Cotton v. Geraci

CourtDistrict Court, S.D. California
DecidedOctober 22, 2021
Docket3:18-cv-00325
StatusUnknown

This text of Cotton v. Geraci (Cotton v. Geraci) is published on Counsel Stack Legal Research, covering District Court, S.D. California primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Cotton v. Geraci, (S.D. Cal. 2021).

Opinion

1 2 3 4 5 6 7 8 UNITED STATES DISTRICT COURT 9 SOUTHERN DISTRICT OF CALIFORNIA 10 11 DARRYL COTTON, an individual, Case No.: 18-CV-325 TWR (DEB)

12 Plaintiff, ORDER GRANTING MOTIONS TO 13 v. DISMISS AND DENYING OTHERS AS MOOT 14 CYNTHIA BASHANT, an individual;

JOEL WOHLFEIL, an individual; LARRY 15 GERACI, an individual; REBECCA (ECF Nos. 44, 46, 50, 53, 64, 65, 66, 67, 16 BERRY, an individual; GINA AUSTIN, 93) an individual; MICHAEL WEINSTEIN, 17 an individual; JESSICA MCELFRESH, an 18 individual; and DAVID DEMIAN, an individual, 19 Defendants. 20 21 Defendants Judge Joel Wohlfeil, Judge Cynthia Bashant, Jessica McElfresh, Larry 22 Geraci, Rebecca Berry, and David Demian have respectively moved to dismiss Plaintiff’s 23 First Amended Complaint. (ECF Nos. 50, 64, 65, 66, 67.) In light of the Notice of 24 Dismissal (ECF No. 95), Judges Wohlfeil and Bashant have been dismissed with 25 prejudice. The Court finds the matters suitable for disposition without oral argument. 26 See Civ. L.R. 7.1(d)(1). For the reasons set forth below, the Court GRANTS the motions 27 and DENIES AS MOOT Plaintiff’s remaining pending motions. (ECF Nos. 44, 46, 53.) 28 1 BACKGROUND 2 The facts of this case have been recited in this Court’s previous order. (See ECF 3 No. 71). The following relates to the remaining Defendants. 4 By way of background, Defendant Larry Geraci and Plaintiff Daryl Cotton 5 allegedly reached an “oral joint venture agreement” where Geraci planned on buying 6 Plaintiff’s real property to develop a cannabis dispensary. (FAC ¶ 5, 63.) Geraci was not 7 new to the cannabis business, as he had allegedly owned and managed at least three 8 illegal marijuana dispensaries previously. (Id. ¶ 43.) Due to these illicit activities, Geraci 9 had been sanctioned and barred from owning a cannabis dispensary, and he therefore 10 applied for a cannabis permit with the City of San Diego under his receptionist’s name, 11 Rebecca Berry. (Id. ¶¶ 6–7.) Months later, the deal broke down when Geraci allegedly 12 refused to put their joint venture agreement into writing as promised. (Id. ¶ 71.) Geraci 13 sued Plaintiff in state court for breach of contract concerning the purchase and sale of 14 Plaintiff’s real property. (Id. ¶¶ 5, 63, 75.) Judge Wohlfeil was assigned the case. (Id. 15 ¶ 1.) Plaintiff, initially proceeding pro se, filed a cross-complaint against Geraci and his 16 receptionist, Rebecca Berry. (Id. ¶ 79.) 17 After “dealing with the procedural difficulties of representing himself pro se,” 18 Plaintiff turned to a litigation investor to hire a lawyer. (Id. ¶ 81.) The litigation investor 19 found Defendant Jessica McElfresh. (Id. ¶ 81.) The representation, however, did not 20 last. Plaintiff describes McElfresh as a “publicly disgraced cannabis attorney” against 21 whom the San Diego County District Attorney’s office has filed charges for “seeking to 22 conceal the illegal cannabis operations of one of her clients from government inspectors.” 23 (Id. ¶ 81.) McElfresh referred Plaintiff’s litigation investor to Defendant David Demian 24 of Finch, Thornton & Baird, LLP. (Id. ¶ 87.) Plaintiff alleges that both McElfresh and 25 Demian had failed to disclose that Geraci and some of his associates were also their 26 clients. (Id. ¶ 88.) Plaintiff accuses McElfresh and Demian of being “criminal[s] with a 27 license to practice law” and the types of attorneys who “connive to defeat their own 28 client’s case.” (Id. ¶ 92.) 