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Must a managed care plan pay for Medi-Cal beneficiary hospital services in accordance with the providing hospital’s full billed charges concerning post-stabilization services not under contract?

Posted by Steven Vartabedian on

In Children’s Hospital Central California v. Blue Cross of California (filed 6/10/14) F065603, Blue Cross, in providing a managed care plan, paid $4.2 million to Children’s Hospital for a 10-month period of coverage without written contract rates for post-stabilization care. Payment was based on the Medi-Cal rates paid by the government. Children’s Hospital sued for […]

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Where settlement agreement provides for a discounted principal amount to be paid in installments and the entire original liability becomes due because of a late payment, is default judgment for amount in excess an unenforceable penalty?

Posted by Steven Vartabedian on

In promissory note cases, it is not uncommon in my role as a mediator to assist parties in framing terms of a settlement that provides for installment payments. The creditor normally wants some “teeth” in the agreement in exchange for its promise to accept gradual payments rather than the full sum immediately upon settlement. On […]

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Can commercial tenant sue landlord based on inaccurate pre-lease estimates of shopping center pro-rata costs portion of its rent?

Posted by Steven Vartabedian on

In Thrifty-Payless, Inc. v. The Americana at Brand, LLC (certified for publication 8/14/13) 2013 DJDAR 10838, plaintiff, doing business as Rite-Aid, leased commercial space at defendant’s shopping center in Glendale. Prior to execution of the lease, the parties negotiated through a letter of intent (LOI). In their final LOI, defendants stated that, as a part […]

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Snakes in the Pendergrass – California Supreme Court Fortifies Fraud Exception to Parol Evidence Rule in Riverisland Cold Storage v. Fresno-Madera Production Credit Association

Posted by Dowling Aaron on

For more than 75 years, the California fraud exception to the parol evidence rule in written contract cases has been limited to evidence which tends “to establish some independent fact or representation, some fraud in the procurement of the instrument or some breach of confidence concerning its use, and not a promise directly at variance […]

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Former human resource director’s deceiving employer she had executed arbitration agreement neither implies agreement nor estops her from denying.

Posted by Steven Vartabedian on

In Gorlach v. The Sports Club Company. B233672 (filed October 16, 2012), the Court of Appeal, Second Appellate District, Division Four, affirmed the trial court’s denying defendant’s motion to compel arbitration. While the defendant conceded that plaintiff never signed a written contract to arbitrate, defendant claimed equitable estoppel or implied-in-fact agreement. Plaintiff Susan Gorlach resigned […]

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Doctrine of boundary by agreement: good fences don’t make good neighbors absent an agreement.

Posted by Steven Vartabedian on

With apologies to Robert Frost and his poem “Mending Wall,” there might be a circumstance when a good fence does make a good neighbor: that is where the fence marks an agreed-upon boundary between two neighbors. In Martin v. Van Bergen (filed September 6, 2012) 2012 DJDAR 12577, the Van Bergens contended the fence that […]

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Insufficient showing of third-party beneficiary status to compel arbitration of claim of nonsignatory to arbitration agreement

Posted by Steven Vartabedian on

In Epitech, Inc., v. Kann (filed April 16, 2012) 2012 DJDAR 4768), defendant Kann filed a petition to compel arbitration after a corporation’s short term creditors brought suit against defendant, a financial advisor the corporation had retained to assist it in getting long-term financing to pay its short-term debts. Suit followed the corporation going bankrupt. […]

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Arbitration clause in employment contract superseded that in earlier agreement and made wrongful termination claim not subject to arbitration

Posted by Steven Vartabedian on

In the morass of paperwork accompanying the start of employment, an employer may ask the employee to sign multiple documents discussing arbitration: an employee handbook, an employer alternative resolution policy statement, and/or the contract of employment may be among the many documents. Which executed document concerning arbitration controls if their content differs? This question is […]

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Contractor Licensing Law revisited: triable issue whether contracting entity and licensed entity are one and the same

Posted by Steven Vartabedian on

Since the California Legislature amended Business & Professions Code section 7031, subdivision (e), to narrow the doctrine of substantial compliance with contractor licensing requirements, a contractor attempting to recover for construction work performed may no longer avoid the harshness of the bar against recovery by claiming lack of licensure was merely a matter of form. […]

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