Cuellar et al v. Crown Hospitality, LLC et al

Filing 78

ORDER granting 75 Plaintiffs' Motion to Enforce Settlement Agreements. Signed by Judge Edward J. Davila on 7/1/2011. (ejdlc1, COURT STAFF) (Filed on 7/15/2011)

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1 2 3 4 5 6 7 IN THE UNITED STATES DISTRICT COURT 8 FOR THE NORTHERN DISTRICT OF CALIFORNIA 9 SAN JOSE DIVISION NO. 5:08-cv-05020 PVT JUAN CARLOS CUELLAR, et. al., 11 ORDER GRANTING PLAINTIFFS’ MOTION TO ENFORCE SETTLEMENT AGREEMENTS Plaintiff(s), v. For the Northern District of California United States District Court 10 12 CROWN HOSPITALITY, LLC, et. al., 13 [Docket Item No. 75] Defendant(s). 14 15 / Plaintiffs Juan Cesar Alatorre and Martin Alatorre (collectively, “Plaintiffs”) brought this 16 wage-and-hour action against their former employers Crown Hospitality, LLC, Crown Hotel Group 17 Inc., Peter Fan and Tanya Fan (collectively, “Defendants”). In or about November, 2009, Plaintiffs 18 each executed separate settlement agreements with Defendants. See Docket Item Nos. 69, 71. In an 19 order filed October 29, 2010, the court approved the agreements as reasonable compromises of the 20 claims and dismissed this case, reserving jurisdiction to enforce the terms of the agreements. See 21 Docket Item No. 73. Defendants thereafter defaulted on the payments owed to Plaintiffs under the 22 settlement. Presently before the court is Plaintiffs’ joint motion to enforce the separate settlement 23 agreements (“Motion”). Only counsel for Plaintiffs appeared at the hearing on July 15, 2011. No 24 opposition having been raised and good cause therefore appearing, Plaintiffs’ Motion will be 25 26 27 28 1 Case No. 5:10-08-5020 PVT ORDER GRANTING PLAINTIFF'S MOTION TO ENFORCE SETTLEMENT AGREEMENTS (EJDLC1) 1 granted.1 2 I. DISCUSSION 3 A district court may enforce a settlement agreement so long as it expressly retains 4 jurisdiction over the agreement in its order of dismissal. Kokkonen v. Guardian Life Ins. Co., 511 5 U.S. 375, 381 (1994). To be enforceable, an agreement must meet two requirements. First, it must 6 be a complete agreement. Callie v. Near, 829 F.2d 888, 890 (9th Cir. 1987). Second, both parties 7 must have agreed to the terms of the settlement, either through express consent or by authorizing 8 counsel to settle the dispute. Harrop v. Western Airlines, Inc., 550 F.2d 1143, 1144-45 (9th Cir. 9 1977). Here, the settlement agreements between Plaintiffs and Defendants meet the requirements for 11 For the Northern District of California United States District Court 10 enforcement. As mentioned above, the court expressly reserved jurisdiction to enforce the 12 agreements in its order dismissing the case. See Docket Item No. 73 (“It is hereby ordered that, in 13 light of the courts approval of all Plaintiffs’ settlements with Defendants, this case is dismissed with 14 prejudice. The court retains jurisdiction to enforce the terms of the parties’ settlement 15 agreements.”). Thus, Plaintiffs have properly sought enforcement in this court. Also, the 16 agreements are complete. Each is six pages in length, clearly states the amounts owed by 17 Defendants, and contains a clause declaring each to be an “integration fo the entire understanding 18 and agreement of the parties.” See Docket Item No. 69 at ¶¶ 2, 12; see also Docket Item No. 71 at 19 ¶¶ 2, 12.2 Finally, the docket reveals that the parties agreed to the terms of the settlement, even 20 though the court has not been provided fully-executed agreements. See Docket Item Nos. 30 21 (noting settlements reached in mediation), 53 (stating Defendants’ recognition that settlements had 22 been reached), 69 (settlement agreement between Martin Alatorre and Defendants), 71 (settlement 23 agreement between Cesar Alatorre and Defendants), 73 (order approving agreements and dismissing 24 25 26 27 28 1 This disposition is not intended for publication in the official reports. 2 Specifically, Defendants were to pay $30,000.00 to Martin Alatorre through his attorney by January 31, 2010. They were also to pay $6,000.00 to Cesar Alatorre, again through his attorney, ny the same date. See Docket Item No. 69 at ¶ 2; see also Docket Item No. 71 at ¶ 2. Each agreement states that in the event of a breach by Defendants, “Plaintiff may file a motion to enforce this Agreement to have a judgment entered against Defendants, less the amount already paid.” See Docket Item No. 69 at ¶ 9; see also Docket Item No. 71 at ¶ 9. 2 Case No. 5:10-08-5020 PVT ORDER GRANTING PLAINTIFF'S MOTION TO ENFORCE SETTLEMENT AGREEMENTS (EJDLC1) 1 2 case). In short, Plaintiffs have demonstrated the elements required for enforcement. Plaintiffs and 3 Defendants entered into complete, clear and valid settlement agreements, but Defendants have not 4 upheld their end of the bargain. As such, the finds good cause to grant the Motion. 5 6 7 8 9 ORDER Based on the foregoing, Plaintiffs’ motion to enforce the settlement agreements is GRANTED as plead. Judgment is entered in favor of Martin Alatorre and against Defendants in the total amount of $33,000.00, which includes the $30,000.00 payment due under the settlement agreement plus $3,000.00 in prejudgment interest pursuant to California Civil Code § 3289. 11 For the Northern District of California United States District Court 10 II. Judgment is entered in favor of Cesar Alatorre and against Defendants in the total amount of 12 $6,600.00, which includes the $6,000.00 payment due under the settlement agreement plus $600.00 13 in prejudgment interest pursuant to California Civil Code § 3289. 14 No attorneys fees are awarded based on the representation of Plaintiffs’ counsel at the 15 hearing. 16 IT IS SO ORDERED. 17 18 19 Dated: July 15, 2011 EDWARD J. DAVILA United States District Judge 20 21 22 23 24 25 26 27 28 3 Case No. 5:10-08-5020 PVT ORDER GRANTING PLAINTIFF'S MOTION TO ENFORCE SETTLEMENT AGREEMENTS (EJDLC1) 1 THIS IS TO CERTIFY THAT COPIES OF THIS ORDER HAVE BEEN DELIVERED TO: 2 Jack Gordon Cairl cairl@ikplaw.com James Dal Bon jdblaw@earthlink.net Tomas Eduardo Margain margainlaw@hotmail.com Robert M. Partain rpartain@oslaw.com 3 4 5 Dated: July 15, 2011 Richard W. Wieking, Clerk 6 By: 7 /s/ EJD Chambers Elizabeth Garcia Courtroom Deputy 8 9 11 For the Northern District of California United States District Court 10 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 4 Case No. 5:10-08-5020 PVT ORDER GRANTING PLAINTIFF'S MOTION TO ENFORCE SETTLEMENT AGREEMENTS (EJDLC1)

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