Justia Civil Procedure Opinion Summaries

M.D., a high school soccer player, sought a waiver from the West Virginia Secondary School Activities Commission (WVSSAC) to play for both her high school and club soccer teams during the same season. The WVSSAC denied her request, leading M.D. and her parents to file a lawsuit seeking a preliminary injunction to prevent the enforcement of the WVSSAC's Non-school Participation Rule, which prohibited participation in non-school teams during the school season for team sports but not for individual sports.The Circuit Court of Ohio County granted M.D. a preliminary injunction, allowing her to play for both teams. Subsequently, the court granted her summary judgment and a permanent injunction, ruling that the Non-school Participation Rule was arbitrary and capricious because it unfairly differentiated between team and individual sports without a rational basis.The WVSSAC appealed the circuit court's decision. While the appeal was pending, the WVSSAC's Board of Control amended the Non-school Participation Rule to eliminate the distinction between team and individual sports, applying the same restrictions to all student athletes regardless of the type of sport.The Supreme Court of Appeals of West Virginia reviewed the case and determined that the amendments to the Non-school Participation Rule rendered the appeal moot. The court found that the substantive changes to the rule addressed the issues raised by M.D., and there were no sufficient collateral consequences or issues of great public interest that warranted further review. Consequently, the court dismissed the appeal as moot. View "West Virginia Secondary School Activities Commission v. David D. and Elizabeth D., Parents and Legal Guardians of M.D." on Justia Law

Silvia Villareal created a revocable living trust in 2005, which she amended twice. The 2018 restatement of the trust, prepared with an attorney, provided that her three children, Leticia Linzer, Arturo Villareal, and Sonia Godoy, would each receive a one-third interest in her home upon her death. In 2019, Silvia amended the trust again, without an attorney, to state that her children could only sell their shares to each other for $100,000, aiming to keep the home within the family. After Silvia's death, Arturo and Sonia petitioned the probate court to declare the 2019 amendment void, arguing it unreasonably restrained their ability to sell their interests.The Superior Court of Los Angeles County ruled in favor of Arturo and Sonia, determining that the 2019 amendment imposed an unreasonable restraint on alienation in violation of Civil Code section 711. The court declared the amendment void and upheld the 2018 restatement as the operative trust document. Leticia, the trustee, objected, arguing that section 711 did not apply to testamentary gifts and that the 2019 amendment did not impose an unreasonable restraint.The California Court of Appeal, Second Appellate District, reviewed the case. The court affirmed the probate court's decision, holding that section 711 applies to testamentary instruments and that the 2019 amendment imposed an unreasonable restraint on alienation. The court found that the amendment's restrictions on selling the property only to siblings for a fixed price were unreasonable and void. The court also rejected Leticia's argument that the 2019 amendment created a new testamentary trust, concluding that Silvia intended to add to the existing trust rather than create a new one. The court affirmed the probate court's order, maintaining the 2018 restatement as the operative trust document. View "Godoy v. Linzner" on Justia Law

LCPFV, LLC owned a warehouse with a faulty sewer pipe. After experiencing toilet backups, LCPFV hired Rapid Plumbing to fix the issue for $47,883.40. Rapid's work was unsatisfactory, leading LCPFV to hire another plumber for $44,077 to correct the problem. LCPFV sued Rapid Plumbing, which initially appeared in court but later defaulted. LCPFV sought a default judgment of $1,081,263.80, including attorney fees and punitive damages. The trial court awarded a default judgment of $120,319.22, significantly less than LCPFV's demand, and also awarded $11,852.90 in sanctions.The Superior Court of Los Angeles County, presided over by Judge Mark V. Mooney, reviewed the case. The court scrutinized LCPFV's default judgment package and found the requested amount excessive. The court emphasized its role as a gatekeeper in default judgment cases, ensuring that only appropriate claims are granted. The court rejected LCPFV's use of requests for admissions obtained after Rapid Plumbing had ceased participating in the case, citing a lack of candor and evidentiary value.The California Court of Appeal, Second Appellate District, Division Eight, reviewed the case. The court affirmed the lower court's judgment, agreeing that the trial court acted within its discretion in rejecting the inflated default judgment request. The appellate court upheld the trial court's decision to award $120,319.22, including $91,960.40 for breach of contract and $4,948.46 in attorney fees, rejecting the fraud and punitive damages claims. The court also affirmed the sanctions award and the decision to grant prejudgment interest from the date of the lawsuit filing, not from the date of payment to Rapid Plumbing. The appellate court found no abuse of discretion in the trial court's rulings and emphasized the importance of judicial vigilance in default judgment cases. View "LCPFV v. Somatdary" on Justia Law

