Res Judicata / Claims Preclusion Inapplicable.

In 2005, plaintiff sued defendant in federal court for patent infringement, and the action was settled in 2007. In 2008, plaintiff sued defendant for breach of settlement agreement, once again in federal court. In 2010, plaintiff brought an action against defendant in state court, contending fraudulent transfer of assets in frustration of the settlement agreement. Defendant moved for summary judgment, arguing res judicata and claims preclusion barred the state court action. The trial court concluded a different primary right was involved in that, “This case in State court is about holding defendants accountable for allegedly frustrating plaintiff’s ability to collect on the obligation to pay money.” The appellate court agreed with the trial court and concluded res judicata and claims preclusion did not apply.  (Fujifilm Corporation v. Yang (Cal. App. Second Dist., Div. 8; January 24, 2014) 223 Cal.App.4th 326, [167 Cal.Rptr.3d 241].)