Petrina v. United States of America

Filing 31

ORDER granting #23 Petition to Approve Minor's Settlement and Disposition of Settlement Funds. Signed by Magistrate Judge Ruben B. Brooks on 09/28/11. (cge)(jrd)

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UNITED STATES DISTRICT COURT

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SOUTHERN DISTRICT OF CALIFORNIA

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T.P., a Minor, by and through
his Guardian Ad Litem, Gloria
Petrina,

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Plaintiff,

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v.

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UNITED STATES OF AMERICA,

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Defendant.

Civil No. 10cv0295 AJB(RBB)
ORDER GRANTING PETITION TO
APPROVE MINOR’S SETTLEMENT AND
DISPOSITION OF SETTLEMENT
FUNDS [ECF NO. 23]

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On April 13, 2011, the Court appointed Gloria Petrina the

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guardian ad litem for the Plaintiff, T.P., a minor [ECF No. 18].

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At that time, T.P. was fourteen years old.

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Guardian Ad Litem, ECF No. 19.)

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the guardian ad litem filed a Petition to Approve Disposition of

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Minor’s Settlement [ECF No. 23].

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guardian and counsel for Plaintiff filed a consent to magistrate

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judge jurisdiction.

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ECF No. 26.)

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September 23, 2011, which included the consent of the only

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Defendant, the United States.

(Order Granting Pet.

Subsequently, on August 1, 2011,

On September 8, 2011, the

(Notice, Consent, & Reference, Sept. 8, 2011,

A second Notice, Consent, & Reference was filed on

(Notice, Consent, & Reference, Sept.

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10cv0295 AJB(RBB)

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23, 2011, ECF No. 30.)

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States magistrate judge conduct all proceedings in this case

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related to the minor’s compromise issues.”

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United States District Judge Anthony J. Battaglia referred the case

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to this Court “to conduct all proceedings related to the minor’s

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compromise issues in accordance with 28 U.S.C. § 636(c) and Fed. R.

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Civ. P. 73.”

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The parties “consent[ed] to have a United

(Id.)

As a result,

(Id.)

In the Petition to Approve Disposition of Minor’s Settlement,
the guardian outlines the nature of the claim, the minor’s

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injuries, the cost of the resulting medical treatment, and the

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minor’s recovery and prognosis.

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Settlement 1-2, ECF No. 23.)

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bicycle accident.

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a van being operated by an employee of the United States Federal

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Bureau of Investigation.

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closed fracture of both the tibia and fibula of his left leg.

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was hospitalized from May 21 to May 23, 2009.”

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fractures were set and casted.

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and wore a cast for approximately seven weeks.

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to Balboa Naval Hospital for follow-up care on three occasions but

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continues to experience some weakness.

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to pay $12,500.00, as a “full and final settlement in this matter

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and the United States further agrees to satisfy the Naval lien in

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this matter.”

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3.)

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(Pet. Approve Disposition Minor’s

T.P., the minor, was involved in a

He was riding his bicycle when he was struck by

(Id.)

(Id. at 2.)

(Id.)

“[P]laintiff sustained a

(Id.)

He

The

T.P. was given pain killers

(Id.)

(Id.)

He returned

The Defendant agreed

The lien amount totals $6,789.68.

The total value of the settlement is $19,289.68.

(Id. at

Counsel for

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the minor has agreed to accept twenty-five percent of the net cash

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recovery of $12,500.00 as his attorney’s fees.

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(Id.)

The costs

10cv0295 AJB(RBB)

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incurred total $661.24.

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settlement are $8,713.76.

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(Id.)

Thus, the net proceeds of the

(Id.)

The minor was deposed, and the parties subsequently

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participated in a court-ordered settlement conference.

(See Joint

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Mot. Extend Time 1, ECF No. 20; Mins. May 11, 2011, ECF No. 22.)

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Since the deposition and the last settlement conference, the

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parties reached a settlement and now ask the Court to approve the

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compromise of the minor’s claim.

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approval of the settlement and disposition of the proceeds as

Counsel for the minor recommends

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outlined in the Petition to Approve.

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the settlement is “fair, reasonable, and in the best interests of

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the claimant . . . .”

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(Id.)

