California Appellate Tracker

In determining whether a defendant's tortious conduct was the proximate cause of plaintiff's damage, the court must view the general set of circumstances not the particular facts of the case.  So, here, the defendant escrow company's negligence in closing an escrow for the sale of a house led foreseeably to the seller's incurring damages in the form of attorney fees… Read More

The trial court abused its discretion in denying plaintiff's motion to amend the complaint in response to the trial court's ruling, before trial, on a motion in limine that plaintiff could not introduce evidence of attorney fees as damages under the tort of another theory because those damages were not alleged in the complaint.  Plaintiff sought leave to amend to… Read More

When a contract provides that a third party (such as an engineer) will determine whether a party has sufficiently performed the contract, the third party's decision is conclusive and binding on the parties in the absence of bad faith, fraud, or gross negligence.  Here, to settle prior litigation, three landowners agreed that they would each remediate a mudslide on their… Read More

The CMA sued under the UCL seeking an injunction banning Aetna's policy of discouraging its in-network doctors from referring patients to out-of-network doctors.  This decision holds that the CMA's diversion of its time and assets to help its doctor members fight Aetna's policy doesn't qualify as a loss of money or property under B&P Code 17203 and that absent a… Read More

Although California and Indiana both generally enforce spendthrift trusts, the law of both states allow creditors to collect from the trust's assets when required by strong public policy--for example, to pay child support owed by the spendthrift beneficiary.  This decision holds that under the law of both states, the trust's assets are accessible to pay attorney fees that an opposing… Read More

After firing Towner, an investigator in the County's District Attorney's office, the County sought a writ of mandate to enjoin the County's Civil Service Commission from reviewing the termination.  In support of its writ petition, the County publicly filed confidential reports of its investigation of Towner's conduct, in violation of Gov. Code 832.7, part of the Police Officer's Bill of… Read More

AB-5 which codifies the ABC test of employee status is a generally applicable labor law that affects a motor carrier’s relationship with its workforce but does not bind, compel, or otherwise freeze into place the prices, routes, or services of motor carriers, we conclude that it is not preempted by the Federal Aviation Administration Authorization Act of 1994 (49 USC… Read More

An insurer may waive the insured's forfeiture of the policy through non-payment of the premium even though a loss has occurred during the period between lapse of the policy due to non-payment and reinstatement upon late payment of the premium.  The loss-in-progress rule (Ins. Code 22, 250) does not prevent the insurer from waiving the forfeiture in this situation because… Read More

Following Bolger v. Amazon.com, LLC (2020) 53 Cal.App.5th 431, this decision holds that Amazon.com is strictly liable in tort for defective products sold through its website even if Amazon does not manufacture or sell the products itself. Read More

Under Probate Code 24(c) and 17200, the successor in interest to a person who has a present or future interest in a trust is a "beneficiary" with standing to request an accounting from the trustee.  Here, the trial court wrongly dismissed a petition to compel an accounting at a case management conference based on the trustee's objection without giving prior… Read More

Following  Langere v. Verizon Wireless Services, LLC (9th Cir. 2020) 983 F.3d 1115 and Microsoft Corp. v. Baker (2017) 137 S.Ct. 1702, this decision holds that the Court of Appeal lacks appellate jurisdiction over an appeal from a voluntary dismissal entered for the purpose of trying to appeal from an order compelling arbitration in a putative class action.  It does… Read More

The IWC's wage orders setting minimum wages and the method of calculating hours of work for purposes of paying minimum wages do not apply to the University of California which is not a political subdivision of the state and does not otherwise fall within the definition of a public employer under Wage Order No. 4.  Instead, the University is a… Read More

The FTC Act does not authorize the FTC to seek monetary restitution in a suit that the FTC brings in the first instance (i.e., without a prior administrative proceeding) in federal court under section 13(b) of the FTC Act. (15 USC 53(b).)  The section expressly permits only injunctive relief in such an action.  Furthermore, allowing restitution under section 13(b) would… Read More

Truck alleged that Federal committed fraud in prior litigation between the two insurers of a common insured, Moldex.  In the prior litigation, Federal had alleged and maintained that its defense of Moldex was required under its policy.  After the prior litigation settled, Federal switched positions and claimed that its policy didn't require it to defend Moldex, but that it had… Read More

Although Omnicare, Inc. v. Laborers Dist. Council Construction Ind. Pension Fund (2015) 135 S.Ct. 1318 dealt with misrepresentations under section 11 of the Securities Act (15 USC 77k(a)), this decision holds that Omnicare's rules with respect to when opinions can be deemed actionable misrepresentations apply to suits for false proxy statements under sections 14(a) and 20(a) of the Securities Exchange… Read More

In a reverse confusion trademark infringement case, the senior trademark owner claims that customers are confused by the junior infringer into thinking that the senior's goods emanate from the junior because of its higher public profile.  Here, IronHawk was the senior user of SmartSync for its file compression and transfer software.  It claimed that Dropbox's use of Smart Sync on… Read More

In a Longshore & Harbor Workers Compensation Act case, the ALJ abused his discretion in awarding the prevailing claimant attorney fees at an hourly rate that was substantially lower than the rates that the claimant's evidence showed were prevailing rates for attorneys of equal skill in the same market area.  Use of historical market rate surveys is a proper means… Read More

To state a viable ERISA claim against the trustees of an ESOP for continuing to invest in the employers' stock, the plaintiff must plead specific facts showing that an alternative existed and would have benefited the plan's beneficiaries more than continuing to buy the employer's stock.  See Fifth Third Bancorp v. Dudenhoeffer (2014) 134 S.Ct. 2459.  In doing so, the… Read More

A precertification voluntary dismissal without prejudice of so-called “class claims” cannot constitute a favorable termination on the merits where, as here, the defendant agreed to pay the plaintiff a sum in exchange for the plaintiff’s dismissal of her individual claims. A class action is merely a procedure by which a plaintiff can pursue her claim, not a separate claim that… Read More

Distinguishing Monster Energy Co. v. City Beverages, LLC (9th Cir. 2019) 940 F.3d 1130 as interpreting federal, not California law, and involving a one-time litigant against a repeat player, this decision holds that in a commercial, non-consumer, arbitration, California law does not require an arbitrator to disclose his 0.1 percent interest in JAMS.  Arbitrators are required to disclose their relationship… Read More