Justia California Court of Appeals Opinion Summaries

BioCorRx, Inc. (BioCorRx) was a publicly traded company primarily engaged in the business of providing addiction treatment services and related medication. It issued several press releases that allegedly made misrepresentations and improperly disclosed confidential information about a treatment it was developing for opioid overdose. VDM Biochemicals, Inc. (VDM) specializes in the synthesis and distribution of chemicals, reagents, and other specialty products for life science research. It owned a patent (the patent) for VDM-001, a compound with potential use as a treatment for opioid overdose. In September 2018, VDM and BioCorRx entered into a Mutual Nondisclosure & Confidentiality Agreement (the NDA), which restricted each party’s disclosure of confidential information as they discussed forming a business relationship. A month later, VDM and BioCorRx signed a Letter of Intent to Enter Definitive Agreement to Acquire Stake in Intellectual Property (the letter of intent). The letter of intent memorialized the parties’ shared desire whereby BioCorRx would partner with VDM to develop and commercialize VDM-001. BioCorRx and VDM never signed a formal contract concerning VDM-001. Their relationship eventually soured. BioCorRx filed a complaint (the complaint) against VDM; VDM cross-complained. In response, BioCorRx filed the anti-SLAPP motion at issue here, seeking to strike all the allegations from the cross-complaint concerning the press releases. The Court of Appeal found these statements fell within the commercial speech exemption of California's Code of Civil Procedure section 425.16 (the anti-SLAPP statute) because they were representations about BioCorRx’s business operations that were made to investors to promote its goods and services through the sale of its securities. Since these statements were not protected by the anti-SLAPP statute, the Court reversed the part of the trial court’s order granting the anti-SLAPP motion as to the press releases. The Court affirmed the unchallenged portion of the order striking unrelated allegations. View "BioCorRx, Inc. v. VDM Biochemicals, Inc." on Justia Law

Petitioner FlightSafety International, Inc. appeals from the judgment entered after the trial court denied its two consolidated petitions for writs of mandate. The trial court found that FlightSafety was not entitled to mandamus relief because it had an adequate remedy at law, which it had bypassed. FlightSafety contended in the trial court that it was entitled to a decision by the Los Angeles County Assessment Appeals Board (AAB) on its assessment appeal applications within the two-year period specified in Revenue and Taxation Code section 1604, subdivision (c). FlightSafety argued the extensions had expired as a matter of law two years from the date of filing. It argued it therefore had not received timely hearings on its applications. FlightSafety asked the trial court to order the AAB to schedule hearings forthwith and, in the meantime, enter its own opinion of the value of its property on the tax assessment rolls. The trial court found writ relief was not available. Plaintiff contends the trial court erroneously found the extension agreements valid and mandamus relief unavailable.   The Second Appellate District affirmed. The court explained that none of the four cases relied upon by Petitioner considered whether the applicant had an adequate remedy for the AAB’s refusal to place the applicant’s opinion of value on the assessment rolls. Thus, none of the cases stand for the proposition that a tax refund action is an inadequate remedy in all cases seeking relief for an AAB’s action (or inaction) under section 1604. View "FlightSafety International v. L.A. County Assessment Appeals Bd." on Justia Law

This is an appeal from an order granting Defendants Seyfarth Shaw LLP (Seyfarth) and Colleen Regan a portion of the fees they requested pursuant to Code of Civil Procedure section 425.161 (the anti-SLAPP2 statute) and resulting judgment. The trial court awarded the fees without finally ruling on Defendants’ anti-SLAPP motion to strike. Plaintiffs immediately thereafter dismissed their complaint. Plaintiffs appealed the fee award on three general theories. Defendants cross-appealed. They argue the trial court should have awarded all the fees they requested, not just a portion of those fees, because all of Plaintiffs’ claims were based on conduct protected by the anti-SLAPP statute, no exceptions applied, and their request was reasonable.   The Second Appellate District affirmed in part and reversed in part. The court explained that it agreed with Defendants that their motion to strike was wholly meritorious and their fee request therefore should not have been reduced on the grounds that they would have prevailed only partially on their motion. The court disagreed with Plaintiffs that the trial court erred in the ways they claimed. The court explained that under Coltrain, Defendants prevailed because plaintiffs dismissed their suit and failed to show it was for reasons unrelated to lack of merit. Further, under Liu, Defendants were the prevailing party because their Anti-SLAPP motion was entirely meritorious. View "Ross v. Seyfarth Shaw LLP" on Justia Law

