Justia Civil Procedure Opinion Summaries

At issue in this case was whether a plaintiff who voluntarily dismisses an action after entering into a monetary settlement is a “prevailing party” for purposes of Cal. Civ. Proc. Code 1032(a)(4) and thus entitled to recover costs in an action or proceeding. After the parties in this case entered into a settlement, Plaintiff voluntarily dismissed two causes of action against Defendant. The trial court adjudged that Plaintiff recover nothing from Defendant. The court of appeal reversed, concluding that Plaintiff had obtained a “net monetary recovery” under section 1032(a)(4) and was therefore the prevailing party. The Supreme Court affirmed, holding (1) a dismissal pursuant to a monetary settlement is not a dismissal in the defendant’s “favor” as that term is used in section 1032(a)(4); and (2) a plaintiff that enters into a stipulated judgment to be paid money in exchange for a dismissal has obtained a “net monetary recovery” within the meaning of section 1032(a)(4), regardless of whether the judgment mentions the settlement. View "DeSaulles v. Cmty. Hosp. of the Monterey Peninsula" on Justia Law