Federal law generally permits a plaintiff who successfully pursues a civil rights claim to recover his or her attorneys’ fees. A successful defendant, however, is typically only entitled to recover its attorneys’ fees if the complainant claims are determined to be absurd. In this context, “frivolous” means without legal or factual basis. A claim that… read more
Clarendon America Insurance Company v. North American Capacity Insurance Company 10 C.D.O.S. 8742 (4th District Court of Appeal) The policy holder, a developer/general contractor in the construction of a residential development in Victorville, California, was insured by Clarendon America Insurance Company (Clarendon) and North American Capacity Insurance Company (NAC) under separate and consecutive general liability… read more
Under California corporations law, a corporate director generally has an absolute right to inspect the corporation’s books and records. In Wolf v. CDS Devco, the California Court of Appeal held that a trial court properly declined to enforce a director’s demand for inspection where the director’s term expired after the demand for inspection.
When more than one party is liable for injury to a third party, California law permits a responsible party who has paid the injured third party to obtain partial reimbursement from the other liable parties through equitable indemnity. A claim for equitable indemnity does not exist until one of the responsible parties makes payment on… read more
A plaintiff who loses a lawsuit brought under the federal Fair Debt Collections Practices Act is not liable for the defendant’s court costs except in the unusual circumstance that the trial court finds the plaintiff sued in bad faith and for purposes of harassment. Normally, a party who loses a lawsuit is liable for the… read more
Small businesses should not only think carefully about the appropriate form for the operation of the business, but also for the possible end of the business. When a corporation ceases doing business, it may be dissolved. However, not all states treat a dissolved corporation the same a California does. This distinction was recently illustrated in… read more
A judgment entered in another state may not be enforceable in California if the judgment debtor (the person who owes money pursuant to a judgment) was denied due process in the out-of-state case. In State of Arizona v. Yuen, the California Court of Appeal affirmed a trial court decision vacating a judgment entered in California… read more
The California Court of Appeal has ruled that a merchant can not be held liable for accepting a forged third party check. In Burns v. The Neiman Marcus Group, Inc., the unfortunate plaintiff employed a shopaholic assistant who racked up over $1 million in charges at Neiman Marcus over the course of three years. The… read more
Mediation can save you time and money and can bring about a quick solution to a legal problem.