Plaintiff claimed the nursing facility where she worked as an aide for nine years was so chronically understaffed that she never took a rest break and frequently had to work through her meal breaks. After her termination, Plaintiff brought a claim under the Labor Code Private Attorneys General Act of 2004 (PAGA) against Respondents Southland Management LLC and The Ensign Group Inc. Respondents moved for summary judgment, arguing that Plaintiff lacked standing to bring a representative PAGA action. The trial court granted summary judgment on a different issue, holding that Plaintiff had not offered any “competent proof that one or more cognizable Labor Code violations occurred during her employment in connection with her right to meal and rest periods.” The court entered a judgment of dismissal, and Plaintiff appealed.The Second Appellate District reversed. The court concluded that Respondents did not produce sufficient evidence to meet their initial burden of production on the standing issue, i.e., that Plaintiff had not suffered a Labor Code violation during her employment. The court explained that Plaintiff’s complaint alleged that “scheduling and understaffing issues, high patient-to-nurse ratio, and a heavy workload” made it functionally impossible for her to take meal and rest breaks. Respondents’ moving papers did not address or negate those allegations. Because Respondents did not furnish evidence tending to negate Plaintiff’s allegations that their practices conflicted with their written break policies, they did not meet their initial burden of production, and summary judgment should have been denied. View "Arce v. The Ensign Group, Inc." on Justia Law

Plaintiff an electrical technician, was injured when a broken hatch providing access to the roof of a commercial building slammed shut on his back, herniating several of his discs. He sued the building’s owner and management company for negligence and premises liability, contending that defendants had failed either to repair a dangerous condition of which they were aware or to warn him of it. A jury returned a special verdict for Acosta and awarded him damages in excess of $12.6 million.   The Second Appellate District reversed. The court explained that a property owner who hires an independent contractor may be liable to the contractor’s employee for injuries sustained on the job only if the owner exercises retained control over any part of the contractor’s work in a manner that affirmatively contributes to the worker’s injuries, or the employee is injured by a concealed hazard that is unknown and not reasonably ascertainable by the contractor. In the present case, Plaintiff does not contend that defendants exercised any retained control over the work site, and the undisputed evidence established that Plaintiff and his employer could reasonably have ascertained the hazardous condition of the site—i.e., that the mechanism designed to hold the roof hatch open was broken and the ladder that provided access to the hatch did not reach all the way to the roof. View "Acosta v. MAS Realty, LLC" on Justia Law

UC Davis students Doe and Roe were having consensual sex in Doe’s room, when Doe made a one-second video recording of his own face. Roe asked Doe to delete it, which he did. Months later, she made a formal complaint. Doe initially lied to the investigator but ultimately admitted to taking the recording. UC Davis imposed a one-year suspension for violations of its Sexual Violence and Sexual Harassment Policy and a policy that generally bars nonconsensual recordings that violate another person’s privacy. The trial court found UC Davis’s Title IX procedure “consistent with due process standards” but found the suspension “objectively excessive and punitive,” stating that the college must do more to explain its Title IX discipline. UC Davis then imposed a shorter suspension.Doe unsuccessfully sought $142,387.48 attorney fees under Code of Civil Procedure 1021.5 and $7,500 under Government Code 800. The court of appeal held that Doe was not entitled to attorney fees under section 1021.5 because the litigation did not confer a significant benefit “on the general public or a large class of persons.” However, section 800 authorizes an award of up to $7,500 if the challenged administrative determination “was the result of arbitrary or capricious action or conduct.” All aspects of an administrative proceeding need not be arbitrary or capricious to justify section 800 fees. The court remanded for consideration of whether UC Davis engaged in sufficient arbitrary or capricious conduct to warrant an award. View "Doe v. Atkinson" on Justia Law

