United Financial Casualty Company v. R.U.R. Transportation, Inc.

CourtDistrict Court, S.D. California
DecidedNovember 7, 2022
Docket3:22-cv-00333
StatusUnknown

This text of United Financial Casualty Company v. R.U.R. Transportation, Inc. (United Financial Casualty Company v. R.U.R. Transportation, Inc.) 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
United Financial Casualty Company v. R.U.R. Transportation, Inc., (S.D. Cal. 2022).

Opinion

1 2 3 4 5 6 7 8 UNITED STATES DISTRICT COURT 9 SOUTHERN DISTRICT OF CALIFORNIA 10 11 UNITED FINANCIAL CASUALTY Case No.: 22cv333-LL-WVG COMPANY, 12 ORDER: Plaintiff, 13 v. (1) GRANTING IN PART JOINT 14 MOTION FOR STAY R.U.R. TRANSPORATION, INC.; and 15 (2) DENYING PLAINTIFF’S EX ROSA MARIE VELAZQUEZ PARTE MOTION FOR 16 AGUILAR, SERVICE BY PUBLICATION 17 Defendants. [ECF Nos. 9, 11] 18

19 20 This matter is before the Court on the Joint Motion of Plaintiff United Financial 21 Casualty Company (“UFCC”) and Defendant R.U.R. Transportation, Inc. (“R.U.R.”) 22 (together, the “parties”) to stay this case for six months or until after Plaintiff receives proof 23 of service of the complaint and summons on Defendant Rosa Marie Velazquez Aguilar 24 [ECF No. 9] and Plaintiff’s Ex Parte Motion for Order Authorizing Service of Summons 25 and Complaint on Defendant Velazquez Aguilar by Publication in Mexico and San Diego 26 County [ECF No. 11]. For the reasons discussed below, the Court GRANTS IN PART 27 the parties’ Joint Motion for Stay and DENIES Plaintiff’s Ex Parte Motion to Serve 28 Defendant Velazquez Aguilar by Publication. 1 I. BACKGROUND 2 On March 11, 2022, Plaintiff UFCC filed a complaint against Defendants R.U.R. 3 and Velazquez Aguilar seeking judicial declarations that it has no obligation, as the issuer 4 of a commercial automotive insurance policy to R.U.R., to indemnify R.U.R., to defend 5 R.U.R., or to pay for claims against R.U.R. made by Velazquez Aguilar against R.U.R. in 6 a state court action arising from the death of Fernando Gutierrez Velazquez during the 7 course of his employment by R.U.R. on January 10, 2020. ECF No. 1. ¶¶ 6-30. 8 The Clerk of Court issued a summons in this case on the same day the complaint 9 was filed. ECF No. 2. The summons was returned as to R.U.R. on April 6, 2022 [ECF No. 10 3], and R.U.R. filed its answer to the complaint on May 25, 2022 [ECF No. 6] after being 11 granted a thirty-day extension of time on the parties’ joint motion [ECF No. 5]. On June 8, 12 2022, the parties jointly moved for a six-month stay, stating that Plaintiff believes that 13 Velazquez Aguilar resides in Mexico and that Plaintiff has been unable to serve Velazquez 14 Aguilar despite efforts to locate her through her counsel of record in state court 15 proceedings, to request a waiver of service, and to determine her whereabouts through 16 investigation. ECF No. 9 ¶¶ 4-5. On July 15, 2022, Plaintiff filed an ex parte Motion 17 seeking leave to serve Velazquez Aguilar via publication in San Diego County and in 18 Mexico. ECF No. 11. Defendant R.U.R. does not oppose Plaintiff’s ex parte Motion. ECF 19 No. 11-2 at 4. 20 II. LEGAL STANDARD 21 A. Domestic Service 22 Rule 4(e)(1) of the Federal Rules of Civil Procedure allows service by any means 23 permitted by the law of the state in which the case is pending, or the state in which the 24 defendant resides. See Fed. R. Civ. P. 4(e)(1). Title 5, Chapter 4, Article 3 of California’s 25 Code of Civil Procedure (“CCP”), governing “Manner of Service of Summons,” provides 26 for various means of service, including but not limited to, service by publication. Section 27 415.50 of the CCP (“Section 415.50”), governing service by publication, provides as 28 follows: 1 A summons may be served by publication if upon affidavit it appears to the satisfaction of the court in which the action is 2 pending that the party to be served cannot with reasonable 3 diligence be served in another manner specified in this article and that either: (1) A cause of action exists against the party upon 4 whom service is to be made or he or she is a necessary or proper 5 party to the action. (2) The party to be served has or claims an interest in real or personal property in this state that is subject to 6 the jurisdiction of the court or the relief demanded in the action 7 consists wholly or in part in excluding the party from any interest in the property. 8

