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Burckhard v. Del Monte Corp.

9/6/1996

LAMBDEN, J.


Del Monte Corporation (Del Monte) appeals the trial court's enforcement of seven settlements pursuant to Code of Civil Procedure section 664.6. The seven actions were consolidated for the purpose of this appeal.


Del Monte contends the trial court erred because (1) the litigants did not sign the alleged agreement, making it unenforceable under section 664.6; (2) the Workers' Compensation Appeals Board had exclusive jurisdiction over approval of the settlement; (3) no agreement occurred between the parties because Del Monte never had the requisite intent and a unilateral mistake voided the agreement; and (4) Del Monte should have received relief from judgment under section 473.


While this appeal was pending, the Supreme Court decided Levy v. Superior Court (1995) 10 Cal. 4th 578 [41 Cal. Rptr. 2d 878, 896 P.2d 171] (Levy). The court in Levy defined "parties" for the purposes of section 664.6 as meaning the actual litigants rather than counsel of record. The litigants in this case did not sign the writings, and since we find Levy applies retroactively, we reverse. We do not need to address the other grounds for appeal raised by Del Monte.


BACKGROUND


Philip Burckhard and six other plaintiffs (Respondents) filed separate complaints for personal injury resulting from asbestos exposure, and they alleged premises liability against Del Monte. The law firm of Brayton, Gisvold & Harley represented these seven plaintiffs as well as other plaintiffs claiming premises liability against Del Monte. Prior to the events that are the subject of this lawsuit, the attorneys had settled other premises liability lawsuits with no settlement exceeding $2,000.


Against this backdrop, counsel for Del Monte signed a letter dated May 27, 1994, offering to settle eight separate lawsuits, including the claims of Respondents and another plaintiff, Harold Carter. The letter stated, in part: "Del Monte Corporation will pay $8,000.00 for a full release of liability in each of the above-referenced actions, and any related workers' compensation claims." On that same date, counsel for Del Monte wrote to the senior risk analyst at Del Monte and explained: "Per your instructions to Mr. Sennett, I drafted a letter to Mr. Brayton offering $8,000.00 to settle all asbestos personal injury , premise liability cases against Del Monte Corporation. A copy of that letter is enclosed for your review and approval."


On June 1, 1994, counsel for Del Monte sent a letter to counsel for Respondents, offering $1,000 to settle Carter's claim. The letter was addressed to Attorney Eric Wagner of Brayton, Gisvold & Harley. The following day, Del Monte's attorney sent another letter to Wagner agreeing to settle for $1,000.


On the same date Del Monte agreed to settle Carter's claim, Attorney Alan R. Brayton of Brayton, Gisvold & Harley signed and sent a letter attempting to accept $56,000 to settle the seven cases involved in this appeal. Del Monte's counsel immediately responded by facsimile, explaining plaintiffs' counsel had misconstrued the offer as Del Monte intended to offer a total of $8,000 for the eight cases.


On June 20, 1994, the seven plaintiffs filed a motion to enforce settlement pursuant to section 664.6 and, alternatively, for summary judgment. Del Monte filed opposition to this motion two days late. The trial court granted Respondents' motion for judgment pursuant to section 664.6 and did not rule on the motion for summary judgment. The minute order stated the court did not consider the opposition papers, but the order entering judgment said it reviewed the "opposing papers." The court denied Del Monte's motion for

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