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California Appellate Tracker

The following summaries are of recent published decisions of the California appellate courts, the Ninth Circuit, and the United States Supreme Court. The summaries are presented without regard to whether Severson & Werson represented a party in the case.

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Fitness leased a building from SVAP.  The lease was for a period of 15 years with 3 five-year renewals at the tenant's option.  In the 20th year of the lease, COVID hit, and the tenant was forced by government orders to shutter its gym facility for several months.  This decision holds that despite the financial hardship the tenant suffered, it… Read More

Owner sued waterproofing company in 2013 claiming its poor application of waterproofing materials on the roof of owner's building caused leaks in the roof.  The jury verdict was in favor of the waterproofing company.  Though finding it was negligent, the jury concluded defendant's negligence did not cause the leaks or other damage to the building.  Several years later, owner sued… Read More

A plaintiff claiming loss or damage to its cannabis business cannot bring a federal RICO suit against the defendant causing that damage.  Though legal under California law, a cannabis business is illegal under federal law and so cannot be recognized as "business or property" injury to which might confer statutory standing t sue for a RICO violation. Read More

To appeal from a Labor Commissioner award of wages to an employee, the employer must post a bond in the amount the Labor Commissioner awarded.  This decision holds that a car wash company cannot substitute its $150,000 car wash bond for the bond required by section 98.2.  Though for a similar purpose of guaranteeing payment of wages to car wash… Read More

The trial court correctly granted defendant's anti-SLAPP motion to strike plaintiff's Rosenthal Fair Debt Collection Practices Act suit because plaintiff could not show a likelihood of prevailing on the claim.  Civ. Code 1788.17 incorporates provisions of the federal Fair Debt Collection Practices Act, including 15 USC 1692e which forbids false statements in attempts to collect debts and misrepresentation of the… Read More

The trial court correctly granted defendant's anti-SLAPP motion to strike plaintiff's Rosenthal Fair Debt Collection Practices Act suit because plaintiff could not show a likelihood of prevailing on the claim.  Civ. Code 1788.17 incorporates provisions of the federal Fair Debt Collection Practices Act, including 15 USC 1692e which forbids false statements in attempts to collect debts and misrepresentation of the… Read More

Plaintiff bought a set of tires from WalMart.com, agreeing to its online terms which included an arbitration agreement.  He sent the tires to a local WalMart to be installed on his car.  While in the store, plaintiff bought WalMart's "lifetime" service contract for tire rotation and balancing.  That service contract did not include an arbitration clause.  This decision affirms the… Read More

In a case governed by federal law, the arbitrator not the court decides whether the defendant has waived arbitration at least by acts other than participation in litigation.  But under California law, the court decides issues of waiver.  (CCP 1281.2(a).)  In this case, despite a choice of FAA law in the arbitration clause, California law governed this issue because plaintiffs'… Read More

Heirs who filed a medical malpractice wrongful death suit lack standing to challenge the constitutionality of MICRA's limits on noneconomic damages (Civ. Code 3333.2) and attorney fees (B&P Code 6147).  Plaintiffs' attorney had not withdrawn or moved to withraw due to the statutory limits on attorney fees.  Moreover, there is no constitutional right to an attorney in civil litigation.  Plaintiffs… Read More

In a suit between step-siblings of a 96-year old multi-millionaire, this decision holds that the trial court properly denied an Anti-SLAPP motion to strike the plaintiffs' claim for an elder abuse restraining order.  The claim did not arise from the defendants' protected litigation activities but from their non-protected acts of isolating the 96-year-old and causing him anxiety by importuning him… Read More

Following Marina Pacific Hotel & Suites, LLC v. Fireman's Fund Ins. Co. (2022) 81 Cal.App.5th 96, this decision holds that a complaint alleging that COVID-19 physically changes the business premises by virus-infected droplets adhering to surfaces and transforming them into disease-spreading modalities states an actionable claim for coverage under standard CGL business interruption coverage language. Read More

While in the hospital, plaintiff was assaulted by a psychiatric patient at the same hospital.  Plaintiff sued the hospital claiming it failed to take reasonable measures to protect plaintiff from the assault which it should have anticipated from information available to the hospital's psychiatrist.  This decision holds that the trial court erroneously concluded that plaintiff was not entitled to discovery… Read More

The city sued Cordoba for submitting fraudulent invoices under a contract for it to provide consulting services in connection with a proposed solar energy farm.  Cordoba cross-complained, alleging that the city breached the contract by disputing the invoices after the 30-day limit provided for in the contract and breached the covenant of good faith by investigating the fraud.  The cross-complaint… Read More

The employer properly computed overtime pay in accordance for pay periods in which it paid plaintiff an hourly wage and a percentage bonus on sales.  The employer used the method prescribed for FSLA overtime (29 CFR 778.210), applying instead the DLSE's Enforcement Manual method (section 49.2.4) would result in an improper overtime on overtime since the bonus already was computed… Read More

This decision holds that an attorney's jury selection notes are not subject to absolute attorney work product protection in connection with a challenge to the jury panel or the judgment based on racial or other discriminatory use of peremptory challenges or claimed the Batson/Wheeler error.  An attorney’s jury selection notes are unlikely to reveal impressions, conclusions, or opinions about the… Read More

The district court did not abuse its discretion in certifying two California and one national classes in a suit by detained immigrants against the private company that ran the detention centers.  The defendant's written corporate policies required inmates to work, cleaning bathrooms and other public areas under threat of discipline, and the defendant had a policy of misclassifying inmates as… Read More

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