Plaintiff Breanne Martin alleged she was injured when a large metal gate fell on her while she was on a residential rental property located in Alpine, California. Martin initially filed claims for negligence and premises liability against the owners of the property. But upon learning that the owners had previously filed a bankruptcy petition, Martin amended her complaint to add the court-appointed bankruptcy trustee, Leslie Gladstone, as a defendant. Gladstone demurred to Martin’s complaint, asserting that application of federal statutory and common law demonstrated that Martin could not state a cause of action against her. The trial court rejected Gladstone’s argument regarding application of the "Barton" doctrine, but accepted her argument regarding the abandonment of the property at issue; the court sustained Gladstone’s demurrer on this ground and entered judgment in favor of Gladstone. On appeal, Martin contended the trial court erred in concluding that Gladstone’s abandonment of the relevant property after the accident prevented Gladstone from being held liable for Martin’s injuries. Martin further argued the trial court correctly determined it could not conclude as a matter of law that the Barton doctrine applied to divest the trial court of subject matter jurisdiction over Martin’s claims. The Court of Appeal agreed with Martin’s appellate contentions and reversed the trial court’s judgment. View "Martin v. Gladstone" on Justia Law

In 1994, Duncan moved into a rent-controlled unit in San Francisco. He was living there with his family when, in 2014, the landlords purchased the building and took away property-related benefits, ignored or delayed maintenance, were uncommunicative and uncooperative, and became increasingly hostile. While living in their unit, the tenants sued the landlords, alleging nuisance, breach of contract, negligence, harassment under San Francisco’s Residential Rent Stabilization and Arbitration Ordinance, and unfair business practices (Bus. & Prof. Code 17200). Unlawful detainer actions were then filed against the tenants, who asserted affirmative defenses of retaliation and violation of the Rent Ordinance but later vacated the premises The landlords then unsuccessfully argued that because the tenants did not file a cross-complaint in the unlawful detainer actions, they were barred from pursuing their already-pending separate action. In 2016, the tenants added an allegation of unlawful owner move-in eviction. The jurors found the landlords liable under the Rent Ordinance and awarded $2.7 million. The court of appeal affirmed in 2021.The landlords nonetheless filed motions to vacate, claiming that the trial court had lacked subject matter jurisdiction over the tenants’ claims after they surrendered possession of their unit. The court of appeal affirmed the rejection of that claim. The only legal claim the tenants abandoned by moving out was current possession. The tenants’ other claims were not waived and were not required to be litigated in the unlawful detainer actions. View "Duncan v. Kihagi" on Justia Law

Natalie F. (Mother) and Jan F. (Father) are parents of a now six-year-old girl, M.F., and a three-year-old boy, O.F. Mother sought a restraining order under the Domestic Violence Prevention Act (DVPA) against Father. She claimed she suffered abuse within the meaning of the DVPA as a result of Father making false police reports to the Santa Monica Police Department (SMPD) to conduct welfare checks on the children while they were in Mother’s care and sending her and her attorney over 130 harassing messages via email and the communication platform Our Family Wizard (OFW) over a 40-day period. The family court denied Mother’s request for a domestic violence restraining order (DVRO), finding Father’s actions as alleged by Mother did not constitute abuse under the DVPA. Mother argues the family court erred in denying her DVRO request because Father’s actions amounted to abuse, and the First Amendment does not protect such conduct. She further argues that regardless of whether she could seek a remedy in the custody proceedings, she was still entitled to a DVRO.   The Second Appellate District reversed and remanded. The court concluded that based on the limited evidence before it, the family court erred in denying the DVRO. Mother adduced evidence that Father made multiple requests for police welfare checks not for any legitimate reason but based on false information to harass her. If fully credited, that evidence alone was sufficient to demonstrate abuse under the DVPA and to require the issuance of a DVRO, and the family court erred in finding otherwise. View "Jan F. v. Natalie F." on Justia Law

Defendant-appellant Joshua Allen appealed his convictions for possessing a controlled substance while armed with a firearm and possessing an unregistered and loaded firearm while in a vehicle. He argued on appeal that the laws violate dthe Second Amendment as interpreted by N.Y. State Rifle & Pistol Ass’n v. Bruen, 597 U.S. __ [142 S.Ct. 2111] (2022). The Court of Appeal rejected the constitutional challenges, and published its analysis concerning possession of a controlled substance while armed with a firearm to confirm that California v. Gonzalez, 75 Cal.App.5th 907, 912-916 (2022) remained good law. Nevertheless, the Court vacated Allen’s sentence and remanded for resentencing because the Court agreed with the parties that Allen’s sentence violated Penal Code section 654. View "California v. Allen" on Justia Law