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SELECTED CASES

May 20th, 2020

SELECTED CASES

In re Coalinga Reg’l Med. Ctr. (2019)

608 B.R. 746

In this 2019 case, Riley C. Walter successfully argued that the United States trustee for region 17 (“UST”) lacked authority to appoint unsecured creditors’ committees in Chapter 9 cases under 11 U.S.C. § 1102 (a)(1). Debtor also contends that § 105 (a) as implemented by Rule 2020 (providing the procedure to contest any act of the UST) authorizes the court to disband Committee.

John R. Lawson Rock & Oil, Inc. v. Air Resources Board (2018)

20 Cal.App.5th 77

Tim Jones and John P. Kinsey successfully challenged proposed modifications adopted by the California Air Resources Board (“CARB”) to the “Truck and Bus Regulation,” which adversely affected trucking companies that had diligently and timely complied with the original regulation.  The Court found CARB violated the California Environmental Quality Act by using an improper environmental baseline, as well as the Administrative Procedure Act by failing to adequately assess the economic impact of the modifications on compliant trucking companies.  In a related appeal, the firm successfully argued the petitioners were entitled to an award of attorneys’ fees under Section 1021.5 of the Code of Civil Procedure. Mr. Kinsey argued both cases on appeal.

Greer v. Pacific Gas and Electric Company (E.D. Cal. 2017)

265 F.Supp.3d 1053, 1058

Patrick D. Toole represented Plaintiffs in a class action against employer Pacific Gas and Electric Company and union, alleging that employer failed to pay wages due under a collective bargaining agreement (“CBA”), and that the union breached its duty of fair representation.

This case resulted in no less than three significant opinions. First, Plaintiffs established they were not required to exhaust a grievance process before bringing a Labor Management Relations Act (“LMRA”) claim; second, Plaintiffs established precedent preventing witnesses from materially altering their deposition testimony to support a summary judgment motion; and third, genuine issues of material fact existed on the question of whether the union conducted an adequate investigation prior to entering into settlement agreements with PG&E.  These rulings ultimately led to a $5.8 million settlement in favor of the firm’s clients.

United States v. McIntosh (9th Cir. 2016)

833 F.3d 1163, 1170-1172, 1179

Peter M. Jones represented one of the Defendants for marijuana offenses under the Controlled Substances Act. Defendants sought to enjoin the Department of Justice (“DOJ”) from using any appropriated funds to support the prosecutions. Defendants moved to dismiss their indictments or to enjoin their prosecutions on the grounds that the DOJ was barred from spending funds to prosecute them. The Ninth Circuit remanded to the district courts, finding that if the DOJ wishes to continue these prosecutions, Defendants were entitled to evidentiary hearings to determine if their conduct strictly complied with all relevant conditions imposed by California state law on the use, distribution, possession, and cultivation of medical marijuana. Mr. Jones’ client and the other Defendants were subsequently dismissed as a result of the trial court ruling.

Central Green Co. V. United States (2001)

531 U.S. 425, 121 S.Ct. 1005

Central Green sued the United States of America under the Federal Tort Claims Act for damage to Central Green’s pistachio trees caused by water leaking from a federal water project. In a landmark decision argued by Timothy Jones, the United States Supreme Court unanimously reversed the Ninth Circuit Court of Appeals holding the Federal Flood Control Act was not a bar to plaintiff’s claims.

Affordable Housing Development Corp V. City Of Fresno (2006)

433 F.3d 1182

In this case the firm successfully defended individuals who asserted their first amendment rights and were sued for $27,000,000. This case was important in establishing first amendment rights of individuals to petition their Government for redress.

Mergerdigian V. Western Farm Service (1986)

788 F.2d 760

In this case the firm successfully defended against an employee’s claim for wrongful discharge and age discrimination in the trial court, and this result was affirmed on appeal.

POET, LLC V. California Air Resources Board (2013)

218 Cal.App.4th 681

In this case, attorneys Timothy Jones, John P. Kinsey, and Daren A. Stemwedel successfully argued that the California Air Resources Board violated multiple provisions of CEQA and the APA when it adopted the Low Carbon Fuel Standard regulation, a major component of the California Global Warming Solutions Act of 2006. The Fifth District Court of Appeal set aside the approval of the regulation, directing the Air Resources Board to comply with CEQA and the APA.

Baker V. Boland (2009)

Cal. App. Unpub. Lexis 3569

In this case, Scott D. Laird successfully obtained reversal of “prevailing party” determination and attorney fees award on appeal, overcoming the “abuse of discretion” standard.

Artesia Dairy V. Agricultural Labor Relations Board (2008)

168 Cal.App.4th 598

In this case the firm successfully argued that the ALRB erred in failing to count the ballots of three employees in an agricultural election. The Court of Appeals ordered that the challenged ballots be opened and agreed that the ALRB had improperly construed the statute to exclude relatives of the owner of the dairy from voting.

