The husband in a dissolution action brought what the appellate court termed a “settle and sue” legal malpractice case against his former lawyers for recommending he pay his ex-wife permanent spousal support of $7,000 per month. He alleged the settlement was excessive because the lawyers improperly calculated his permanent support obligation based upon DissoMaster guidelines instead […]
Huge Award For Restitution And Penalties In Loan Modification Scheme.
The Attorney General brought an action seeking injunctive relief and restitution under California’s consumer protection statutes. The defendants operated a scheme by which they promised customers they would obtain loan modifications from lenders and prevent foreclosure of the customers’ homes. Although they represented to customers they never had a case in which a loan modification […]
Continued Confusion Over Government Claims.
These are the allegations: A man was released from a state mental hospital but was not provided his psychotropic medication or any guidance on how to obtain it. Twelve days later, he was discovered “unconscious, lying on his blood-soaked bed in a pool of his own blood,” after cutting off his own genitals with a […]
Defendants Held Liable For Aiding And Abetting Breach Of Fiduciary Duty To Plaintiff, Despite Not Owing Plaintiff A Fiduciary Duty.
The jury found defendants liable for aiding and abetting breach of fiduciary duty and awarded restitution in the amount of approximately $5.8 million. A main issue in the appellate court was whether there can be liability for aiding and abetting a breach of fiduciary duty against someone who does not owe a fiduciary duty. The […]
Who Pays The Costs When Both Sides Prevail And The Judge Has Discretion?
The trial court awarded $12,731.92 to the defendant for costs after the parties placed the following settlement on the record just before a jury panel was called: “[I]n consideration for dismissal with prejudice of the two claims of breach of contract and breach of covenant, Defendant will pay Plaintiff within 10 days $23,500.” Defense counsel […]
Attorney Fees Sought By Person Denied Social Services Who Prevails On A Writ.
If a person receives an unfavorable administrative decision when seeking social services, the exclusive remedy is a petition in the superior court. (Welfare and Institutions Code section 10962.) That statute also provides: “The applicant or recipient shall be entitled to reasonable attorney’s fees and costs, if he obtains a decision in his favor.” In this […]
Consumer Protection Statutes May Not Be Used To Fight Tax Overcharges By Retailers.
In a four to three decision, the California Supreme Court held that California’s consumer protection statutes may not be utilized when a retailer charges tax on take-out coffee, which is contrary to law. The majority opinion states: “We conclude that the tax code provides the exclusive means by which plaintiffs’ dispute over the taxability of […]
Tentacles Of Bank Failure Reach Wrongful Termination Case.
When a bank failed, the Federal Deposit Insurance Corporation [FDIC] promptly published notices informing creditors where, when and how to file claims against the failed bank. Six months after the end of the time to file a claim, plaintiff filed his wrongful termination action against the failed bank. The takeover bank successfully moved to compel […]
Forbearance Fees Do Not Violate Usury Law.
A debtor entered into a series of agreements in which he sought to delay enforcement of judgments. The creditor agreed not to enforce the judgments prior to a certain date in exchange for certain promises as well as the payment of a surcharge of $500 per day for each day the judgments were not paid […]
Mother’s Chutzpah: Dead On Arrival.
In 1985, the father of two children was ordered to pay child support, which he did until the mother of the children, his former wife, disappeared with the children, moved out of state and changed the children’s names. The father did not see the children again for 15 years, almost their entire minority. In 1998, […]
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