Tenorio et al v. Gallardo et al

Filing 56

ORDER to SHOW CAUSE, signed by District Judge Dale A. Drozd on 4/4/2017. (The court continues the hearing on counsel's motion to withdraw as attorney of record to May 2, 2017, at 9:30 AM in Courtroom 5 (DAD) before District Judge Dale A. Drozd. Defendants Gabriel Gallardo, Sr., Manuel Gallardo, and Silvia Gallardo are required to either personally appear at the May 2, 2017 hearing or to arrange for telephonic appearance through their counsel of record no later than seventy-two (72) hours before the May 2, 2017 hearing.) (Thorp, J)

1
2
3
4
5
6
7

UNITED STATES DISTRICT COURT

8

FOR THE EASTERN DISTRICT OF CALIFORNIA

9
10
11

LUCARIA TENORIO, et al., on behalf of
themselves and all others similarly situated
and in the interest of the general public,

12

Plaintiffs,

13
14
15
16
17
18
19

v.

No. 1:16-cv-00283-DAD-JLT

ORDER TO SHOW CAUSE
(Doc. No. 38)

GABRIEL GALLARDO SR., an
individual; MANUEL GALLARDO, an
individual; SILVIA ESTHER
GALLARDO, an individual; KERN
COUNTY CULTIVATION, INC., a
California corporation; and NAZAR
KOONER, an individual; PAWAN S.
KOONER, d/b/a PAWAN KOONER
FARMS; HARDEEP KAUR, an
individual,
Defendants.

20
21

On February 24, 2017, attorneys Belden, Blaine, Raytis, LLP (“BBR”) filed a motion to

22
23

withdraw as counsel of record for defendants Gabriel Gallardo, Sr., Manuel Gallardo, Silvia

24

Gallardo, and Kern County Cultivation, Inc. (Doc. No. 38.) Counsel T. Todd England of BBR

25

filed a declaration in support of that motion. (Doc. No. 39.) In this declaration, attorney England

26

states:

27
28

Defendants have instructed BBR to discontinue representation of
Defendants and stop all work related to the above captioned case.
1

1
2

Defendants do not respond in a timely manner to important
communications made by BBR to them, thus hindering BBR’s
ability to properly and adequately represent Defendants in the
above captioned case.

3
4

Defendants have not paid BBR for fees and costs due and owing
associated with BBR’s representation of them with respect to the
above captioned case.

5
6
7
8
9
10

Defendants have informed BBR that they are unable to pay the fees
incurred.
BBR notified Defendants that it would be withdrawing as
Defendants’ counsel in this action. A copy of this motion is being
served by mail and e-mail on Defendants along with a letter
informing defendant Kern County Cultivation, Inc., that if this
motion is granted, it will be required to obtain new counsel because
a corporation may appear in the federal courts only through
licensed counsel.

11

(Doc. No. 39 at 2.) On April 4, 2017, the same day as the noticed hearing on the motion to

12

withdraw, defendants Gabriel Gallardo, Sr., Manuel Gallardo, Silvia Gallardo, and Kern County

13

Cultivation, Inc. filed a signed declaration stating that they consented to the withdrawal of their

14

counsel of record. (Doc. No. 54.) In addition, no opposition to the motion to withdraw was filed.

15

The motion came before the court for hearing on April 4, 2017. Defendant’s counsel T. Todd

16

England appeared telephonically and plaintiffs’ counsel Marco Palau appeared telephonically.

17

(Doc. No. 55.) Defendants Gabriel Gallardo, Sr., Manuel Gallardo, Silvia Gallardo, and Kern

18

County Cultivation, Inc., were not present.

19

At the hearing, attorney England indicated that his clients were actively seeking new

20

counsel but had not yet retained anyone. Consequently, granting counsel England’s motion at

21

this time would leave defendants Gabriel Gallardo, Sr., Manuel Gallardo, and Silvia Gallardo in

22

propria persona and potentially would result in defendant Kern County Cultivation, Inc.’s answer

23

being stricken and default judgment against it since the corporation cannot appear without

24

counsel. See E.D. Cal. L. R. 183(a); Rowland v. Calif. Men’s Colony, Unit II Men’s Advisory

25

Council, 506 U.S. 194, 201-02 (1993) (“It has been the law for the better part of two centuries . . .

26

that a corporation may appear in the federal courts only through licensed counsel.”); Rojas v.

27

Hawgs Seafood Bar, Inc., No. C08-03819, 2009 WL 1255538, at *1 (N.D. Cal. 2009) (“When a

28

corporation fails to retain counsel to represent it in an action, its answer may be stricken and a
2

1

default judgment entered against it.”). The court is not prepared to proceed in this fashion

2

without hearing directly from these defendants as to their intentions with respect to their

3

representation in this litigation.

4

Accordingly,

5

(1) The court continues the hearing on counsel’s motion to withdraw as attorney of record

6

to May 2, 2017, at 9:30 AM in Courtroom 5 (DAD) before District Judge Dale A.

7

Drozd;

8

(2) The court issues an order to show cause requiring defendants Gabriel Gallardo, Sr.,

Manuel Gallardo, and Silvia Gallardo1 to either personally appear at the May 2, 2017

9
10

hearing or to arrange for telephonic appearance through their counsel of record no

11

later than seventy-two (72) hours before the May 2, 2017 hearing;

12

(3) If defendants Gabriel Gallardo, Sr., Manuel Gallardo, Silvia Gallardo, and Kern

13

County Cultivation, Inc. retain new counsel and file a substitution of counsel with the

14

court before May 2, 2017, the court will vacate the May 2, 2017 hearing2; and

15

(4) If defendants Gabriel Gallardo, Sr., Manuel Gallardo, Silvia Gallardo, and Kern

16

County Cultivation, Inc. fail to abide by this order, sanctions will be imposed. See

17

Chambers v. NASCO, Inc., 501 U.S. 32, 42–46 (1991) (recognizing that it is within the

18

inherent authority of the court to control its docket and require compliance with its

19

orders).

20

IT IS SO ORDERED.

21

Dated:

April 4, 2017
UNITED STATES DISTRICT JUDGE

22
23
24
25
26
27
28

1

Defendants’ April 4, 2017 consent to withdrawal indicates that defendant Silvia Gallardo is the
president of defendant Kern County Cultivation, Inc. (Doc. No. 54 at 3.)
2

This would obviously be in the defendants’ best interest in light of the situation outlined in their
current counsel’s motion to withdraw, their written consent to that withdrawal filed in this action
and this order.
3