Justia California Court of Appeals Opinion Summaries

A qui tam plaintiff alleged that two banks violated the California False Claims Act (CFCA) by failing to report and deliver millions of dollars owing on unclaimed cashier’s checks to the State of California as escheated property. The trial court denied the banks’ motions to dismiss. The banks sought writ relief.The court of appeal denied relief, upholding the denial of the motions to dismiss. The court rejected the banks’ argument that a qui tam plaintiff may not pursue a CFCA action predicated on a failure to report and deliver escheated property unless the California State Controller first provides appropriate notice to the banks under Code of Civil Procedure section 1576. For pleading purposes, the complaints adequately allege the existence of an obligation as required under the CFCA: the plaintiff adequately alleged that the banks were obligated to report and deliver to California the money owed on unredeemed cashier’s checks, Allowing this action to proceed does not violate the banks’ due process rights. View "JPMorgan Chase Bank, N.A. v. Superior Court" on Justia Law

This appeal concerned a particular rate known as a “base rate,” which State Compensation Insurance Fund (State Fund) used to calculate premiums for its insureds. California Insurance Code section 11664(e)(6)(A) stated: “[i]f the premium rate in the governing classification for the insured is to be increased 25 percent or greater and the insurer intends to renew the policy, the insurer shall provide a written notice of a renewal offer not less than 30 days prior to the policy renewal date.” In a matter of first impression, the Court of Appeal found State Fund was not obligated to provide notice to cross-complainant Cover Right Roofing (Cover Right) under this statute. The increase at issue was not due to any change in the premium rate of Cover Right’s governing classification. Rather, a third party changed the applicable governing classification criteria, which caused Cover Right to be assigned a new governing classification with a higher premium rate. The statute did not require notice in such circumstances. Thus, the Court found the trial court correctly granted State Fund’s motion for summary judgment and affirm the judgment. View "Cover Right Roofing, Inc. v. State Compensation Ins. Fund" on Justia Law

In this case's previous trip to the Court of Appeal, the Court reversed the trial court’s judgment overturning a cleanup order issued by the California Regional Water Quality Control Board, Central Valley Region (Regional Board). The cleanup order directed Atlantic Richfield Company (ARCO) to remediate hazardous waste associated with an abandoned mine in Plumas County. The mine was owned by the Walker Mining Company, a subsidiary of ARCO’s predecessors in interest, International Smelting and Refining Company and Anaconda Copper Mining Company (International/Anaconda). The Court of Appeal held the trial court improperly applied the test articulated in United States v. Bestfoods, 524 U.S. 51 (1998) for determining whether a parent company is directly liable for pollution as an operator of a polluting facility owned by a subsidiary. On remand, the trial court entered judgment in favor of the Regional Board, concluding “[t]he record supported a determination of eccentric control of mining ‘operations specifically related to pollution, that is, operations having to do with the leakage or disposal of hazardous waste.’ ” ARCO appealed, contending: (1) the trial court improperly applied Bestfoods to the facts of this case, resulting in a finding of liability that was unsupported by substantial evidence; (2) the Regional Board abused its discretion by failing to exclude certain expert testimony as speculative; (3) the Regional Board’s actual financial bias in this matter required invalidation of the cleanup order for violation of due process; and (4) the cleanup order erroneously imposed joint and several liability on ARCO. Finding no reversible error to this order, the Court of Appeal affirmed the trial court. View "Atlantic Richfield Co. v. California Regional Water Quality etc." on Justia Law

In this case, which orginated from a marital dissolution action, the Second Appellate District affirmed the trial court's decision to award attorney's fees based on one of the party's frivolous motions to disqualify the other's attorney. The appellate court determined that the fact that the underlying action was voluntarily dismissed did not divest the court of jurisdiction to issue the award of attorney's fees. View "Marriage of Blake & Langer" on Justia Law

La Vonya Price worked intermittently as a part-time substitute special education aide at the Victor Valley Unified School District (the District) before applying for a full-time position. She received an offer for a full-time position that was contingent on passing a physical exam. When she failed the physical exam for not being “medically suitable for the position,” the District rescinded the offer, terminated her as a substitute, and disqualified her from any future employment with the District. Price sued the District for retaliation and various disability-related claims, but the trial court granted summary judgment to the District. Price appealed, contending the trial court erroneously granted summary judgment to the District because there were triable issues of fact concerning all of her claims. The Court of Appeal agreed as to her first claim for disability discrimination, but disagreed as to the rest of her claims. View "Price v. Victor Valley Union High School Dist." on Justia Law

Plaintiff filed a premises liability claim against Defendant after she fell on an asphalt patch in front of Defendant's property. The trial court granted defendant's motion for summary judgment, finding that the condition of the sidewalk was a trivial defect. The Second Appellate District reversed, holding that Defendant failed to carry the burden of establishing that the defect was trivial as a matter of law. View "Fajardo v. Dailey" on Justia Law

