Case Number: 19PSCV00186 Hearing Date: September 09, 2019 Dept: J

HEARING DATE: Monday, September 9, 2019

NOTICE: OK

RE: Fallas, et al. v. Juneja, et al. (19PSCV00186)

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Defendant White Avenue Plaza LLC’s MOTION TO EXPUNGE LIS PENDENS AND FOR ATTORNEY FEES AND COSTS IN THE SUM OF $2,760.00

Responding Party: Plaintiffs, Jose Douglas Fallas and GGSP, LLC

Tentative Ruling

Defendant White Avenue Plaza LLC’s Motion to Expunge Lis Pendens is GRANTED. Attorney’s fees and costs are awarded in the reduced amount of $1,860.00.

Background

Plaintiffs Jose Douglas Fallas and GGSP, LLC (“Plaintiffs”) allege that, in or about January 2018, defendants became aware that Plaintiffs’ property located at 2380 and 2408 N. Garey Avenue, Pomona, California, 91767 (“subject property”) was noticed for, and subject to, a writ of execution sale (“Sale”) by the Los Angeles County Sheriff’s Office pursuant to a notice of levy under writ of execution as a result of a $714,063.46 civil judgment (“Judgment”) against Plaintiffs. During this time, defendants approached Plaintiffs with a proposed “Joint Venture Agreement” involving the subject property, wherein Plaintiffs would sell the subject property to defendants at a drastically reduced price from the subject property’s fair market value in exchange for a share of the profits from the parties’ proposed joint venture. As part of the Joint Venture Agreement, the judgment against Plaintiffs would be satisfied. Plaintiffs allege that they eventually decided against the proposed joint venture and instead, in November 2018, entered into a verbal agreement (“Agreement”) with defendants, in which defendants agreed to provide Plaintiffs with the necessary and timely financing for Plaintiffs to payoff and satisfy the Judgment in order to avoid the Sale, scheduled for January 9, 2019. Plaintiffs allege that defendants instead covertly attended the writ of execution auction on January 9, 2019 and purchased the subject property.

On February 22, 2019, Plaintiffs filed a complaint, asserting causes of action against Defendants TJ Gurdeep Juneja, Gurbachan S. Juneja, Tinku Juneja, White Avenue Plaza, LLC (“White Avenue”), Silverback Management Group, Inc. and Does 1-10 for:

Quiet Title

Breach of Contract

Fraud

Negligent Misrepresentation

Financial Elder Abuse

Conspiracy

Injunctive Relief

A Case Management Conference is set for October 31, 2019.

Legal Standard

A lis pendens may be ordered expunged “if the court finds that the pleading on which the notice is noticed does not contain a real property claim” (CCP § 405.31) or “if the court finds that the claimant has not established by a preponderance of the evidence the probable validity of the real property claim” (CCP § 405.32).

In a motion to expunge a notice of lis pendens, the claimant who filed the lis pendens has the burden of proof. (CCP § 405.30).

Discussion

White Avenue moves the court for an order expunging the lis pendens recorded on March 5, 2019 and for an award of attorney’s fees and costs in the sum of $2,760.00, on the basis that the complaint does not contain a real property claim and Plaintiffs cannot establish probable validity of a real property claim by a preponderance of the evidence.

Plaintiffs have not opposed the motion on the merits; rather, Plaintiff’s response filed August 26, 2019 states as follows:

“On July 26, 2019, Plaintiffs’ counsel filed his motions to be relieved as counsel for both Plaintiffs, Jose Douglas Fallas and GGSP, LLC. Both motions are scheduled to be heard on August 28, 2019. . .

[O]n August 20, 2019, the court sustained Defendants’ demurrer with respect to Plaintiffs’ First Cause of Action for Quite [sic] Title. In light of the Court’s ruling, it is the undersigned counsel’s intention to have the Lis Pendens withdrawn. However, Plaintiffs’ counsel has not been able to obtain authorization from Plaintiffs to do so. Plaintiffs’ counsel currently has a meeting scheduled for Tuesday, August 27, 2019, with Plaintiff Jose Douglas Fallas, at which time the undersigned hopes to obtain Plaintiff’s authorization to remove the Lis Pendens. . . Therefore, Plaintiffs hereby request that the court deny Defendant’s motion. . . [i]f Plaintiffs’ counsel is unable to obtain authorization from Plaintiffs to withdraw its Lis Pendens, the undersigned will notify the moving party and the court on August 28, 2019 at the hearing on Plaintiff’s Motion to be Relieved.” (Response, 2:3-16).

On August 28, 2019, the motion to be relieved as counsel was continued to October 31, 2019. The court is not in receipt of any notice of withdrawal of lis pendens. Inasmuch as Plaintiffs have failed to file a substantive opposition, Plaintiffs have failed to meet their burden of proof, such that the motion is GRANTED.

White Avenue’s request in attorney’s fees and costs is GRANTED, in the reduced amount of $1,860.00 (i.e., 4 hours preparing motion plus 2 hours appearance time at $300.00/hour, plus $60.00 filing fee).