Chu v. 2000 West Street CA2/4

CourtCalifornia Court of Appeal
DecidedJanuary 28, 2026
DocketB342313
StatusUnpublished

This text of Chu v. 2000 West Street CA2/4 (Chu v. 2000 West Street CA2/4) 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
Chu v. 2000 West Street CA2/4, (Cal. Ct. App. 2026).

Opinion

Filed 1/28/26 Chu v. 2000 West Street CA2/4

NOT TO BE PUBLISHED IN THE OFFICIAL REPORTS

California Rules of Court, rule 8.1115(a), prohibits courts and parties from citing or relying on opinions not certified for publication or ordered published, except as specified by rule 8.1115(b). This opinion has not been certified for publication or ordered published for purposes of rule 8.1115.

IN THE COURT OF APPEAL OF THE STATE OF CALIFORNIA

SECOND APPELLATE DISTRICT

DIVISION FOUR

ANTHONY K. CHU et al., B342313

Plaintiffs and Appellants,

(Los Angeles County Super. Ct. No. 22AHCV00135) v.

2000 WEST STREET LLC et al.,

Defendants and Respondents.

APPEAL from an order of the Superior Court of Los Angeles County, William A. Crowfoot, Judge. Affirmed. Schiffer and Eric M. Schiffer; Law Offices of Anthony K. Chu and Anthony K. Chu, for Plaintiffs and Appellants. Frost Brown Todd, S. Christopher Yoo and Jacob M. Clark, for Defendants and Respondents. Appellants Anthony Chu, d.b.a. Law Offices of Anthony K. Chu (Chu) and Jiang Qi brought an action against respondents 2000 West Street LLC (2000 West), Yun Zheng, and Shaojie Zhang. Appellants asserted claims for fraudulent transfer and civil conspiracy, alleging that respondents transferred assets through a series of transactions with the intent of avoiding two large judgments owed to appellants from prior lawsuits. The trial court granted respondents’ motion for summary judgment, finding that appellants failed to show a triable issue of fact as to a fraudulent intent. Appellants assert that the trial court erred in excluding several key pieces of evidence, which, if admitted, would have demonstrated triable issues of fact. We find no error and therefore affirm the judgment. FACTUAL AND PROCEDURAL HISTORY I. Background 2000 West was formed in March 2017 for the purpose of purchasing a commercial warehouse in Reading, Ohio. The three original owners of the company were Yun Zheng (30 percent), Jennifer Liu (20 percent), and Qingyu Zhang1 (50 percent). Zheng is also the manager of 2000 West. Zheng and her husband, Shaojie Zhang, are respondents in this case. Appellants’ claims arise out of judgments they obtained in two prior lawsuits in Los Angeles Superior Court. In June 2016, Chu, an attorney, filed an employment lawsuit on behalf of Qi. Qi sued a number of defendants, including New Diamond Trucking, Inc., a company owned by Qingyu. Following a bench trial, the court entered judgment on October 2, 2019 against New Diamond and others in an amount, according to appellants, totaling $426,513.24 In July 2020, Chu filed a malicious prosecution action on his own behalf against multiple defendants, including Qingyu. Chu obtained a default judgment against Qingyu for $500,534 in April 2021. II. The Complaint Appellants filed this action on March 14, 2022 against respondents and others, including New Diamond, Liu, and Qingyu. In the operative third amended complaint, appellants asserted claims for fraudulent transfer and

1 Because they share a surname, we refer to Qingyu Zhang and respondent Shaojie Zhang by first name for clarity. 2 civil conspiracy.2 In the first through third causes of action against 2000 West for fraudulent transfer, constructive fraud, and conspiracy, respectively, appellants allege that New Diamond, owned by Qingyu, transferred funds to 2000 West under the guise of obtaining a 50 percent ownership share of the company. However, appellants contend New Diamond did so to avoid payment of the judgment in the employment action. The fourth through sixth causes of action allege fraudulent transfer, constructive fraud, and conspiracy, respectively, against Zheng and Shaojie. Appellants allege that Zheng (as one of the owners of 2000 West) and Shaojie (as Zheng’s spouse), conspired with Qingyu to transfer Qingyu’s interest in 2000 West to Zheng to avoid paying the default judgment in the malicious prosecution action. III. Summary Judgment A. Motion Respondents filed a motion for summary judgment or adjudication in April 2024. They presented evidence of a complicated series of transactions between various parties related to 2000 West’s purchase of a warehouse in Ohio. Respondents claim that in April 2017, Zheng and New Diamond agreed that Zheng would provide $362,500 to New Diamond to help finance the warehouse purchase by 2000 West. Respondents provided a copy of Zheng’s check to New Diamond, dated April 3, 2017. They also submitted a Funding Agreement, purporting to memorialize the arrangement, dated in April 2017 and signed by Yun Zheng on her own behalf and Qingyu’s son on behalf of New Diamond. The Funding Agreement further provided that once the purchase price was settled, New Diamond would use the money Zheng had provided to pay Zheng’s 30 percent capital contribution to 2000 West, on behalf of Zheng. The balance of the money Zheng had given to New Diamond would serve as a personal loan to Qingyu. In October 2017, 2000 West entered into a lease agreement for the warehouse property, which it then subleased to New Diamond. The purchase price for the property was $950,000. 2000 West paid the $350,000 purchase deposit in October 2017, made up of all of Liu’s capital contribution of