9 Cal. Civ. Proc. Code § 415.50(a). 10 Under California law, “[c]onsistent with the notions of fair play and due process, 11 substituted service by publication is ‘a last resort’ when ‘reasonable diligence to locate a 12 person in order to give him notice before resorting to the fictional notice afforded by 13 publication’ has been exercised.” Calvert v. Al Binali, 241 Cal. Rptr. 3d 42, 49-50 (Cal. Ct. 14 App. 2018) (quoting Donel, Inc. v. Badalian, 150 Cal. Rptr. 855, 858 (Cal. Ct. App. 1978)). 15 California courts impose a high standard of diligence before approving use of publication 16 and strictly construe the statutory provisions for service by publication. See Olvera v. 17 Olvera, 283 Cal. Rptr. 271, 277 (232 Cal. Ct. App. 1991) (“When substituted or 18 constructive service is attempted, strict compliance with the letter and spirit of the statutes 19 is required.”). “Before allowing a plaintiff to resort to service by publication, the courts 20 necessarily require him to show exhaustive attempts to locate the defendant, for it is 21 generally recognized that service by publication rarely results in actual notice.” Watts v. 22 Crawford, 896 P.2d 807, 811 n.5 (Cal. 1995). “The term ‘reasonable diligence’ . . . denotes 23 a thorough, systematic investigation and inquiry conducted in good faith by the party or 24 his agent or attorney.” Kott v. Superior Ct., 53 Cal. Rptr. 2d 215, 221 (Cal. Ct. App. 1996) 25 (citations omitted). To satisfy the reasonable diligence standard, it is generally sufficient 26 to for a plaintiff to show: “[a] number of honest attempts to learn defendant’s whereabouts 27 or his address by inquiry of relatives, friends, and acquaintances, or of his employer, and 28 by investigation of appropriate city and telephone directories, the voters’ register, and the 1 real and personal property index in the assessor’s office, near the defendant’s last known 2 location[.] Id. 3 B. Foreign Service 4 Rule 4(f) of the Federal Rules of Civil Procedure dictates the acceptable methods of 5 serving individuals in a foreign country. Fed. R. Civ. P. 4(f). If there is an “internationally 6 agreed means of service that is reasonably calculated to give notice,” then service in a 7 foreign country is permissible by such internationally agreed means as the Hague 8 Convention on the Service Abroad of Judicial and Extrajudicial Documents (the “Hague 9 Service Convention”), opened for signature Nov. 15, 1965, 20 U.S.T. 361, 658 U.N.T.S. 10 163, or “by any other means not prohibited by international agreement, as the court orders.” 11 Fed R. Civ. P. 4(f)(1),(3). Court-directed service under Rule 4(f)(3) is as favored as service 12 available under Rule 4(f)(1) unless prohibited by the Hague Convention. Rio Props., Inc. 13 v. Rio Int’l Interlink, 284 F.3d 1007, 1015-16 (9th Cir. 2002). 14 Alternative methods of service permissible under Rule 4(f)(3) include such means 15 as “publication, ordinary mail, mail to the defendant’s last known address, delivery to the 16 defendant’s attorney, telex, and most recently, email.” Id. at 1016 (citations omitted). 17 However, any method of service, “[e]ven if facially permitted by Rule 4(f)(3), . . . must 18 also comport with constitutional notions of due process.” Id.

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Bluebook (online)
United Financial Casualty Company v. R.U.R. Transportation, Inc., Counsel Stack Legal Research, https://law.counselstack.com/opinion/united-financial-casualty-company-v-rur-transportation-inc-casd-2022.