Animal Legal Defense Fund V. Mendes (2008)

160 Cal.App.4th 136

In this case the firm successfully defended claims that Mendes Calf Ranch violated various statutes pertaining to the raising of livestock. The firm successfully defended the case and succeeded in convincing the Court that the Plaintiff lacked standing to sue under the Unfair Business Practice scheme set forth in California Business and Professions Code §17200.

Westamerica Bank V. MBG Industries, Inc. (2007)

158 Cal.App.4th 109

In this case, Scott D. Laird successfully defended appeal and made new law regarding California Code of Civil Procedure Section 998 Offers.

North American Bldg. Maintenance, Inc. V. Fireman’s Fund Ins. Co. (2006)

137 Cal.App.4th 627

Patrick D. Toole and Scott D. Laird successfully argued that the insurance company, Fireman’s Fund Insurance Company, wrongfully denied its insured coverage for a claim of false imprisonment in an underlying class action lawsuit.

City Of Fresno V. People Ex Rel Fresno Fire Fighters (1999)

71 Cal.App.4th 82

In this case the firm successfully represented the City of Fresno in a labor case involving an action brought by the Police Officer’s Union and the Fire Fighter’s Union seeking to set aside the repeal of the City Charter provisions which set forth the employee’s wages based upon an eight city average. In this complex case arising under the Meyers-Milias-Brown Act, it was successfully argued at both the trial and Appellate Court level that the actions taken by the City of Fresno were proper and that the City of Fresno properly fulfilled its bargaining obligations with the labor unions.

Quinn Company (1984)

273 NLRB No. 107, 118 LRRM 1239

In this case the National Labor Relations Board upheld the decertification of the union that had represented the work force of the firm’s client. The board’s opinion is often cited for the proposition that a bargaining unit supervisor properly may participate in the decertification process.

Joe A. Freitas & Sons V. Food Packers,

Processors And Warehousemen Local 865,

International Brotherhood Of Teamsters (1985)

164 Cal.App.3d 1210, 211 Cal.Rptr. 157

In this case the firm obtained the reversal of an adverse arbitration award, in the process establishing important precedent regarding the validity and interpretation of collective bargaining agreements under California’s Agricultural Labor Relations Act.

Covid-19 and Asset Protection

May 7th, 2020

Covid-19 and Asset Protection

START THINKING BANKRUPTCY NOW, NOT LATER, EVEN IF YOU NEVER FILE

May 8, 2020

If you’ve lost your job or struggle to pay your debts, you may need to file for bankruptcy. If that’s the case, you should ignore some common advice and start thinking defensively, and acting proactively.

The coronavirus pandemic that upended the economy is also expected to send unprecedented numbers of people and businesses to bankruptcy court. Millions are out of work, and economic disruptions could continue until a vaccine is widely available, something that may be months away.

DON’T WAIT TO TALK TO A BANKRUPTCY ATTORNEY

People are usually advised to solve their debt problems on their own, if they can, with bankruptcy as a last resort. But the people who come out of bankruptcy in the best shape tend to be the ones who got expert advice early. Even if you never file bankruptcy you need to be educated to the pros and cons and the dos and don’ts

If you even think that there’s a possibility that you’re going to be in debt trouble, or you’re not able to pay something, go have a consultation before you make any kind of financial move.

DON’T TOUCH YOUR RETIREMENT MONEY

The new coronavirus hardship withdrawals allow people to take up to $100,000 from their 401k or individual retirement accounts without penalty or mandatory withholding. The withdrawals are taxable, but people who can pay the money back within three years can amend their tax returns to get those taxes refunded.

But few people in financial crisis now will be able to pay the money back. More important, money in retirement funds is typically protected from creditors and so should not be used to pay debt that could be discharged in bankruptcy, such as credit cards and medical bills.

DON’T LET CASH PILE UP

A cash buffer is important, but money in bank accounts can be levied up to pay creditors. Your attorney will advise you about where to put extra cash. One option may be a Roth IRA. Any amount you contribute can be withdrawn tax-free at any time, and in the meantime it’s protected from creditors.

DON’T GIVE AWAY ASSETS

People are often advised to sell unneeded possessions to pay down what they owe. If there is a bankruptcy in your future, though, check with a bankruptcy attorney first since the sale may be more unnecessary or may be needed later.

Also, don’t give away assets, because a bankruptcy trustee – the person administering your bankruptcy case – could sue the recipient to get them back.

DON’T PASS UP FORBEARANCE OPTIONS

Because of the crisis, many lenders are allowing borrowers to skip some payments. The usual advice is to take advantage of such forbearance only if you really need to, since the debt will still have to be repaid.  The advice is different if you may file bankruptcy.

Credit card debt and most other unsecured debt can be erased in a Chapter 7 bankruptcy, which is the type most consumers file. Secured debt, such as mortgages and car loans, usually isn’t erased, but forbearance could help you save money for other necessities, including food and utilities.

BE PROACTIVE

None of us know exactly how the virus crisis will unfold. But long experience says that being proactive about being informed is smart.

CONCLUSION

Times are tough and may get tougher. To survive you need to be proactive. Please act sooner rather than later. If help is needed, we are here to help.

Riley C. Walter

rcwalter@wjhattorneys.com

(559) 490-0949