Garvin et al v. Ramirez et al

Filing 194

ORDER GRANTING 188 Last & Faoro's Motion for Leave to Withdraw as Counsel. Pursuant to Civil Local Rule 7-1(b), the Court finds the matter suitable for determination without oral argument, and the August 3, 2010 hearing is vacated. Signed by Magistrate Judge Howard R. Lloyd on 07/29/2010. (hrllc1, COURT STAFF) (Filed on 7/29/2010)

Garvin et al v. Tran, et al

Doc. 194

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** E-filed July 29, 2010 **

IN THE UNITED STATES DISTRICT COURT FOR THE NORTHERN DISTRICT OF CALIFORNIA SAN JOSE DIVISION MARIA A. GARVIN, et al., Plaintiffs, v. LINDA TRAN, et al., Defendants. ____________________________________/ No. C07-01571 HRL ORDER GRANTING LAST & FAORO'S MOTION FOR LEAVE OF COURT TO WITHDRAW AS COUNSEL [Re: Docket No. 188]

United States District Court

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For the Northern District of California

Since September 2007, Defendant Tara Home Financial Services, Inc. ("Tara"), a California corporation, has been represented by the law firm Last & Faoro. (Docket No. 44.) Last & Faoro has now discovered that Tara is currently classified as a "suspended" corporation by the California Secretary of State. (Docket No. 188, Decl. of Jonathan M. Bowne, ¶ 4.) Last & Faoro state that Tara has neither cured its suspended status nor paid its legal fees. (Id. at ¶ 4.) For these reasons, Last & Faoro now moves for leave to withdraw as Tara's counsel. It represents that it has either met-and-conferred or attempted to meet-and-confer with the known principals of Tara and has "thoroughly advised" Tara, as a corporation, of its inability to appear pro se in this lawsuit. (Id. at ¶ 5.) No opposition to Last & Faoro's motion has been filed. Pursuant to Civil Local Rule 7-1(b), the Court finds the matter suitable for determination without oral argument, and the August 3, 2010 hearing is vacated.

Dockets.Justia.com

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A lawyer in a civil case may not withdraw as the counsel of record until relieved by the court. Civ. L.R. 11-5(a). Under the California Rules of Professional Conduct, a lawyer may withdraw where the client "renders it unreasonably difficult for the [lawyer] to carry out the employment effectively" or "breaches an agreement or obligation to the [lawyer] as to expenses or fees." CAL. RULES OF PROF'L CONDUCT 3-700(C)(1)(d) & (f). Tara has failed to pay its legal fees to Last & Faoro. Moreover, since Tara is a suspended corporation, it lacks the capacity to defend itself in this lawsuit. Traub Co. v. Coffee Break Service, Inc., 425 P.2d 790, 792 (Cal. 1967); Boyle v. Lakeview Creamery Co., 68 P.2d 968, 970 (Cal. 1937); see Cal. Rev. & Tax Code § 23301.5 (West 2004). Therefore, Last & Faoro's motion for leave to withdraw as counsel of record for Tara is GRANTED.1 However, pursuant to Civil Local Rule 11-5(b), the withdrawal is subject to the condition that papers directed to Tara may continue to be served on Last & Faoro for forwarding purposes unless and until Tara appears by other counsel. IT IS SO ORDERED. Dated: July 29, 2010 HOWARD R. LLOYD
UNITED STATES MAGISTRATE JUDGE

United States District Court

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For the Northern District of California

Should Tara be reinstated, it is advised that it may not appear pro se or through its corporate officers, but must retain new counsel forthwith to represent it in this lawsuit. See Civ. L.R. 3-9(b) ("A corporation, unincorporated association, partnership or other such entity may appear only through a member of the bar of this Court."). See also Rowland v. California Men's Colony, 506 U.S. 194, 201-02 (1993) ("It has been the law for the better part of two centuries . . . that a corporation may appear in the federal courts only through licensed counsel."); In re Highley, 459 F.2d 554, 555 (9th Cir. 1972) ("A corporation can appear in a court proceeding only through an attorney at law."). 2

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C07-01571 HRL Notice will be electronically mailed to: Alisha Mei Yuk Louie Annette D. Kirkham Cindy Hamilton Jessica Lynn Fry Karen Rosenthal Kimberly Pederson Kyra Ann Kazantzis Leo B. Siegel Michael E. Stone Shawn Robert Parr William Cornelius Last , Jr William J. Goines [e-mail] [e-mail], [e-mail] [e-mail], [e-mail], [e-mail] [e-mail], [e-mail] [e-mail], [e-mail], [e-mail] [e-mail], [e-mail] [e-mail] [e-mail] [e-mail] [e-mail], [e-mail] [e-mail] [e-mail], [e-mail], [e-mail]

Notice will be sent by other means to: Raya Ghajar 1101 Salerno Drive Campbell, CA 95008 Counsel are responsible for distributing copies of this document to co-counsel who have not registered for e-filing under the court's CM/ECF program.

United States District Court

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For the Northern District of California

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