The plaintiffs, a group of American service members and their families affected by the 1983 bombing of the U.S. Marine barracks in Beirut, Lebanon, sought to enforce multi-billion-dollar judgments against Iran. They aimed to obtain $1.68 billion held in an account with Clearstream Banking, a Luxembourg-based financial institution, representing bond investments made in New York on behalf of Bank Markazi, Iran’s central bank. The United States District Court for the Southern District of New York granted summary judgment in favor of the plaintiffs, ordering Clearstream and Bank Markazi to turn over the account contents. Clearstream and Bank Markazi appealed.The United States Court of Appeals for the Second Circuit reviewed the case. The court concluded that the district court lacked subject matter jurisdiction over the plaintiffs’ turnover claim against Bank Markazi. However, it determined that the district court could exercise personal jurisdiction over Clearstream. The court also found that Clearstream’s challenge to the constitutionality of 22 U.S.C. § 8772, which makes certain assets available to satisfy judgments against Iran, failed. Despite this, the court held that the district court erred in granting summary judgment in favor of the plaintiffs without applying state law to determine the ownership of the assets.The Second Circuit affirmed in part and vacated in part the district court's order and judgment. It remanded the case for further proceedings, instructing the district court to determine whether Bank Markazi is an indispensable party under Federal Rule of Civil Procedure 19 and to apply state law to ascertain the parties' interests in the assets before applying 22 U.S.C. § 8772. View "Peterson v. Bank Markazi" on Justia Law

LVNV Funding, LLC (LVNV) filed a debt collection lawsuit against Yolanda Rodriguez (Rodriguez). Rodriguez cross-complained, alleging identity theft and violations of the federal Fair Debt Collection Practices Act (FDCPA) and the California Rosenthal Fair Debt Collection Practices Act (Rosenthal Act). Rodriguez discovered that LVNV had sued the wrong person, as the debt was incurred by a different Yolanda Rodriguez with a different date of birth and Social Security number. LVNV dismissed its suit after this was demonstrated, but Rodriguez continued with her cross-claim, arguing that the FDCPA and Rosenthal Acts are strict liability statutes that penalize false or misleading debt collection actions unless they fit within a narrow “bona fide error” defense.The Superior Court of Fresno County granted LVNV’s anti-SLAPP motion to strike Rodriguez’s cross-complaint, concluding that Rodriguez could not establish a probability of prevailing on the merits because there was nothing false, deceptive, or misleading about the debt collection action. The court found that even the “least sophisticated debtor” would have recognized the address on the documentation was not hers, and there was “nothing inherently false about the complaint” merely because it was served on the wrong Yolanda Rodriguez.The Court of Appeal of the State of California, Fifth Appellate District, reversed the trial court’s decision. The appellate court held that the FDCPA creates a strict liability cause of action for attempts to collect a debt that misrepresent or falsely present the “character” or “amount” of a debt owed, including cases of mistaken identity. The court found that Rodriguez’s claims had minimal merit, satisfying the second prong of the anti-SLAPP analysis. The appellate court remanded the case for further proceedings consistent with its opinion. View "LVNV Funding v. Rodriguez" on Justia Law

