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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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The trial court properly granted defendant property owner summary judgment under Privette v. Superior Court (1993) 5 Cal.4th 689.  Plaintiff was injured while working as a contractor's employee, fixing the building's HVAC system.  Plaintiff failed to raise a triable issue of fact under the Kinsman v. Unocal Corp. (2005) 37 Cal.4th 659 exception to Privette.  Plaintiff fell through the ceiling… Read More

Contrary to holdings in prior cases, this decision holds that a party does not impliedly waive grounds for challenging a trial judge for cause under CCP 170.1 or 170.3 by waiting past the earliest opportunity to challenge the judge.  CCP 170.3(b)(2) provides that there cannot be a waiver of the right to disqualify a judge for personal bias or prejudice… Read More

This decision holds that sexually graphic, violently misogynistic music played constantly throughout defendant's warehouse could create a hostile working environment constituting sex discrimination in employment.  Music with sexually derogatory and violent content, played constantly and publicly throughout the workplace, can foster a hostile or abusive environment and thus constitute sex discrimination.  Harassment, whether aural or visual, need not be directly… Read More

Under the Tenant Protection Act of 2019 (Civ. Code 1946.2), a landlord cannot terminate a lawful tenancy after a year of its duration except for just cause--either a tenant default or a landlord move-in or removal of the unit from the rental market.  This decision holds that there is a triable issue of fact as to whether that section applies. … Read More

An electrician working on a lengthy project at a farm caught a disease caused by a fungus that spreads from bird feces particularly if the feces are mixed with soil over an extended period.  Following Sarti v. Salt Creek, Ltd. (2008) 167 Cal.App.4th 1187 and distinguishing Miranda v. Bomel Construction Co., Inc. (2010) 187 Cal.App.4th 1326, this decision holds that… Read More

Plaintiff was the first attorney defendant hired on a contingent fee basis in an underlying case.  Plaintiff properly acquired an attorney's lien on any recovery in the underlying case.  Defendant fired plaintiff and hired Williams in his stead.  Williams also acquired an attorney's lien.  After the underlying suit was favorably resolved, plaintiff sued to recover his fees from the recovery. … Read More

This decision holds that the trial court properly denied defendants' Anti-SLAPP motion because defendants failed to show that the suit arose from protected speech.  The suit sought declaratory and injunctive relief to invalidate AB 1936 (2021-2022 Reg. Sess.) which renamed Hastings College of Law (due to Hastings' alleged involvement in the massacre of Native Americans in Mendocino County).  The legislation… Read More

Under Lab. Code 2810.3, an outsourcing employer is liable for employees' wages for work done for another entity if the work is within the outsourcer's usual course of business.  Here, the court holds that the section did not apply to defendants which were corporations that bought produce from farming corporations for which the workers were employed.  While the defendants' produce… Read More

A Delaware corporation's bylaw requiring any shareholder derivative suit be brought in Delaware Chancery Court is enforceable.  Such a forum selection clause does not offend any federal statute or public policy.  Here, the complaint alleged a claim under Securities Exchange Act section 14(b) (15 USC 78n) which governs proxy statements.  The Securities Exchange Act's non-waiver provision applies only to the… Read More

Gov. Code 818 immunizes governmental agencies from liability for damages imposed primarily for the sake of example and by way of punishing the defendant.  This decision holds that section 818 bars a claim for treble damages under CCP 340.1(b) for a childhood sexual assault resulting from the defendant's concerted effort to hide evidence relating to such assaults.  Section 340.1 imposes… Read More

The NLRA does not shield strikers who fail to take “reasonable precautions” to protect their employer’s property from foreseeable, aggravated, and imminent danger due to the sudden cessation of work.  Here, workers waited until the employer's cement trucks were loaded with wet concrete.  Then they struck, allowing the concrete to harden and destroying the employer's trucks.  That conduct was not… Read More

A claim under section 11 of the Securities Act (15 USC 77k) may be stated only by purchasers of shares registered under the registration statement that contains the allegedly misleading statements, not other unregistered shares that become marketable once the registration of other shares is accomplished. Read More

The federal False Claims Act prohibits "knowingly" submitting a false claim.  It defines knowingly to mean actual knowledge, deliberate ignorance, or reckless disregard of truth or falsity.  (31 U.S.C. §3729(b)(1)(A).)  This decision holds that especially as read against the background of common law fraud which the False Claims Act builds on, the statutory definition of "knowingly" sets a standard governed… Read More

This decision holds that a complaint alleging a false implied certification violation of the California False Claims Act must be pleaded with particularity.  But, it also holds that the plaintiff satisfied that standard in this case in which plaintiff claimed that remarketing agents had breached their contracts with local agencies in setting the interest rates on local agencies' variable rate… Read More

Under California's False Claims Act, there is a public disclosure bar to suit if the information on which the suit is based was publicly disclosed in a criminal, civil, or administrative hearing, in a report, hearing, audit or investigation by the Legislature, or in news media.  (Gov. Code 12652(d)(3)(A).)  This decision holds that interest rates on government bonds automatically reported… Read More

An employer's arbitration agreement contained a carve-out provision stating that claims under PAGA are not arbitrable under this agreement.  This decision holds that the plain language of the carve-out excludes from arbitration all PAGA claims--including those individual PAGA claims that Viking River Cruises, Inc. v. Moriana (2022) 142 S.Ct. 1906 are arbitrable (absent the parties' contrary agreement). Hence, the trial… Read More

After his house was destroyed in a fire, Tipton filed a claim under his homeowner's policy with Nationwide.  In a criminally stupid move, Tipton's claim sought payment for destruction of Van Gogh's original Starry Night painting which he said was in the house when the fire broke out.  Tipton was later charged and pled guilty to insurance fraud and perjury,… Read More

Under McGill v. Citibank, N.A. (2017) 2 Cal.5th 945, the trial court properly denied defendant's motion to compel arbitration because the arbitration clause forbade award of a public injunction in any forum.  Contrary to the defendant's argument, its arbitration agreement did not authorize the arbitrator to award a public injunction.  It provided instead that arbitration is to be “conducted only… Read More

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