Minding Your Business

Proskauer’s perspective on developments and trends in commercial litigation.

Category Archives: California Rules

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Standing in the Shoes of a Suspended Corporation under California Law

A California Court of Appeal recently provided a reminder that under Code of Civil Procedure § 368, assignment of a right to recover money or other personal property (“a thing in action”) is subject to any defense existing at or before notice of the assignment, including defenses regarding the assignor’s corporate status. Thus, an assignee … Continue Reading

Enforcing a Jury Trial Waiver in California: An Impossible Task?

It is not uncommon for parties to enter into agreements containing jury waiver provisions. However, enforcing such provisions in California courts may be a losing battle. California has a strong public policy in favor of the right to a trial by jury, and California courts will not enforce a jury waiver except under limited circumstances. … Continue Reading

Case Halted: California Court Denies Class Certification in Ford Defective Steering Case

On December 22, 2016, a federal District Court Judge in the Northern District of California denied certification of three proposed classes of statewide consumers who purchased or leased certain Ford Fusion or Ford Focus vehicles. The plaintiffs allege that their vehicles contain defective Electronic Power Assisted Steering (“EPAS”) systems prone to sudden and premature failure … Continue Reading

California UCL Standing Requirement — On This You Can Rely

The California Court of Appeal recently confirmed, in case there was any doubt, that plaintiffs must allege (and ultimately prove) actual reliance to adequately state a fraudulent prong Unfair Competition Law claim (Cal. Bus. & Prof. Code 17200). In Goonewardene v. ADP, LLC, the plaintiff brought a variety of claims related to her alleged wrongful termination, both against … Continue Reading

California Adopts Amendments to Prop 65 “Safe Harbor” Warning Requirements

In September, California’s Office of Environmental Health Hazard Assessment (“OEHHA”) announced that it had adopted amendments to the regulations governing California’s Proposition 65, which requires that businesses provide a “clear and reasonable warning” before exposing an individual to any chemicals that California has determined cause cancer or reproductive harm. Although a business can create its … Continue Reading

Slapped Down: California Supreme Court Rules Anti-SLAPP Law Applies to Mixed Causes of Action

In Baral v. Schnitt, the California Supreme Court addressed a question that has divided California appellate courts for more than a decade: whether a special motion to strike under California’s anti-SLAPP statute (C.C.P. 425.16) can be granted with respect to a “mixed cause of action” that combines allegations concerning both protected conduct, i.e., the rights … Continue Reading

Think Your Release is Ironclad? Consider California Civil Code Section 1542

Settlement agreements often include broad general releases covering claims existing from the “beginning of the world” to the settlement date – whether the claims are known or unknown to the releasing party. And in many states, such broad releases are valid and enforceable. Indeed, it is the peace provided by such releases that often makes … Continue Reading

CA Corps Not Obligated to Make Records Available for Inspection in California

The California Court of Appeal recently ruled that an inspection demand under California Corporations Code section 1601 requires a corporation to make its books and records available for inspection at an office where they normally are kept, rather than at an office in California. Innes v. Diablo Controls, Inc.. Section 1601, likely familiar to most … Continue Reading

Standardized E-Filing: The Appealing New Feature of California Appellate Courts

Consistent filing and service procedures will become less of an oxymoron in California – especially for those legal practitioners who appear in the state’s appellate courts. E-filing is currently not mandatory in most cases in appellate courts, but soon will be uniformly required, except for pro-se litigants. The State’s trial courts, California Superior Courts, can … Continue Reading
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