David Pasternak of the LA/OC Chapter reports on a
recent unpublished opinion from the Court of Appeal overturning, on
grounds of abuse of discretion, the partial denial by a Los Angeles
Superior Court of fees and costs in the Final Report and Account. It was
an unusual case because the court attached a sheet to the Final Report
order itemizing the fees and costs that were denied, asserting that the
receivership “should have” wrapped up approximately 2 years earlier. The
case and the receivership continued in existence while a related appeal
was being successfully defended. David researched the law but was unable
to find any reported case reversing a trial court judge who denied a
receiver’s fees, based on the high bar of the abuse of discretion
standard. The moral of this story seems to be that any time the court
denies a significant amount of requested fees, a receiver who may want to
appeal the denial and try to recover the fees should request a statement
of decision specifying what line item fees are being denied and for what
reason.
*David Pasternak, a
member of Pasternak, Pasternak & Patton, a Century City law firm, is a
founding Co-Chair of the L.A./Orange County branch of the California
Receivers Forum. He serves as a receiver, provisional director and
partition referee, and represents the same as counsel. He recently
represented a former L.A. Superior Court judge serving as a partition
referee. |