Petitioner was an equity partner in Dentons U.S. LLP, a law firm with offices throughout the United States. A dispute arose between them over a multimillion-dollar contingency fee from a client whom Petitioner brought to the firm. The partnership agreement contains a clause providing for arbitration of all disputes in Chicago or New York. The partnership agreement also contains a clause delegating all questions of arbitrability to the arbitrator. Dentons terminated Petitioner for cause, asserting a breach of fiduciary duty, and initiated an arbitration in New York.Petitioner sued Dentons for wrongful termination and other causes of action in Los Angeles Superior Court. Petitioner obtained a temporary restraining order and then a preliminary injunction, enjoining the New York arbitration until the court could decide whether there was a clear and unmistakable delegation clause.Dentons filed a motion under Code of Civil Procedure section 1281.4, seeking a mandatory stay of the case based on its motion to compel arbitration that was then pending in a New York court, which the New York court later granted.Petitioner sought a writ of mandate, which the court previously denied. The Supreme Court granted review and transferred the case back to the Second Appellate District, directing the court to issue an order to show cause. The court did so, and again denies the petition. The court agreed with the trial court that the parties delegated questions of arbitrability to the arbitrator. The arbitrability issues in this case include whether petitioner is an employee who may invoke Labor Code section 925 and require the merits of the dispute to be resolved in California instead of New York. View "Zhang v. Super. Ct." on Justia Law

Condominium owners alleged that a sewer service charge collected by Napa Sanitation District consists of a “capacity fee” and a “use fee” and that the latter was an unlawful tax. A challenge to the capacity fee was barred by a 120-day limitations period, Government Code 66022 Although the complaint expressly did not attack the capacity fee, the District argued that the ordinances authorizing the sewer service charge are inseverable, so the court would have to invalidate the entire charge if the plaintiffs prevailed. The trial court dismissed the suit.The court of appeal reversed. It was premature for the trial court to decide the issue of severability. The severability doctrine is intended to determine the scope of the remedy after a legal infirmity in the ordinance has been established; a finding of in-severability would not alter the nature of the claim or the underlying rights. Even if severability principles would require the invalidation of the entire sewer service charge, the District, rather than the plaintiffs, would bear the consequence of its decision to draft the ordinances that way. Severability is a shield by which a legislative body can preserve parts of its law that are not implicated by a valid legal claim, not a sword to preclude that claim, View "Raja Development Co., Inc. v. Napa Sanitary District" on Justia Law

Plaintiff Jane Doe was the founder and owner of a company called House of Lync, which was purchased by defendant SoftwareONE Inc. As part of the acquisition, plaintiff was offered a position with defendant as “Head Solutions Sales, Skype for Business,” which she accepted. At the time, plaintiff was 49 years old. Nine months later, defendant hosted a “National Sales Kick-off” event in Cancun, Mexico. Plaintiff attended, and felt the event was “full of outlandish behavior.” Plaintiff refused to participate, and later complained to the president of defendant’s American division. Beginning shortly after the event, defendant received complaints about plaintiff, including her “demeaning manner, withholding of important information, bullying, humiliation, and other unacceptable behaviors.” Defendant reassigned plaintiff to a new position: “Global Alliances and Practice Development Leader, Skype for Business.” About six months after plaintiff’s reassignment, Jason Cochran, defendant’s director of technical solutions told plaintiff, during an after-work event, that defendant “is a guy’s club,” plaintiff was “never going to make it” working for defendant, and called plaintiff a “bitch.” After plaintiff complained, defendant’s human resources manager investigated, “coached” Cochran, and informed plaintiff that defendant did not condone this behavior. A few months later, defendant purchased another company similar to plaintiff’s. Defendant then terminated plaintiff, citing poor performance and redundancy. Plaintiff sued defendant, alleging her firing was discriminatory and retaliatory. Defendant moved for summary judgment, arguing: (1) plaintiff could not establish a prima facie case for discrimination or retaliation; (2) defendant had legitimate, nondiscriminatory reasons for terminating plaintiff; and (3) plaintiff could not show defendant’s nondiscriminatory reasons were pretextual. The trial court granted defendant’s motion and entered judgment for defendant. In moving for a new trial, plaintiff argued, among other things, that even absent evidence of pretext, her claims could and should have survived summary judgment because she made a sufficient showing of retaliatory intent. The trial court agreed and granted plaintiff’s motion. Defendant timely appealed. Finding no reversible error, the Court of Appeal affirmed the trial court’s decision overturning summary judgment. View "Doe v. Software One" on Justia Law

Plaintiff and appellant Dedication and Everlasting Love to Animals, Inc. (DELTA) owns a vacant lot in the City of El Monte (City or El Monte). After receiving several citations for violating the municipal code, DELTA sought administrative review. The citations were upheld, and DELTA appealed to the superior court, which affirmed the administrative opinion. DELTA then attempted to appeal to the appellate division of the superior court, but when its filing was rejected, it appealed to the Second Appellate District court instead.The Second Appellate District determined that it lacked jurisdiction over this "limited civil matter." Thus, the court transferes the case to the appellate division of the Los Angeles Superior Court. View "Dedication and Everlasting Love etc. v. City of El Monte" on Justia Law