Plaintiff, a beneficiary of the Carolyn Patricia Young Family Trust, alleged that defendants, the trust protector and trustee, were conspiring to withhold trust funds improperly. The alleged conspiracy aimed to preserve assets for the trustee, who is also a residuary beneficiary. Plaintiff sought an ex parte application to suspend the defendants' powers and appoint an interim trustee. The Superior Court of Orange County granted the application, suspending the defendants' powers, appointing an interim trustee, requiring a bond, setting a review hearing, and prohibiting the interim trustee from using trust assets for compensation without prior court authorization.Defendants appealed the order. Plaintiff moved to dismiss the appeal, arguing the order was not appealable. The California Court of Appeal, Fourth Appellate District, Division Three, reviewed the appealability of the order. The court held that orders suspending trustees and appointing interim trustees in probate court are not directly appealable. The court emphasized that such orders are provisional and not final, aligning with the broader policy against piecemeal appeals.The court dismissed the appeal, concluding that neither Probate Code section 1300 nor section 1304 provided a basis for appealability. The court also found that defendants lacked standing to appeal the portions of the order imposing a bond requirement and prohibiting the use of trust assets for compensation without prior court authorization. Additionally, the court denied plaintiff's motion for sanctions, despite concerns about defendants' counsel's conduct, which the court found troubling but not sufficient to warrant sanctions in this instance. View "Young v. Hartford" on Justia Law

D.A. Davidson & Co. initiated an interpleader action to resolve a dispute over funds held in an investment account for Whitefish Masonic Lodge 64. The Grand Lodge of Ancient Free and Accepted Masons of Montana revoked Whitefish Lodge's charter and claimed the funds. Donald Slaybaugh, a member of Whitefish Lodge, contested the revocation and the transfer of funds, arguing that the Grand Lodge did not follow proper procedures.The Eleventh Judicial District Court, Flathead County, granted summary judgment in favor of the Grand Lodge, dismissing Slaybaugh's cross claims. The court determined that Slaybaugh lacked standing to bring claims against the Grand Lodge on behalf of Whitefish Lodge or in his individual capacity. The court found that Whitefish Lodge, having had its charter revoked, no longer existed as a legal entity capable of bringing claims. Additionally, the court concluded that Slaybaugh did not have the authority to act on behalf of the Lodge, as he was not an elected officer and his previous authority to oversee the investment account had been revoked.The Supreme Court of the State of Montana affirmed the District Court's decision. The court held that Slaybaugh did not have standing to bring claims on behalf of Whitefish Lodge because the Lodge was dissolved and could not appear in litigation. The court also rejected Slaybaugh's argument that he had standing as a fiduciary or under a derivative action, noting that he did not meet the pleading requirements for a derivative action and that his fiduciary authority had been revoked. Finally, the court found no evidence to support claims of fraud or arbitrary action by the Grand Lodge in revoking the Lodge's charter. View "D.A. Davidson v. Slaybaugh" on Justia Law

Local Puerto Rico merchants brought unfair competition claims against major big-box retailers, alleging that during the COVID-19 pandemic, Costco Wholesale Corp. and Wal-Mart Puerto Rico, Inc. violated executive orders limiting sales to essential goods. The plaintiffs claimed that the defendants continued to sell non-essential items, capturing sales that would have otherwise gone to local retailers, and sought damages for lost sales during the 72-day period the orders were in effect.The case was initially filed as a putative class action in Puerto Rico's Court of First Instance. Costco removed the case to federal district court under the Class Action Fairness Act (CAFA). The district court denied Costco's motion to sever the claims against it and also denied the plaintiffs' motion to remand the case to state court. The district court dismissed most of the plaintiffs' claims but allowed the unfair competition claim to proceed. However, it later denied class certification and granted summary judgment for the defendants, concluding that the executive orders did not create an enforceable duty on the part of Costco and Wal-Mart.The United States Court of Appeals for the First Circuit reviewed the case on jurisdictional grounds. The court held that CAFA jurisdiction is not lost when a district court denies class certification. It also held that CAFA's "home state" exception did not apply because Costco, a non-local defendant, was a primary defendant. However, the court found that CAFA's "local controversy" exception applied because the conduct of Wal-Mart Puerto Rico, a local defendant, formed a significant basis for the claims. The court concluded that the district court did not abuse its discretion in denying Costco's motion to sever and determined that the entire case should be remanded to the Puerto Rico courts. The court reversed the district court's denial of the motion to remand, vacated the judgment on the merits for lack of jurisdiction, and instructed the district court to remand the case to the Puerto Rico courts. View "Kress Stores of Puerto Rico, Inc. v. Wal-Mart Puerto Rico, Inc." on Justia Law

