People v. Am. Sur. Co.

242 Cal. Rptr. 3d 676, 31 Cal. App. 5th 380
CourtCalifornia Court of Appeal, 5th District
DecidedJanuary 15, 2019
DocketE067831
StatusPublished
Cited by5 cases

This text of 242 Cal. Rptr. 3d 676 (People v. Am. Sur. Co.) is published on Counsel Stack Legal Research, covering California Court of Appeal, 5th District primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
People v. Am. Sur. Co., 242 Cal. Rptr. 3d 676, 31 Cal. App. 5th 380 (Cal. Ct. App. 2019).

Opinion

McKINSTER J.

*679*384In an earlier appeal, Indiana Lumbermens Mutual Insurance Company (Lumbermens) challenged an order denying its motion to vacate summary judgment on a bail bond forfeiture and to exonerate the bail bond. The day after Lumbermens filed its notice of appeal, American Surety Company (American), the appellant in this appeal, filed an undertaking to stay enforcement of the summary judgment during the first appeal. In an unpublished opinion, this court affirmed the order denying Lumbermens' motion to vacate *385the summary judgment and to exonerate the bail bond. (See People v. Indiana Lumbermens Mutual Ins. Co. (June 30, 2016, E062800) 2016 WL 3653536 [nonpub. opn.].)1

Six days before this court issued the remittitur in the first appeal, American filed a motion in the trial court to exonerate the undertaking and to be released from liability on the undertaking. The undertaking was filed pursuant to Code of Civil Procedure section 917.1 (unless otherwise indicated, all further statutory references are to the Code Civ. Proc.), which provides, inter alia, for undertakings to stay enforcement of money judgments. Because Lumbermens' appeal was from a postjudgment order denying a motion to vacate the summary judgment, which is not a money judgment or an order directing the payment of money, American argued section 917.1 did not apply, and the undertaking was ineffective at all times. The trial court denied the motion, concluding American forfeited its challenge to the validity of the undertaking by waiting to file its motion until 57 days after this court issued its opinion in the first appeal and a mere six days before the issuance of the remittitur.

In this appeal, American again argues the undertaking it filed on behalf of Lumbermens was ineffective because Lumbermens appealed from a postjudgment order, and not from the summary judgment itself and, therefore, the stay provided for in section 917.1 was never triggered. In addition, American argues the undertaking never became effective because the trial court did not approve it as required by statute.

American is correct that the undertaking it filed in the first appeal was never effective. An appeal from a postjudgment order denying a motion to vacate summary judgment and to exonerate a bail bond is not an appeal from a money judgment and, therefore, section 917.1 does not provide for a stay of the underlying summary judgment during such an appeal. Because Lumbermens' appeal did not automatically stay enforcement of the underlying summary judgment, and a statutory undertaking was ineffective, the means to stay enforcement of the summary judgment was to petition this court for a writ of supersedeas. Likewise, American is correct that, even if section 917.1 applied to Lumbermens' appeal, the undertaking was not effective because the trial court did not approve of it pursuant to section 995.840, subdivision (a).

*680Nonetheless, we agree with respondent, the People, that American forfeited its challenge to the validity of the undertaking by waiting until six days before the issuance of the remittitur to file its motion to vacate the *386undertaking. And, even if we were to conclude that American did not forfeit its challenges to the undertaking, we agree with the People that American is estopped from challenging the undertaking on appeal. American, Lumbermens, and the People all acted on the assumption that enforcement of the summary judgment was stayed while Lumbermens pursued its appeal. And, the People did not dispute the effectiveness of the undertaking or seek to execute on the judgment while the appeal was pending. American and Lumbermens reaped the benefit of the undertaking, and American cannot be heard at this stage to complain that the undertaking was not, in fact, effective. Therefore, we affirm the order denying American's motion to exonerate the undertaking.

I.

FACTS AND PROCEDURAL BACKGROUND

On March 28, 2013, Lumbermens executed a bail bond in the amount of $100,000, which was posted for the release of Tiffany Washington in San Bernardino County Superior Court case No. FSB1300167. On June 6, 2013, Washington failed to appear for her preliminary hearing, as ordered by the court on June 4, 2013. The trial court ordered the bail bond forfeited, and a notice of forfeiture was mailed on June 7, 2013. (See People v. Indiana Lumbermens Mutual Ins. Co. , supra , E062800.)

On December 9, 2013, Lumbermens filed a motion for an extension of time to produce Washington. The court extended the forfeiture period for 180 days, through June 9, 2014. On May 23, 2014, Lumbermens filed a motion for an additional time extension, which was granted for an additional 180 days. Respondent, the People, as represented by the San Bernardino County Counsel, did not receive notice of the motion until after it was granted. On July 16, 2014, the People filed a motion to set aside the second extension, arguing that it was contrary to law, in that Penal Code section 1305.4 only provides for a single extension of up to 180 days from the date of the forfeiture or the date of mailing the notice of forfeiture. The People argued that the extension was void as of June 10, 2014. (See People v. Indiana Lumbermens Mutual Ins. Co. , supra , E062800.)

On September 11, 2014, the trial court granted the People's motion to set aside the extension order and entered summary judgment on the bail bond forfeiture. (See People v. Indiana Lumbermens Mutual Ins. Co. , supra , E062800.) Lumbermens did not appeal from the summary judgment.

*387On October 10, 2014, Lumbermens filed a motion to vacate the summary judgment and to exonerate the bail bond. The trial court denied the motion on January 7, 2015. (See People v. Indiana Lumbermens Mutual Ins. Co. , supra , E062800.)

On January 28, 2015, Lumbermens timely filed a notice of appeal from "the Order Denying the Motion to Vacate Summary Judgment entered on January 07, 2015."

The following day, American filed a $150,000 undertaking pursuant to section 917.1, to stay enforcement of the summary judgment pending Lumbermens' appeal.

A person or corporation is automatically disqualified from acting as a surety in any superior court if summary judgment against the surety remains unsatisfied for more than 30 days after service of the notice of entry of judgment, unless the *681surety challenges the forfeiture or summary judgment and, if the challenge is by appeal, an undertaking that complies with the enforcement requirements of Code of Civil Procedure section 917.1 is filed with the court. ( Pen. Code, § 1308, subd. (a).) On March 16, 2015, Lumbermens and the People filed a stipulation seeking an order vacating Lumbermens' disqualification.2

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Cite This Page — Counsel Stack

Bluebook (online)
242 Cal. Rptr. 3d 676, 31 Cal. App. 5th 380, Counsel Stack Legal Research, https://law.counselstack.com/opinion/people-v-am-sur-co-calctapp5d-2019.