Atwell Island Water Dist. v. Atwell Island Water Dist.

CourtCalifornia Court of Appeal
DecidedFebruary 24, 2020
DocketF076043
StatusPublished

This text of Atwell Island Water Dist. v. Atwell Island Water Dist. (Atwell Island Water Dist. v. Atwell Island Water Dist.) is published on Counsel Stack Legal Research, covering California Court of Appeal primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Atwell Island Water Dist. v. Atwell Island Water Dist., (Cal. Ct. App. 2020).

Opinion

Filed 2/24/20

CERTIFIED FOR PARTIAL PUBLICATION *

IN THE COURT OF APPEAL OF THE STATE OF CALIFORNIA

FIFTH APPELLATE DISTRICT

ATWELL ISLAND WATER DISTRICT, F076043 Defendant and Appellant, (Super. Ct. No. VCU268562) v.

ATWELL ISLAND WATER DISTRICT, OPINION Defendant and Respondent.

APPEAL from an order of the Superior Court of Tulare County. Melinda M. Reed, Judge. Herr, Pedersen & Berglund, Leonard C. Herr, Rachele Berglund and Rhea Ikemiya for Defendant and Appellant. McCormick, Barstow, Sheppard, Wayte & Carruth and Scott M. Reddie for Defendant and Respondent. -ooOoo- Atwell Island Water District (AIWD) is a California water district located in Tulare County, California, and is governed by a five-member board of directors. There is currently a dispute concerning which persons are the true members of its board.

* Pursuant to California Rules of Court, rules 8.1105(b) and 8.1110, this opinion is certified for publication with the exception of parts I and II. There are two competing factions, each of which claims to constitute a board majority; neither faction recognizes the other as legitimate. One faction is controlled by John Mitchell, Milton Pace, and Nathan Cameron, who claim the board is currently comprised of the three of them plus Donald Jackson. The second faction is controlled by Donald Jackson and Deanna Jackson, who claim the current board is comprised only of the two of them plus John Mitchell. AIWD is both the appellant and respondent in this appeal; appellant is governed by the controllers of the first faction, while respondent is governed by the controllers of the second faction. The dispute stems from a disagreement concerning the validity of a purported January 17, 2017 election to replace two board members whose terms were ending. Appellant contends a valid election took place, resulting in Pace and Cameron being newly elected to the board; respondent maintains no valid election occurred. After the election took place, and Pace and Cameron were allegedly seated on the board, appellant filed on behalf of AIWD, through newly-retained legal counsel Leonard Herr, an answer to a petition for a writ of mandate filed by John Mitchell (the Mitchell Petition) as well as a cross-complaint against Donald Jackson, Deanna Jackson, and Matthew Hurley, in their individual capacities. Respondent filed a motion to strike appellant’s answer and cross-complaint on the ground that Herr was not authorized to prepare and file those pleadings on AIWD’s behalf. Specifically, respondent claimed the meeting at which appellant retained Herr’s firm was held in violation of the Brown Act (Gov. Code, § 54950, et seq.) as a majority of the board of directors was not present. The motion to strike was supported by a request for judicial notice as well as by declarations with accompanying exhibits. The court entered an order granting respondent’s motion without leave to amend, ruling the meeting at which Herr’s firm was retained was held in violation of the Brown Act as a quorum of the board of directors was not present. Appellant appeals from that order, contending the trial court abused its discretion by relying on improper extraneous

2. documents in ruling on the motion. Appellant also contends the trial court abused its discretion by not allowing appellant leave to amend its pleadings. We conclude the trial court relied on improper extraneous documents when ruling on the motion to strike and thereby abused its discretion, but we nevertheless affirm the granting of the motion without leave to amend. The election that appellant alleges took place on January 17, 2017 was void as it was held the day after a state holiday, namely Martin Luther King, Jr. Day, and Pace and Cameron were therefore not duly elected to the AIWD board. Herr’s firm was therefore not retained by a board majority as John Mitchell could not constitute a majority by himself, and Herr consequently was not authorized to prepare, sign, or file pleadings on AIWD’s behalf. The pleadings were rightfully stricken, and leave to amend should not have been allowed because the pleadings were incurably defective. RELEVANT FACTUAL AND PROCEDURAL BACKGROUND Because this case comes to us after the granting of a motion to strike, we accept as true the well-pleaded allegations in appellant’s first amended cross-complaint 1 as well as the well-pleaded allegations admitted in appellant’s answer. We “read allegations of a pleading subject to a motion to strike as a whole, all parts in their context, and assume their truth.” (Clauson v. Superior Court (1998) 67 Cal.App.4th 1253, 1255.) “An admission in a pleading is conclusive on the pleader.” (Valerio v. Andrew Youngquist Construction (2002) 103 Cal.App.4th 1264, 1272.) We also consider matters which are judicially noticeable. (Code Civ. Proc., § 437.) We draw the following facts from the allegations of appellant’s first-amended cross-complaint as well as from the Mitchell Petition’s allegations, the truth of which were admitted in appellant’s answer.

1 We observe the only material difference between the cross-complaint and first amended cross-complaint is that the latter dropped the cause of action for declaratory relief and added a cause of action for injunctive relief. The differences in the factual allegations are immaterial as related to this appeal.

3. AIWD is a California water district to be governed by a five-member board of directors. In September 2016, the five directors were John Mitchell, Deanna Jackson, Donald Jackson, James Atwell, and Monte Mitchell. On September 1, 2016, the board adopted a resolution to conduct a “special election” to fill the seats of two directors, Deanna Jackson and Monte Mitchell, whose terms were ending. The election was to be conducted by an all-mail ballot on January 17, 2017. 2 Appellant alleged only two individuals, Milton Pace and Nathan Cameron, submitted to AIWD their declarations of candidacy and oaths of office, per the requirements of Elections Code sections 10511 and 15012. Two other individuals, Deanna Jackson and Matthew Hurley, also attempted to declare their candidacy, but failed to timely submit the required documents per the Elections Code. A disagreement arose amongst the board concerning whether Deanna Jackson and Matthew Hurley were qualified candidates for the election, and the board retained special elections counsel to render an opinion regarding which individuals were qualified to be on the ballot. The elections counsel opined Pace and Cameron were the only qualified candidates. In light of this opinion of counsel, John Mitchell noticed a special board meeting to take place on December 12, 2016. The agenda for the meeting included an action item “to approve the candidate list for the January 17, 2017 special election.” The candidate list included only Milton Pace and Nathan Cameron. Deanna Jackson and Donald

2 On January 16, 2020, appellant filed a request that we take judicial notice of a resolution passed by the AIWD board of directors on September 12, 2016, entitled “Resolution No. 16-1209.” This document shows the board of directors resolved to hold the election by all-mail ballot pursuant to Elections Code section 4108 on Tuesday, January 17, 2017. We grant appellant’s request for judicial notice pursuant to Evidence Code section 452, subdivision (b). (See Souza v. Westlands Water Dist. (2006) 135 Cal.App.4th 879, 886, fn. 1 [this court took judicial notice of agenda for water district’s board meeting and a notice to landowners pursuant to Evid. Code, § 452, subds. (b) & (h)].)

4. Jackson chose not to attend the meeting. The first amended cross-complaint and answer do not allege what actions were taken at this meeting; the pleadings only allege an agenda was prepared and the meeting was held.

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