Ghazarian v. Wheeler

177 F.R.D. 482, 1997 WL 828272
CourtDistrict Court, C.D. California
DecidedNovember 25, 1997
DocketNo. ED CV 95-0039 RT
StatusPublished
Cited by6 cases

This text of 177 F.R.D. 482 (Ghazarian v. Wheeler) is published on Counsel Stack Legal Research, covering District Court, C.D. California primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Ghazarian v. Wheeler, 177 F.R.D. 482, 1997 WL 828272 (C.D. Cal. 1997).

Opinion

ORDER GRANTING LOMA LINDA UNIVERSITY MEDICAL CENTER, INC.’S MOTION TO INTERVENE AS PLAINTIFF IN INTERVENTION PURSUANT TO FED.R.CIV.P. 24(a)(2) (“MOTION”)

TIMLIN, District Judge.

The court has read and considered Loma Linda University Medical Center, Inc.’s (Loma Linda) motion, Plaintiff Armenak Ghazarian’s (Ghazarian) opposition to the motion, Loma Linda’s reply, and Defendants Richard Irvin Wheeler (Wheeler) and Western Carriers of Oregon, Inc’s (“Western Carriers”) (collectively “Defendants”) statement of non-opposition.

I.

BACKGROUND

In January, 1994 Ghazarian was involved in a motor vehicle collision in which he sustained physical injuries. Ghazarian was transported to Loma Linda where he received emergency medical treatment. Thereafter, he participated in a course of treatment at Loma Linda that resulted in various fees and charges totaling $53,021.01. Pursuant to Ghazarian’s status as a Medi-Cal beneficiary, Loma Linda submitted a claim for services it rendered on his behalf to the California Department of Health Services (“DHS”), and was paid $17,316.07 by MediCal.

Ghazarian brought the instant third party action to recover damages in tort for the injuries sustained in the collision with Wheeler. Loma Linda received notice of Ghazarian’s claim. It gave notice to the parties of its right, under California Welfare and Institutions Code section 14124.791 (“Section 14124.791”), to assert a statutory hen in this action to recover the costs of the medical services it provided to Ghazarian against any judgment or settlement obtained by Ghazarian, a medical beneficiary, against Defendants.

On February 18, 1997, Medi-Cal advised Loma Linda that this action had settled. However, Loma Linda was unable to reach an agreement with Ghazarian concerning the validity and enforceability of its claimed statutory hen, and it then brought this motion to intervene. Subsequently, Loma Linda sent to DHS a check in the amount of $17,316.07, reimbursing Medi-Cal for its earher payment of that amount to Loma Linda. This payment was made in comphance with a requirement under Section 14124.791 that Loma Linda do so before it may recover on its statutory hen.

II.

EVIDENTIARY OBJECTIONS

Ghazarian has objected to the declaration of David D. Werner dated April 10, 1997, on the ground that the alleged statements by representatives of Medi-Cal are hearsay— Overruled. The Court considers such statements for non-hearsay purposes.

III.

ANALYSIS

■ Loma Linda contends that it is entitled to intervene in this action by right under Fed. R.Civ.P. 24(a)(2) because it meets the four prong test for such intervention.

Ghazarian contends, in it opposition, that the court should deny the motion to intervene because (1) Loma Linda is not entitled to a hen since it has not reimbursed MediCal,1 and (2) Loma Linda may not intervene because its assertion of a statutory hen in a tort action is not a sufficient interest relating [485]*485to the property or transaction which is the subject of this action.

A. Standard for Motion to Intervene of Right Under FedR.Civ.P. 2U(a)(2)

Fed.R.Civ.P. 24(a) (“Rule 24(a)”) states in pertinent part:

(a) Intervention of Right. Upon timely application anyone shall be permitted to intervene in an action: ... (2) when the applicant claims an interest relating to the property or transaction which is the subject of the action and the applicant is so situated that the disposition of the action may as a practical matter impair or impede the applicant’s ability to protect that interest, unless the applicant’s interest is adequately represented by existing parties.

■ Thus, there are four requirements for intervention as of right under Rule 24(a)(2): “[Tjimeliness, an interest relating to the subject of the action, practical impairment of the party’s ability to protect that interest and inadequate representation by the parties to the action. The rule is construed broadly in favor of applicants for intervention.” Greene v. United States, 996 F.2d 973, 976 (9th Cir.1993) (footnote omitted). An applicant’s failure to prove it meets any one of these four criteria, however, precludes intervention under Rule 24(a). See e.g., County of Orange v. Air California, 799 F.2d 535, 538 (9th Cir.1986).

1. Loma Linda’s Motion Is Timely

There are three factors used to determine the timeliness of a motion to intervene: (1) the stage of the proceeding; (2) the prejudice to the parties; and (3) the reason for and length of delay in filing the motion to intervene. United States v. State of Oregon, 913 F.2d 576, 588 (9th Cir.1990). Courts have granted motions to intervene to assert a lien, which were filed after the parties to the suit had reached a settlement, when those parties were not prejudiced by the motion. See Lalic v. Chicago, Burlington & Quincy Railroad Co., 263 F.Supp. 987 (N.D.Ill.1967) (allowing intervention to assert a tax lien on settlement proceeds); see also McDonald v. E.J. Lavino Company, 430 F.2d 1065 (5th Cir.1970) (allowing intervention to assert a subrogation interest).

Loma Linda states that it learned that Plaintiff was contesting the validity of its alleged statutory lien on March 7, 1997. The instant motion was filed on March 19, 1997. The case is in the process of being settled between Ghazarian and Defendants, and none of the parties contend that they will be prejudiced because this motion is not timely. Consequently, Loma Linda’s motion to intervene is timely.

2. Loma Linda Has An Interest Relating To The Subject Of This Action

Loma Linda contends that its lien, created pursuant to Section 14124.791, and enforceable under Cal. Welf. & Inst.Code Section 14124.74 (“Section 14124.74”), is a perfected statutory hen that is sufficiently related to the subject of this action. Ghazarian, relying on Glyn v. Roy Al Boat Management Corp., 897 F.Supp. 451 (D.Haw.1995), contends that Loma Linda may not intervene because a lien holder does not have an interest relating to a tort action.

The determination whether an applicant for intervention as of right has a “significantly protectable interest” sufficient to support the application is a “practical, threshold inquiry.” Greene, 996 F.2d at 976; Northwest Forest Resource v. Glickman, 82 F.3d 825, 837 (9th Cir.1996). No specific legal or equitable interest need be established. Greene, 996 F.2d at 976. However, the interest asserted must be (1) protectable under some law, and (2) there must be a relationship between the protected interest and the claims at issue. Northwest Forest Resource, 82 F.3d at 837; Sierra Club v. U.S. Environmental Protection Agency, 995 F.2d 1478

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Bluebook (online)
177 F.R.D. 482, 1997 WL 828272, Counsel Stack Legal Research, https://law.counselstack.com/opinion/ghazarian-v-wheeler-cacd-1997.