disposition of Proceeds of Judgment for Minor or a Person with a Disability

Respondent: NO OPPOSITION

TENTATIVE RULING

Petitioner Zahir Dadabhoy’s Petition for Approval of Compromise of Claim or Action or Disposition of Proceeds of Judgment for Minor or a Person with a Disability is GRANTED.

BACKGROUND

This is a personal injury action arising from a motor vehicle collision. In April 2022, Plaintiff A.D. was operating a Razor scooter eastbound on Silver Hawk Drive in Diamond Bar. At the same time, Defendant Anthony Fuller was allegedly operating a 2013 Ford commercial vehicle in the area on the behalf of Defendants Waste Management, Inc. (Waste Management) and Waste Management of California Inc. (Waste Management CA). While turning south from Silver Hawk Drive onto Dublin Lane, Fuller allegedly collided with A.D. in front of Farheen Dadabhoy, A.D.’s mother.

On January 18, 2023, A.D., by and through guardian ad litem Zahir Dadabhoy, and Farheen Dadabhoy filed a complaint against Waste Management, Waste Management CA, Fuller, and Does 1-50, alleging the following causes of action: (1) negligence; (2) negligent hiring, training, supervision, and retention; and (3) negligent infliction of emotional distress (NIED).

On December 22, 2023, Zahir Dadabhoy filed the present petition. A hearing on the petition is set for January 31, 2024, with a OSC Re: Dismissal set for March 7.

ANALYSIS

Zahir Dadabhoy petitions for the court’s approval of a $50,000 settlement reached between A.D., Waste Management, and Fuller.

Legal Standard

An enforceable settlement of a minor’s or incompetent’s claim can only be consummated with court approval. (Prob. Code, §§ 2504, 3500, 3600 et seq.; Code Civ. Proc., § 372.) For this purpose, a petition for approval must be presented to the court and until it is granted, there is no final settlement. (Scruton v. Korean Air Lines Co. (1995) 39 Cal.App.4th 1596, 1603-1606.) Any settlement agreement therefore is voidable by the minor’s guardian ad litem. (Id., at p. 1606.)

Probate Code section 3600, et seq., governs how the settlement proceeds are to be paid. Pursuant to Probate Code section 3601, the order shall approve payment of reasonable expenses from the settlement as follows:

The court making the order or giving the judgment referred to in Section 3600, as a part thereof, shall make a further order authorizing and directing that such reasonable expenses (medical or otherwise and including reimbursement to a parent, guardian, or conservator), costs, and attorney’s fees, as the court shall approve and allow therein, shall be paid from the money or other property to be paid or delivered for the benefit of the minor or incompetent person. (Prob. Code, § 3601, subd. (a).)

In cases pursuant to Probate Code section 3601, “unless the court has approved the fee agreement in advance, the court must use a reasonable fee standard when approving and allowing the amount of attorney’s fees payable from money or property paid or to be paid for the benefit of a minor or a person with a disability.” (Cal. Rules of Court 7.955, subd. (a)(1).) In doing so, “[t]he court must give consideration to the terms of any representation agreement made between the attorney and the representative of the minor or person with a disability and must evaluate the agreement based on the facts and circumstances existing at the time the agreement was made, except where the attorney and the representative of the minor or person with a disability contemplated that the attorney's fee would be affected by later events.” (Cal. Rules of Court 7.955, subd. (a)(2).)

Discussion

The current matter involves a motor vehicle collision between minor plaintiff A.D. and Fuller which occurred on Silver Hawk Drive in Diamond Bar. Pursuant to the settlement agreement reached between the parties, Waste Management and Fuller will pay a total of $50,000 to A.D.

With regard to attorney fees, a retainer agreement is attached to the Petition as Exhibit 17(a). In it, the attorney fees for A.D. will be 40% of the gross recovery. Here, counsel requests $16,665 in attorney fees which is only 33.33% of the total recovery. Counsel also requests $4,456.79 in litigation costs while Zahir Dadabhoy requests $3,881.45 in medical expenses. In summary, A.D. will receive a total of $24,996.76. The petition requests the funds be deposited into an account with Chase Bank subject to court approval for withdrawal.

Based on the petition, the court finds the settlement amount to A.D. is reasonable. The court also finds counsel’s recovery of fees in the amount of 33.33% is reasonable. Last, the court finds the request to deposit the funds into a bank account proper. Accordingly, Zahir Dadabhoy’s petition is GRANTED.

CONCLUSION

Based on the foregoing, the court GRANTS the petition to confirm minor’s compromise.