Judge: Theresa M. Traber, Case: 24STCV29056, Date: 2025-01-07 Tentative Ruling

Case Number: 24STCV29056    Hearing Date: January 7, 2025    Dept: 47

Tentative Ruling

Judge Theresa M. Traber, Department 47

HEARING DATE:     January 7, 2025                     TRIAL DATE: NOT SET

CASE:                         Pasaca Capital, LLC et al. v. Daniel Elliott, et al.

CASE NO.:                 24STCV29056           

MOTION TO SEAL

MOVING PARTY:               Plaintiffs Pasaca Capital LLC, Pasaca Capital, Inc., Innova Medical Group, Inc., and Charles Huang

RESPONDING PARTY(S): No response on eCourt as of 01/02/25

CASE HISTORY:

·         11/05/24: Complaint filed.

·         12/04/24: First Amended Complaint filed.

STATEMENT OF MATERIAL FACTS AND/OR PROCEEDINGS:

            This is an action for declaratory relief. Plaintiffs contend that Defendants are attempting to force arbitration of claims which fall outside the scope of a stipulation to arbitrate.

Plaintiffs move to seal portions of the First Amended Complaint in this action.

TENTATIVE RULING:

Plaintiffs move to seal portions of the First Amended Complaint in this action.

The sealing of court records is governed by California Rules of Court rules 2.550 and 2.551.  (Mercury Interactive Corp. v. Klein (2007) 158 Cal.App.4th 60, 68.)  The presumption of open access to court records does not apply to “records that are required to be kept confidential by law.” (Cal. Rules of Court, rule 2.550(a)(3).) A party seeking to seal a court record or seeking to file a record under seal must do so by motion or application supported by a declaration showing facts justifying the record’s sealing.  (Id., rule 2.551(b)(1).)  

California Rules of Court rule 2.550(d) states: “The court may order that a record be filed under seal only if it expressly finds facts that establish: 

(1) There exists an overriding interest that overcomes the right of public access to the record;

(2) The overriding interest supports sealing the record; 

(3) A substantial probability exists that the overriding interest will be prejudiced if the record is not sealed; 

(4) The proposed sealing is narrowly tailored; and 

(5) No less restrictive means exist to achieve the overriding interest.”  

            Once sealed, a record can only be unsealed by order of court.  (Id., rule 2.551(h)(1).)  So long as it remains under seal, all parties must refrain from filing anything not under seal that would disclose the sealed matter.  (Id., rule 2.551(c).)  If a party files a new document referring to sealed matter, it must submit an unredacted version of the document under seal and a redacted one for the public record.  (Id., rule 2.551(b)(5); H.B. Fuller Co. v. Doe (2007) 151 Cal.App.4th 879, 889.) 

            Plaintiffs move to seal the portions of the First Amended Complaint pertaining to the contents and subject of the arbitration agreement at the center of this dispute, as well as the agreement itself, on the grounds that the agreement contains a confidentiality provision. Leaving aside Plaintiffs’ failure to serve the named Defendants with this motion to seal the central portions of the operative pleading against them, Plaintiffs offer no California authority expressly recognizing such a provision as an overriding interest beyond a single footnote recognizing federal authority to that effect in NBC Subsidiary (KNBC-TC), Inc. v. Super. Ct. (Locke) (1999) 20 Cal. 4th 1178, at 1222 footnote 46. Moreover, Plaintiffs’ proposed sealing is not narrowly tailored, as the information sought to be restricted is central to the case, and Plaintiffs offer nothing to support a finding that no less restrictive means are available. This showing is not sufficient to support the disfavored measure of sealing the record.

Accordingly, Plaintiffs’ Motion to Seal is DENIED.

Plaintiffs are ordered to file and serve a clean, unredacted copy of the First Amended Complaint within 10 days of this order.

Moving Parties to give notice.

IT IS SO ORDERED.

Dated:  January 7, 2025                                  ___________________________________

                                                                                    Theresa M. Traber

                                                                                    Judge of the Superior Court

            Any party may submit on the tentative ruling by contacting the courtroom via email at Smcdept47@lacourt.org by no later than 4:00 p.m. the day before the hearing. All interested parties must be copied on the email. It should be noted that if you submit on a tentative ruling the court will still conduct a hearing if any party appears. By submitting on the tentative you have, in essence, waived your right to be present at the hearing, and you should be aware that the court may not adopt the tentative, and may issue an order which modifies the tentative ruling in whole or in part.