Sepulveda v. Chef's Wok, Inc. et al

Filing 67

ORDER DISMISSING CASE, ***Civil Case Terminated. Signed by Judge Thomas S. Hixson on 11/19/2021. (tshlc1, COURT STAFF) (Filed on 11/19/2021)

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UNITED STATES DISTRICT COURT

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NORTHERN DISTRICT OF CALIFORNIA

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RICHARD SEPULVEDA,
Plaintiff,

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United States District Court
Northern District of California

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Case No. 18-cv-06759-TSH
ORDER DISMISSING CASE

v.
CHEF'S WOK, INC., et al.,
Defendants.

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On November 3, 2020, the parties participated in a settlement conference with Magistrate

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Judge Laurel Beeler, at which time they reached a settlement in full. ECF No. 57. As part of their

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settlement, the parties consented to Judge Beeler retaining jurisdiction to enforce the terms of

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settlement. Accordingly, the Court directed the parties to file a dismissal or status report by

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January 4, 2021. ECF No. 58. On January 4 Plaintiff filed a report indicating that Defendants’

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obligations under the parties’ settlement agreement were to be completed on November 15, 2021,

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and the parties anticipated filing a stipulated judgment for dismissal by November 16. ECF No.

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60. Based on Plaintiff’s report, the Court ordered the parties to file a dismissal or updated status

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report by November 16. ECF No. 61. However, Plaintiff subsequently filed two status reports

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indicating the case was “ready to dismissed,” but the attorney for Defendant Chef’s Wok, Inc. had

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died and his law office informed Plaintiff’s counsel that there was no other lawyer in the office

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who could sign a stipulation for dismissal. ECF Nos. 62, 63. Plaintiff stated that counsel for

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Defendants Huong Duong, Susan L. Lam, and De Lam indicated they were prepared to sign a

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stipulation for dismissal. Based on Plaintiff’s reports, the Court set the matter for a case

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management conference on November 18 and directed the parties to file a case management

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statement by November 12.

As the parties did not file a case management conference statement by the deadline, the

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Court issued an order noting that all indications are that this case has fully settled and should be

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dismissed, but dismissal under Federal Rule of Civil Procedure 41(a)(1)(A)(i) or (ii) is not

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possible because Defendants filed answers and not all parties have signed a stipulation for

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dismissal. ECF No. 65. However, if no party objected, dismissal under Rule 41(a)(2) would be

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appropriate, with Judge Beeler retaining jurisdiction to enforce the terms of settlement.

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Accordingly, the Court ordered the parties to file any objections to dismissal under Rule 41(a)(2)

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by December 9, 2021. The Court stated that if no party filed an objection, it would dismiss this

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case with prejudice, with Judge Beeler retaining jurisdiction over the settlement agreement.
On November 19, 2021, the parties filed a stipulation of dismissal with prejudice. ECF

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United States District Court
Northern District of California

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No. 66. In their stipulation, the parties state that the terms of the settlement agreement have been

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fulfilled and they jointly request the Court dismiss this action with prejudice with respect to all

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parties, all claims, and all crossclaims. However, they note that Defendant Chef´s Wok, Inc. was

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dissolved with the California Secretary of State by its sole director, Richard Chiu,1 that Bradley

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Kass, the attorney of record for Chef´s Wok and for cross-defendants Richard Chiu, Ken Zhao,

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and Jack Chu, is deceased as of July 19, 2021, and that no provision has been made by his office

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for another attorney to take over his files. Thus, Richard Chiu signed the stipulation both in

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representation of himself as an individual and as owner and sole director of Chef’s Wok.
Under Rule 41(a)(2), “an action may be dismissed at the plaintiff’s request only by court

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order, on terms that the court considers proper.” In this case, dismissal is proper because all

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parties, including Chef’s Wok, entered into a settlement agreement that has been finalized. While

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Chef’s Wok has since been dissolved, Richard Chiu, its sole director, remains a defendant and is

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bound by the terms of the settlement agreement. Further, although it is unlikely that any disputes

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will arise, the parties agreed that Judge Beeler would retain jurisdiction to enforce the terms of

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settlement. Accordingly, good cause appearing, this case is DISMISSED WITH PREJUDICE,

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with Judge Beeler retaining jurisdiction to enforce the terms of the settlement agreement. The

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See also https://businesssearch.sos.ca.gov/CBS/Detail (California Secretary of State website
showing Chef’s Wok, Inc. was dissolved on December 11, 2020.
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Clerk of Court shall close the file.
IT IS SO ORDERED.

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Dated: November 19, 2021

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THOMAS S. HIXSON
United States Magistrate Judge

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United States District Court
Northern District of California

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