California Appellate Tracker

World Services holds intellectual property rights in Narcotics Anonymous' publications as trustee under a trust created by a loose association of Narcotics Anonymous adherents, known as the Fellowship of Narcotics Anonymous.  The Autonomous Region sued World Services claiming it breached its fiduciary duties under the trust.  This opinion affirms dismissal of the action on the ground that Autonomous Region lacks… Read More

In this asbestosis case, plaintiffs added Air Brake in place of a Doe defendant shortly after Boeing produced documents showing that Air Brake designed the brake shoes for its light rail cars, specifying brake pads containing asbestos.  The trial court erred in granting summary judgment on limitations grounds after concluding that plaintiffs "knew or should have known" of Air Brake's… Read More

This decision holds that an insurer's allegedly wrongful denial of an insurance claim or its claim handling leading to that denial cannot be the basis of a viable claim under the Insurance Fraud Pevention Act (Ins. Code 1871.7).  The Act was designed to prevent fraudulent insurance claims not impose added duties on or create new remedies against insurers in connection… Read More

The right of a trademark owner to control the distribution of its trademarked product does not extend beyond the first sale of the product, and trademark rights are “exhausted” as to a given item upon the first authorized sale of that item.  This first sale doctrine applies not only to the resale of the product in unmodified form by the… Read More

While an employer has an affirmative duty to provide employees with a safe place to work (Lab. Code, § 6400(a); Seabright Ins. Co. v. US Airways, Inc. (2011) 52 Cal.4th 590, 603), this decision holds that this duty does not  include ensuring that an off-site meeting place for coworkers and business associates--such as at an employee’s private residence is safe… Read More

Following Roes, 1-2  v. SFBSC Management, LLC (9th Cir. 2019) 944 F.3d 1035, this decision holds that when a class action settles before class certification, the district court may not apply a presumption of fairness to the settlement based on arms-length negotiation between experienced counsel.  Instead, the court mus employ extra caution and more rigorous scrutiny in evaluating a pre-certification… Read More

This decision holds that losses due to COVID closures are not covered by the business income and extra expense coverage of a business insurance policy since to trigger coverage the loss must be due to an impairment of operations caused by direct physical loss or damage to property.  For there to be coverage under this policy language, some external force… Read More

Under CCP 425.13, a plaintiff may not bring a claim for punitive damages in a medical malpractice case without first moving for and obtaining a court order allowing her to amend to allege that claim.  The statute also provides that the motion to amend must be brought before the earlier of 2 years from filing of the action or 9… Read More

Under Public Contracts Code 20104.50, a government entity that pays a contractor more than 30 days after receipt of an undisputed payment request must pay the contractor 10% interest on the delayed payment.  However, this decision holds that payment more than 30 days after receipt is not a breach of the construction contract if that contract only incorporates the Public… Read More

A store owner that holds its premises open to the public owes invitees a duty of care to keep the premises reasonably safe.  A business that owns or leases only part of a larger business premises owes invitees a duty of care with regard to the entire premises, not just the part the business owns, leases or operates in.  So,… Read More

Plaintiff did not allege an actionable equal protection claim based on a "class of one" discrimination.  To state such a claim, the plaintiff must allege facts showing it was treated differently from others who were similarly situated in all material respects.  Because they operate a materially different business model, at a significantly different price point, using new and different technology,… Read More

Plaintiff's complaint alleged a viable Sherman Act section 1 antitrust conspiracy among dentist members of the Dental Board of California to harass and intimidate plaintiff which sought to engage in a disruptive new direct to consumer model of marketing clear dental aligners to members of the public.  The members of the dental board were not immune from antitrust liability merely… Read More

Under the Madrid Protocol implemented in 15 USC 1141 et seq, and under 15 USC 1057, the holder of a trademark registered in a foreign country can obtain registration of the trademark in the United States as well, and obtain the benefit of a constructive use date pegged to the date of the foreign registration or application for US registration. … Read More

If a foreign sovereign entity is subject to suit under one of the exceptions to immunity otherwise conferred by the Foreign Sovereign Immunities Act, the Act does not affect the substantive law governing the entity's liability.  Instead, 28 USC 1606 provides that when not entitled to immunity, "the foreign state shall be liable in the same manner and to the… Read More

Austin's ordinance banning signs advertising goods or services not sold on the premises where the sign is located did not infringe sign owners' First Amendment rights.  Even though the ordinance required some examination of the contents of the advertising to determine whether it related to goods or services sold on the premises, the ordinance was facially content-neutral.  Austin's ’s on-/off-premises… Read More

Following Mudpie, Inc. v. Travelers Casualty Ins. Co. (9th Cir. 2021) 15 F.4th 885 and Inns-by-the-Sea v. California Mutual Ins. Co. (2021) 71 Cal.App.5th 688, this decision holds that business interruption insurance providing coverage for interruption due to physical loss or damage to property does not cover losses caused by the COVID pandemic or associated government-ordered shut downs of business… Read More

If a statute prescribes a time limit within which a petition, appeal or other pleading must be filed, it will be treated as jurisdictional only if Congress clearly states that the time limit is jurisdictional.  Jurisdictional time limits cannot be waived or forfeited, must be raised by courts sua sponte, and do not allow for equitable exceptions.  Here, the Court… Read More

Defendant residential care facility's arbitration clause was procedurally unconscionable as (i) it was a contract of adhesion, (ii) it incorporated the AAA rules but no copy of them was provided, and (iii) the facility required a patient undergoing an acute psychotic incident, who could not concentrate for more than 10-20 seconds to sign the clause.  The clause was substantively unconscionable… Read More

Following Ajamian v. CantorCO2e, LP (2012) 203 Cal.App.4th 771, this decision holds that an arbitration clause calling for the arbitration of "any dispute" arising in connection with a contract does not "clearly and unmistakably" call for the arbitrator rather than a court to decide issues of arbitrability.  A provision calling for arbitration in accordance with AAA rules which themselves grant… Read More

This decision affirms a judgment holding that Ins. Code 533 bars insurance coverage for a judgment against Conagra for the public nuisance caused by Fuller Paint's pre-1950 advertising promoting the use of lead-based paint for interior paint on residential units.  In the liability trial, the trial court found that Fuller had kwown at the time it made the advertisements that… Read More