Judge: Yolanda Orozco, Case: 20STCV31636, Date: 2022-09-08 Tentative Ruling
Case Number: 20STCV31636 Hearing Date: September 8, 2022 Dept: 31
PETITION TO APPROVE MINORS’ COMPROMISE OF CLAIM RE: CAMILA A. DELGADO AND EMMA L. DELGADO IS GRANTED
Background
On August 20, 2020, Jacob R. Delgado, Cindy Delgado as individual and guardian ad litem to minors Camila A. Delgado and Emma A. Delgado filed a Complaint against Winston K. Chang and Patricia W. Chang for 1) breach of the implied warranty of habitability, 2) breach of the statutory warranty of habitability, 3) breach of the covenant for quiet enjoyment, 4) negligence, 5) violation of Civil Code Section 1942.4, and 6) private nuisance.
A Notice of Settlement was filed on August 02, 2022.
Petitioner Jacob R. Delgado filed this petition to approve minors’ compromise of claim on August 25, 2022.
Legal Standard
An enforceable settlement of a minor’s claim or that of a person lacking the capacity to make decisions can only be consummated with court approval. (Prob. Code, §§ 2504, 3500, 3600 et seq.; Code Civ. Proc., § 372; see Pearson v. Sup.Ct. (2012) 202 Cal.App.4th 1333, 1337.) “[T]he protective role the court generally assumes in cases involving minors, [is] a role to assure that whatever is done is in the minor's best interests . . . [I]ts primary concern is whether the compromise is sufficient to provide for the minor's injuries, care and treatment.” (Goldberg v. Sup. Ct. (1994) 23 Cal.App.4th 1378, 1382.)
A petition for court approval of a compromise pursuant to Code of Civil Procedure section 372 must comply with California Rules of Court, Rules 7.950, 7.951 and 7.952.
California Rules of court, Rule 7.950 provides, in relevant part, “[a] petition for court approval of a compromise of, or a covenant not to sue or enforce judgment on, a minor’s disputed claim; a compromise or settlement of a pending action or proceeding to which a minor or person with a disability is a party; or the disposition of the proceeds of a judgment for a minor or person with a disability under Probate Code sections 3500 and 3600-3613 or Code of Civil Procedure section 372 must be verified by the petitioner and must contain a full disclosure of all information that has any bearing upon the reasonableness of the compromise, covenant, settlement, or disposition. Except as provided in rule 7.950.5, the petition must be submitted on a completed Petition for Approval of Compromise of Claim or Action or Disposition of Proceeds of Judgment for Minor or Person With a Disability (form MC-350).” (Cal. Rules of Court, Rule 7.950.)
Discussion
This action against Defendants Winston K. Chang and Patricia W. Chang arose due to the uninhabitable conditions that existed at the subject property located in Long Beach, CA, including cockroach infestation, bed bug infestation, and rodent infestation. (MC-350 ¶ 6.)
A settlement was reached with Defendant’s insurance involving the four plaintiffs, including 2 minors and 2 adults. This petition involves two minors Camila A. Delgado (age 7) and Emma L. Delgado (age 3). (MC-350 attachment 12B.) Although not treated by medical doctors, the petitioner attests the minors suffered bug bites and allergy-type symptoms, such as runny noses, coughs, and itchy eyes, for which they received over-the-counter medications. (MC-350 attachment 14a.) The petitioner represents that minors have recovered completely and have no permanent injuries. (MC-350 ¶ 9(a).) Accordingly, the petitioner represents there are no medical expenses that need to be reimbursed from the proceeds of the settlement. (Id. ¶13.)
The total settlement is for $115,000.00 amongst the four Plaintiffs, with Camila Delgado and Emma Delgado each receiving $7,500.00 and the two adults receiving $50,000.00 each. The allocation of settlement was based upon the adult’s breach of contract claim, medical expenses, property damage, out-of-pocket costs, and other losses not suffered by the two minors. (MC-350 attachment 14a.)
Under the contingency fee agreement, Plaintiffs’ counsel is entitled to 40% of the recovery from each of the adults and 25% of the recovery from each of the minors. (MC-350 attachment 14a.) Since each minor’s net settlement is $7,500.00, the costs allocated for attorney’s fees is $1,796.65 from each minor’s net recovery, resulting in a net settlement of $5,389.95 for each minor. (MC-350 attachment 12C.) A copy of the retainer agreement is attached.
Plaintiff’s counsel, Christofer Chapman, asserts that during the course of the litigation, counsel conducted various client meetings, site inspections, mediation sessions, and court appearances. Plaintiff’s counsel also asserts he propounded written discovery and represents the case involved complex coverage issues due to the multiple policy exclusions and application of multiple insurance policies involving multiple owners. Plaintiff’s counsel estimates the average time sent in the prosecution of this matter on behalf of the minors is approximately 15 hours each. Accordingly, the fees sought from minors are reasonable given the issues, expertise, time, and experience required to resolve the matter. (Attachment 14a Declaration of Christofer Chapman.)
The petitioner submitted an MC-355 form for each of the two minors to deposit $5,389.95 into a blocked account with JP Morgan Chase in Long Beach, CA. An Order approving the compromise for each minor was also filed. (MC-351.)
Based on the foregoing, the Court finds that all conditions for approval of the petition have been met and the petition is GRANTED.
Conclusion
Petition to approve minors’ compromise of claims of Camila A. Delgado and Emma L. Delgado is GRANTED.
Plaintiff to give notice.
The parties are strongly encouraged to attend all scheduled hearings virtually or by audio. Effective July 20, 2020, all matters will be scheduled virtually and/or with audio through the Court’s LACourtConnect technology. The parties are strongly encouraged to use LACourtConnect for all their matters. All masking protocols will be observed at the Courthouse and in the courtrooms.