1 In his First Amended Complaint (“FAC”), Plaintiff characterizes this case as a 2 “collateral attack on a state court judgment” (id. ¶ 1), and relevant here, asserts a cause of 3 action for declaratory relief against McElfresh, Geraci, Berry, and Demian. (Id. ¶¶ 149– 4 50.) Additionally, Plaintiff asserts a fourth cause of action for punitive damages against 5 all Defendants. (Id. ¶¶ 151–57.) In his claim for declaratory relief, Plaintiff asks this 6 Court to declare the state court judgment “void and vacated for being procured by a fraud 7 on the court, the product of judicial bias, and because it enforces an illegal contract.” (Id. 8 ¶ 150.) In his claim for punitive damages, Plaintiff states that he was denied justice 9 because Judge Wohlfeil and Judge Bashant were biased against him, and due to the 10 litigation, has incurred hefty legal fees. (Id. ¶¶ 153, 156–57.) 11 LEGAL STANDARD 12 A. Federal Rule of Civil Procedure 12(b)(1) 13 Congress granted district courts with “original jurisdiction of all civil actions 14 arising under the Constitution, laws, or treaties of the United States.” 28 U.S.C. § 1331. 15 Rule 12(b)(1) allows the dismissal of a case for lack of subject-matter jurisdiction. Fed. 16 R. Civ. P. 12(b)(1). “If the court determines at any time that it lacks subject-matter 17 jurisdiction, the court must dismiss the action.” Fed. R. Civ. P. 12(h)(3). 18 B. Federal Rule of Civil Procedure 12(b)(6) 19 Rule 12(b)(6) allows a court to dismiss a complaint for “failure to state a claim 20 upon which relief can be granted.” Fed. R. Civ. P. 12(b)(6). To survive a motion to 21 dismiss, the complaint must contain a “short and plain statement showing that the pleader 22 is entitled to relief,” backed by sufficient facts that make the claim “plausible on its face.” 23 Fed. R. Civ. P. 8(a)(2); Ashcroft v. Iqbal, 556 U.S. 662, 678, (2009) (quoting Bell Atl. 24 Corp. v. Twombly, 550 U.S. 544, 547 (2007)). Plausibility requires “more than a sheer 25 possibility that a defendant has acted unlawfully.” Iqbal, 566 U.S. at 678. Rather, it 26 demands enough factual content for the court to “draw the reasonable inference that the 27 defendant is liable for the misconduct alleged.” Id. (citing Twombly, 550 U.S. at 556). 28 The court must accept as true “all factual allegations in the complaint” and “construe the 1 pleadings in the light most favorable to the nonmoving party.” Manzarek v. St. Paul Fire 2 & Marine Ins. Co., 519 F.3d 1025, 1031 (9th Cir. 2008). This presumption does not 3 extend to conclusory allegations, “unwarranted deductions of fact, or unreasonable 4 inferences.” In re Gilead Scis. Sec. Litig., 536 F.3d 1049, 1055 (9th Cir. 2008). 5 C. Leave to Amend 6 Under Rule 15(a), a district court should “freely give leave [to amend] when 7 justice so requires.” Fed. R. Civ. P. 15(a). “This policy is to be applied with extreme 8 liberality.” Eminence Capital, LLC v. Aspeon, Inc., 316 F.3d 1048, 1051 (9th Cir. 2003) 9 (internal quotation marks and citations omitted). With respect to pro se litigants, the 10 Ninth Circuit has stated that this “extreme liberality” is “particularly important,” Lopez v. 11 Smith, 203 F.3d 1122, 1131 (9th Cir.

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Cotton v. Geraci, Counsel Stack Legal Research, https://law.counselstack.com/opinion/cotton-v-geraci-casd-2021.