2 The record on appeal does not include a copy of the complaint or any amended complaint. We take our summary from the trial court’s summary judgment order. 3 $190,000 (20 percent of $950,000) and $160,000 from Zheng’s capital contribution, paid from the $362,500 in funds “being held by New Diamond on behalf of” Zheng. Qingyu did not provide his 50 percent capital contribution up front. Instead, 2000 West and Qingyu entered into a promissory note under which Qingyu would pay the monthly rent payments on the property (about $16,000) to satisfy his capital contribution amount. After New Diamond paid 2000 West the $160,000 from Zheng for the down payment, New Diamond still held the balance of Zheng’s capital contribution that was earmarked for 2000 West ($285,000 total capital contribution - $160,000 paid = $125,000 remaining held by New Diamond for Zheng). 2000 West agreed to advance Zheng’s $125,000 back to New Diamond as a short-term loan. This agreement was purportedly reflected in a short-term advance agreement dated October 5, 2017. New Diamond paid eight checks to 2000 West between October 2017 and April 2018, in satisfaction of the short-term advance agreement. New Diamond then continued to make monthly rent payments and pay monthly installments toward Qingyu’s capital contribution between May 2018 and March 1, 2019. After that, New Diamond made no further payments. Zheng also stated that she advanced other money to Qingyu in 2018 as part of other potential investments, giving him one check for approximately $253,000 and one for approximately $169,000. They entered into an agreement in January 2019 for repayment of the $500,000 Qingyu owed to Zheng, with Qingyu’s ownership interest in 2000 West as collateral. When Qingyu did not make the payments, they entered into Amendment No. 1 to the LLC agreement, dated October 1, 2019, transferring ownership of Qingyu’s 50 percent interest in 2000 West to Zheng. In September 2020, Liu executed this amendment and also assigned her interest to Zheng, giving Zheng full ownership of 2000 West. Zheng and Shaojie both submitted declarations stating that from 2017 through 2020, they were not aware of the judgments against New Diamond and Qingyu in the prior lawsuits and that none of the transactions were undertaken to assist in evading any creditors. In December 2021, Qingyu filed a lawsuit in Ohio state court against Zheng and 2000 West. Qingyu alleged he was fraudulently induced to give

4 up his ownership interest in 2000 West to Zheng. In March 2024, the Ohio court granted summary judgment in favor of Zheng and 2000 West.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Williams v. Saga Enterprises, Inc.
225 Cal. App. 3d 142 (California Court of Appeal, 1990)
Jones v. Superior Court
26 Cal. App. 4th 92 (California Court of Appeal, 1994)
Paterno v. State
87 Cal. Rptr. 2d 754 (California Court of Appeal, 1999)
Lerma v. County of Orange
15 Cal. Rptr. 3d 609 (California Court of Appeal, 2004)
Benach v. County of Los Angeles
57 Cal. Rptr. 3d 363 (California Court of Appeal, 2007)
Bozzi v. NORDSTROM, INC.
186 Cal. App. 4th 755 (California Court of Appeal, 2010)
Aguilar v. Atlantic Richfield Co.
24 P.3d 493 (California Supreme Court, 2001)
Reid v. Google, Inc.
235 P.3d 988 (California Supreme Court, 2010)
Serri v. Santa Clara University
226 Cal. App. 4th 830 (California Court of Appeal, 2014)
Pipitone v. Williams
244 Cal. App. 4th 1437 (California Court of Appeal, 2016)
Mackey v. Bd. of Trs. of the Cal. State Univ.
242 Cal. Rptr. 3d 757 (California Court of Appeals, 5th District, 2019)
Sweetwater Union High Sch. Dist. v. Gilbane Bldg. Co.
434 P.3d 1152 (California Supreme Court, 2019)

Cite This Page — Counsel Stack

Bluebook (online)
Chu v. 2000 West Street CA2/4, Counsel Stack Legal Research, https://law.counselstack.com/opinion/chu-v-2000-west-street-ca24-calctapp-2026.