In counsel’s opinion,

(Id.)
Applicable Standards

Local Rule 17.1(a) provides that “[n]o action by or on behalf

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of a minor or incompetent will be settled, compromised, voluntarily

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discontinued, dismissed or terminated without court order or

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judgment.

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magistrate judge before any order or approval will issue.”

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Cal. Civ. R. 17.1(a).

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and evaluate any compromise or settlement of a minor’s claims to

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assure itself that the minor’s interests are protected, even if the

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settlement has been recommended and negotiated by the minor’s

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parent or guardian ad litem.”

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1357, 1363 (9th Cir. 1983), (internal citation omitted).

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All settlements and compromises must be reviewed by a
S.D.

“[A] court must independently investigate

Salmeron v. United States, 724 F.2d

California Probate Code section 3601 authorizes the court

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approving a compromise of a minor’s disputed claim to “make a

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further order authorizing and directing that reasonable expenses,

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medical or otherwise[,] . . . costs, and attorney’s fees, as the

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10cv0295 AJB(RBB)

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court shall approve and allow therein, shall be paid from the money

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or other property to be paid or delivered for the benefit of the

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minor.”

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directed to the parent, guardian ad litem or to the payer of any

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money to be paid pursuant to a settlement.

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Cal. Prob. Code § 3601(a) (West 2009).

The order may be

Id. § 3601(b).

The California Probate Code provides that after the payment of

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all expenses, fees, and costs as approved by the Court, the

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remaining balance shall be disbursed in one or more of the

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following ways:

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(b) That the remaining balance of any money paid or to be
paid be deposited in an insured account in a financial
institution in this state, or in a single-premium deferred
annuity, subject to withdrawal only upon the authorization of
the court . . . .

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. . . .

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(d) If the remaining balance of the money to be paid or
delivered does not exceed twenty thousand dollars ($20,000),
that all or any part of the money be held on any other
conditions the court in its discretion determines to be in the
best interest of the minor . . . .

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(e) If the remaining balance of the money and other
property to be paid or delivered does not exceed five thousand
dollars ($5,000) in value and is to be paid or delivered for
the benefit of a minor, that all or any part of the money and
the other property be paid or delivered to a parent of the
minor, without bond, upon the terms and the conditions
specified in Article 1 (commencing with Section 3400) of
Chapter 2.
Cal. Probate Code § 3611(b),(d),(e) (West 2009).

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Findings
1.

The Court finds that, in light of the claims against

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the United States, its affirmative defenses, and the medical

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expenses incurred by the minor, the proposed settlement with the

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United States is fair and reasonable.

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No. 1; Answer 1-4, ECF No. 11.)

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(See also Compl. 1-3, ECF

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2.

The compromise and terms of the settlement as described

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in the Petition to Approve Disposition of Minor’s Settlement are in

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the best interests of the Plaintiff, T.P., a minor.

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3.

The settlement and compromise of the minor’s claims

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against the United States for the total sum $12,500.00, after

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payment of the lien for medical expenses in the amount of

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$6,789.68, is approved.

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execute and deliver the necessary releases, drafts, and other

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documents to effectuate this settlement.

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4.

The guardian ad litem for the minor should

Counsel for the Plaintiff and the guardian ad litem are

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authorized to distribute the settlement funds of $12,500.00 as

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follows:

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and $661.24 to cover costs incurred.

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make a recommendation for the use of the net settlement proceeds,

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the Court directs the net balance of $8,713.76 to be deposited for

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the benefit of T.P. in an interest-bearing, federally insured

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account in a financial institution in the State of California,

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subject to withdrawal only upon the authorization of the Court as

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long as T.P. is under the age of eighteen.

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3611(b).

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court approval is no longer required for him to withdraw, reinvest,

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or otherwise make use of the net settlement proceeds.

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3612 (West 2009).

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$3,125.00 to Plaintiff’s counsel to cover attorney’s fees

See Cal. Prob. Code §

When the Plaintiff T.P. reaches the age of eighteen,

See id. §

IT IS SO ORDERED.
September 28, 2011
______________________
Ruben B. Brooks
United States Magistrate Judge

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Because the guardian did not

cc: Judge Battaglia
Counsel
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10cv0295 AJB(RBB)