Judge: Salvatore Sirna, Case: 23PSCV03555, Date: 2024-03-27 Tentative Ruling

Case Number: 23PSCV03555    Hearing Date: March 27, 2024    Dept: G

Defendants E*TRADE Securities LLC and John Edward Bersin’s Demurrer to Plaintiffs’ Complaint

Respondent: NO OPPOSITION

TENTATIVE RULING

Defendants E*TRADE Securities LLC and John Edward Bersin’s Demurrer to Plaintiffs’ Complaint is CONTINUED to April 18, 2024 at 08:30 AM in Department G (Pomona).

BACKGROUND

On November 17, 2023, Plaintiffs Jose Guzman Salcedo and Rafael R. Salcedo filed a complaint against Defendants Franchise Tax Board (FTB), E*TRADE Securities Inc., E*TRADE Securities LLC, E*TRADE Clearing LLC (E*TRADE Clearing), E*TRADE Financial Corp., E*TRADE Financial LLC, E*TRADE Group Inc. (E*TRADE), TIR Holdings Limited (TIR Holdings), John Edward Bersin, Michael D. Lane, Bank of America, N.A., (Bank of America) and Does 1-100, alleging the following causes of action: (1) general negligence against the FTB, (2) general negligence against E*TRADE Securities LLC and E*TRADE Financial Corp., (3) fraud against E*TRADE Securities LLC, (4) intentional tort against Bersin, (5) intentional tort against Lane, (6) negligence against Lane, (7) general negligence against Bank of America by Guzman Salcedo, and (8) general negligence against Bank of America by Salcedo.

On February 16, 2024, Bank of America filed a demurrer to Guzman Salcedo and Salcedo’s Complaint.

On February 29, 2024, E*TRADE Securities LLC and Bersin (collectively, E*TRADE Defendants) filed the present demurrer. Prior to filing on February 23, the E*TRADE Defendants’ counsel attempted to meet and confer telephonically with Guzman Salcedo and Salcedo but was unable to get in contact with them. (Stroud Decl., ¶ 2.)

On February 29, 2024, the E*TRADE Defendants also filed a motion to compel arbitration.

A hearing on the present demurrer is set for March 27, 2024. A hearing on the E*TRADE Defendants’ motion to compel arbitration is set for April 15 with a case management conference, OSC Re: Failure to File Proof of Service, and hearing on Bank of America’s demurrer set for April 18.

ANALYSIS

The E*TRADE Defendants demur to Guzman Salcedo and Salcedo’s second cause of action (general negligence), third cause of action (­fraud), and fourth cause of action (­intentional tort). Because the E*TRADE Defendants’ pending motion to compel arbitration has the potential to moot the present demurrer if granted, the court will CONTINUE the hearing on the present demurrer to be heard conterminously with their motion to compel arbitration.

CONCLUSION

Based on the foregoing, the E*TRADE Defendants’ demurrer to Guzman Salcedo and Salcedo’s Complaint is CONTINUED to April 18, 2024 at 08:30 AM in Department G (Pomona).