In this case, the petitioner, Aaron W., appealed an order from the Intermediate Court of Appeals of West Virginia (ICA) that dismissed his appeal of a family court order. The family court had disqualified Aaron W.'s attorney from representing him in a divorce proceeding due to a conflict of interest, as the attorney had previously represented both parties in a related personal injury case. The family court's order included language indicating it was a final, appealable order.Initially, Aaron W. sought a writ of prohibition from the Circuit Court of Kanawha County to prevent the family court from ruling on the disqualification motion, arguing that the family court lacked jurisdiction. The circuit court denied the writ, and the Supreme Court of Appeals of West Virginia affirmed, holding that family courts have the authority to disqualify attorneys in cases of conflict of interest.Aaron W. then appealed the family court's disqualification order to the ICA, which dismissed the appeal, concluding that the order was interlocutory and that it lacked jurisdiction over such appeals. Aaron W. subsequently appealed the ICA's dismissal to the Supreme Court of Appeals of West Virginia.The Supreme Court of Appeals of West Virginia affirmed the ICA's dismissal, holding that the family court's disqualification order was not a final order because it did not terminate the litigation on the merits. The court explained that the ICA generally does not have appellate jurisdiction over interlocutory appeals, as specified by West Virginia Code § 51-11-4(d)(8). The court also noted that the family court's inclusion of finality language in its order did not transform the interlocutory order into a final, appealable order. Consequently, the ICA correctly dismissed the appeal for lack of jurisdiction. View "Aaron W. v. Evelyn W." on Justia Law

Bruce Johnson and Caroline Settino were engaged to be married, with Johnson giving Settino a $70,000 diamond engagement ring and two wedding bands. Johnson also paid for various expenses, including part of Settino's dental implant surgery. However, Johnson ended the engagement after discovering messages on Settino's phone that led him to believe she was unfaithful, although the trial judge found no evidence of an affair. Settino kept the engagement ring and wedding bands, and Johnson did not pay for the second part of Settino's dental procedure.Johnson sued to recover the engagement ring and wedding bands, and Settino counterclaimed for the cost of the dental procedure. The Superior Court judge ruled in favor of Settino, allowing her to keep the engagement ring and one wedding band, and awarded her damages for the dental procedure, including prejudgment interest from the date of Johnson's complaint. The judge found Johnson at fault for ending the engagement based on his mistaken belief of infidelity.The Appeals Court reversed the decision, ruling that Johnson was not at fault and should recover the engagement ring and wedding band. The court also found that prejudgment interest should be calculated from the date of Settino's counterclaim, not Johnson's complaint. The Supreme Judicial Court of Massachusetts granted further appellate review.The Supreme Judicial Court of Massachusetts held that the concept of fault should not determine the return of engagement rings. The court adopted a no-fault approach, requiring the return of the engagement ring and wedding bands to the donor if the marriage does not occur, regardless of fault. The court also affirmed the need to recalculate prejudgment interest from the date of Settino's counterclaim. The judgment was reversed in part and remanded for recalculation of prejudgment interest. View "Johnson v. Settino" on Justia Law