Free Status Report - District Court of California - California

Case 5:07-cv-04909-JF

Document 37

Filed 08/12/2008

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James J. Ciapciak (pro hac vice)` Ciapciak & Associates, P.C. 99 Access Road Norwood, MA 02062 Telephone: (781) 255-7401 Facsimile: (781) 255-7402 E-mail: [email protected] David Rude (SBN 67367) CLARK & RUDE Ten Almaden Blvd., Suite 550 San Jose, CA 95113-2238 Telephone: (408) 971-1099 Facsimile: (408) 971-1133 E-mail: [email protected] Attorneys for Plaintiff METROPOLITAN LIFE INSURANCE COMPANY UNITED STATES DISTRICT COURT NORTHERN DISTRICT OF CALIFORNIA (San Jose Division) METROPOLITAN LIFE INSURANCE Case No. C 07 4909 JF COMPANY, PLAINTIFF'S STATUS CONFERENCE Plaintiff, STATEMENT v. LUIS MEDRANO and LISA MEDRANO, INDIVIDUALLY and AS THE ADMINISTRATORS OF THE ESTATE OF VM, Defendants. AND RELATED CROSS-CLAIM Status Conference Date: August 15, 2008 Time: 10:30 a.m. Judge: Honorable Jeremy Fogel Trial Date: None

CASE SETTLED IN MEDIATION On March 24, 2008, this case was mediated at JAMS, San Jose by Judge David Garcia (ret.). At the conclusion of the Mediation, a complete settlement of all issues was reached and reduced to a signed settlement memorandum.
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PLAINTIFF'S STATUS CONFERENCE STATEMENT CASE NO. C 074909 JF
Status Conf Stmt 2008-08-12.doc

Case 5:07-cv-04909-JF

Document 37

Filed 08/12/2008

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The terms of the settlement before Judge Garcia at JAMS in March were that the Defendant Luis Medrano would pay MetLife the total amount of the settlement. The original settlement agreement also provided that a down payment would be made by Luis Medrano from his 50% interest in a Washington Mutual bank account under the control of his wife, Defendant Lisa Medrano, and that the balance w ould be paid by a promissory note secured by a first deed of trust on residential property owned by the Defendants in Carmel, California, which note w also to be secured by a second deed of trust on a as condominium in San Diego owned by the Defendants. Following the mediation a formal "Stipulation for Settlement" and "Confidential Settlement Agreement and Release" incorporating the terms of the settlement were prepared by counsel for MetLife and submitted to counsel for Defendants Medrano for their approval. PROBLEMS IMPLEMENTING SETTLEMENT When problems with the liquidity of the Washington Mutual bank account surfaced in June, the settlement agreements were modified to increase the Note and Deed of Trust on the Carmel property to the full amount of the settlement. The revised settlement

agreements have now been signed by both Defendants and their counsel. Further, the Note, Deed of Trust, and other documents at the First American Title escrow in Carmel have been modified to cover the total amount of the settlement and those documents have now been fully executed by the parties. The title company is prepared to close the escrow as soon as the Defendants pay the delinquent taxes on the Carmel property and pay their share of the escrow fees (a total of less than $5,000). To resolve the escrow fee dispute, Met Life agreed with the Defendants to split those fees one-third to Met Life and one-third to each of the Defendants. Met Life has paid its share, but the Defendants have failed to pay their delinquent taxes and their share of the escrow fees. The Defendants' attorneys have agreed that their clients should, and will, pay their share of the escrow fees and the delinquent taxes, but the Defendants have
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PLAINTIFF'S STATUS CONFERENCE STATEMENT CASE NO. C 074909 JF
Status Conf Stmt 2008-08-12.doc

Case 5:07-cv-04909-JF

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Filed 08/12/2008

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simply failed to do so. As a result, we have been unable to close the escrow to implement the settlement. CONCLUSION As soon as the Defendants pay their agreed-upon share of the escrow fees and delinquent taxes, First American Title in Carmel will record the Deed of Trust, close the escrow, and issue the policy of title insurance to Met Life, insuring the First Deed of Trust on the Carmel property securing the settlement. Therefore, any assistance the Court can provide in persuading the Defendants to comply with the agreements they have signed and that have been entered into on their behalf by their attorneys to pay their share of the fees and taxes in order to close the escrow and complete the settlement of this case would be greatly appreciated. Respectfully submitted DATED: August 12, 2008 CLARK & RUDE

By:

/s/ David Rude David Rude Attorneys for Plaintiff METROPOLITAN LIFE INSURANCE COMPANY

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PLAINTIFF'S STATUS CONFERENCE STATEMENT CASE NO. C 074909 JF

Status Conf Stmt 2008-08-12.doc